Important policy parameters for the development of inclusive digital agriculture : implications for the redistributive land reform program in South Africa

The creation and deployment of digital technologies throughout the agro-food system contribute to achieving Sustainable Development Goal nine. However, various digitalization studies offer limited insight into the policy issues and solutions around emerging technologies and big data systems in agriculture. There is a need for an additional understanding of how agricultural policymaking should respond to the usage of digital technologies in the agri-food sector. Furthermore, evidence is limited on how existing agricultural government programs such as land reform can be linked with digitalization policy. This systematic review of literature sought to determine the transformation that is needed in the political and economic environment for the digital revolution to take place within South African land reform agriculture. A thematic analysis of data sampled from ProQuest Central, Scopus, Dimensions, and Google Scholar reveals five areas of intervention from agricultural policymaking. The digital revolution in agriculture can be brought about by transforming digital infrastructure, data interoperability and governance, digital markets, the compatibility of government incentives with the private sector, and the digital cultural landscape. This essay contributes to agricultural policy and decision-making dialogues that pay attention to digital technologies and land reform programs in South Africa.https://www.mdpi.com/journal/agricultuream2023Agricultural Economics, Extension and Rural Developmen

Value chain digitalisation and adoption intention by proactive land acquisition strategy (PLAS) farmers in the Eastern Cape Province, South Africa

DATA AVAILABILITY STATEMENT : The data presented in this study are available on request from the corresponding author. The data are not publicly available due the fact that it is only a portion of a larger dataset from which subsequent publications are expected.Digital technologies disrupt agricultural value chains, thereby facilitating enhanced connectivity among various players. This contributes to the development of resilience and sustainability within farms. This study examined behavioural factors that influence farmers’ intentions to adopt value chain digital technologies available in South Africa. A simple random sample of 100 Eastern Cape PLAS farms was chosen. Data was collected using a semi-structured questionnaire. The data was analysed in R and STATA statistical packages using the unified theory of acceptance and use of technology (UTAUT) and structural equation modelling (SEM). The results indicated a significant relationship between performance and effort expectancy and the intention to adopt value technologies. Furthermore, male farmers had a higher expectation of performance and effort. Prioritising performance demonstrations and trainings on the utilisation of these technologies is crucial in efforts to enhance their adoption. This contributes to the existing body of literature on the deployment of value chain technologies.https://www.mdpi.com/journal/sustainabilityam2024Agricultural Economics, Extension and Rural DevelopmentSDG-02:Zero Hunge

Economic returns of the Agricultural Research Council’s Table Grape Cultivar Development Programme in South Africa

The table grape industry, in line with national policy imperatives such as the National Development Plan (NDP), plays an important role in the South African (SA) economy through employment creation, rural development and foreign currency earnings. The industry has continued to expand over the years. The yields of table grapes have increased considerably in South Africa. For continued growth and sustainability, research and development (R&D) initiatives, among other factors, are important. The Agricultural Research Council’s (ARC) Table Grape Cultivar Development Programme (TGCD) is an R&D initiative that supports the industry with breeding of table grape cultivar varieties suitable for SA conditions. It was established in 1952, and has successfully bred 37 table grape cultivar varieties. However, the impact of the programme on yields and contribution to the economy remains unknown. Therefore, the study sought to estimate the economic returns of the ARC’S TGCD to the South African economy. The impact of the ARC TGCD programme was estimated using a two-stage approach. In the first stage of analysis, the impact on yield of table grapes was estimated using the Just-Pope production function. The first stage of analysis addressed two specific objectives: to determine the yield gains attributable to the ARC’s TGCD Programme; and to determine whether attempts to increase yields and quality of table grapes has compromised yield stability. The second stage of analysis employed a benefit-cost analysis to quantify the benefits in monetary terms. Specifically, BCR and MIRR were estimated. Expert advice was used to select seven ARC popular varieties for which data was available in complete form, for the period 2008 to 2017. v The results of the Just-Pope revealed that the adoption of ARC table grape varieties led to average annual yield gains of 0.79% (or 41% for the entire period) for South African table grapes producers from 1965 to 2014. The results of the Just-Pope also revealed that attempts to increase yields or yield quality of table grapes through development of new table grapes varieties did not influence yield stability. The average annual economic benefit that accrued to South African table grapes farmers as a result of the cultivar development programme was R144 203 964 (in 2010 monetary values) for the same period. This means increased foreign currency earnings through increased and stabilised yields. With reference to net economic benefits, the Benefit Cost Ratio (BCR) and the Modified Internal Rate of Return (MIRR) were 4.85:1 and 18%, respectively. This meant that every R1 invested in the Programme is associated with about R5 benefits. Therefore, there is a proportion of the yields that is attributable to the ARC’s TGCD Programme, over and above improvement in viticultural practices and farmers’ experiences over time. With regard to efficiency, the programme is justified (i.e. the benefits derived from the table grape breeding programme are larger than the costs by a multiple of about 5). The huge and sustainable net economic benefits from the TGCD Programme suggest that an increased injection of public funds should be made to the point, at least, where marginal social benefits are equal to marginal social costs. The restructuring of the TGCD Programme should also consider incorporating the land reform programme. This would mean greater support for the programme through increased smallholder farmer targeting and participation, together with the revitalisation of rural development initiatives for the table grapes industry. These, together with future studies that evaluate the competitiveness of the programme by examining factor and demand conditions, supporting industries; and the programme strategy, structure and rivalry, would generate maximum benefits for the South African economy

Digitalization and small businesses supply chain financing : evidence from sub-Saharan Africa

Supply chain finance continues to play an important role in servicing businesses that have limited access to finance. With the disruptions associated with the fourth industrial revolution, opportunities exist in Africa to increase participation by small businesses. While the effect of digitalization on supply chain finance has been explored, evidence from Africa is still limited. This study sought to determine the effect of digitalization on supply chain financing of small businesses in Africa. The study utilized a dataset that consists of observations from 4409 small businesses in sub-Saharan Africa, including agricultural businesses. Four indicators of digitalization (use of company websites, social media, online advertisements, and mobile phone ownership) were used to compute and index digitalization. A logit regression model was fitted on the dataset to determine the effect of digitalization on supply chain finance. The results showed that digitalization significantly affects adoption of supply chain finance by small businesses. The results were robust and did not change significantly due to the inclusion of confounding factors. The results additionally indicated that supply chain financing is also affected by education level, company age and government training programmes in supply chain financing (p < 0.05), although there was a significant difference in the adoption of supply chain finance across countries and between small agricultural businesses and businesses from other sectors of the economy. Thus, any efforts to improve financing activities of small businesses should consider their digitalization development. Investments in digitalization infrastructure by Africa governments should be scaled up. The regulatory environment should be kept favourable to facilitate development of inclusive digital markets. Future research should explore available digital solutions, adoption costs and factors that affect demand by small businesses in sub-Saharan Africa.http://www.tandfonline.com/loi/rajs202025-08-05hj2024Agricultural Economics, Extension and Rural DevelopmentSDG-09: Industry, innovation and infrastructur

Important Policy Parameters for the Development of Inclusive Digital Agriculture: Implications for the Redistributive Land Reform Program in South Africa

The creation and deployment of digital technologies throughout the agro-food system contribute to achieving Sustainable Development Goal nine. However, various digitalization studies offer limited insight into the policy issues and solutions around emerging technologies and big data systems in agriculture. There is a need for an additional understanding of how agricultural policymaking should respond to the usage of digital technologies in the agri-food sector. Furthermore, evidence is limited on how existing agricultural government programs such as land reform can be linked with digitalization policy. This systematic review of literature sought to determine the transformation that is needed in the political and economic environment for the digital revolution to take place within South African land reform agriculture. A thematic analysis of data sampled from ProQuest Central, Scopus, Dimensions, and Google Scholar reveals five areas of intervention from agricultural policymaking. The digital revolution in agriculture can be brought about by transforming digital infrastructure, data interoperability and governance, digital markets, the compatibility of government incentives with the private sector, and the digital cultural landscape. This essay contributes to agricultural policy and decision-making dialogues that pay attention to digital technologies and land reform programs in South Africa

Important Policy Parameters for the Development of Inclusive Digital Agriculture: Implications for the Redistributive Land Reform Program in South Africa

The creation and deployment of digital technologies throughout the agro-food system contribute to achieving Sustainable Development Goal nine. However, various digitalization studies offer limited insight into the policy issues and solutions around emerging technologies and big data systems in agriculture. There is a need for an additional understanding of how agricultural policymaking should respond to the usage of digital technologies in the agri-food sector. Furthermore, evidence is limited on how existing agricultural government programs such as land reform can be linked with digitalization policy. This systematic review of literature sought to determine the transformation that is needed in the political and economic environment for the digital revolution to take place within South African land reform agriculture. A thematic analysis of data sampled from ProQuest Central, Scopus, Dimensions, and Google Scholar reveals five areas of intervention from agricultural policymaking. The digital revolution in agriculture can be brought about by transforming digital infrastructure, data interoperability and governance, digital markets, the compatibility of government incentives with the private sector, and the digital cultural landscape. This essay contributes to agricultural policy and decision-making dialogues that pay attention to digital technologies and land reform programs in South Africa

Economic returns of public research and development funding in South Africa : evidence from the Agricultural Research Council’s table grapes cultivar development programme

The study sought to estimate the genetic gains and associated monetary value contributed by the TGCD programme of the Agricultural Research Council (ARC). The Just-Pope production function and cost benefit analysis (benefit cost ratio – BCR, and modified internal rate of return – MIRR) were employed to analyze the administrative programme costs and industry yield data for the ARC’s cultivars. The results revealed an average annual yield gain of 0.21 t/ha for the period from 1965 to 2014, and a BCR of 4.85. An MIRR of 18% was also revealed. This means that for every rand invested in the programme, R4.85 is realized and the high MIRR further confirms the worthiness of these investments. Thus, these results are useful as evidence for the missing information on the effectiveness and efficiency of public funds expended in table grapes research and as motivation for increased funding, as well as for participation by other industry stakeholders.http://www.tandfonline.com/loi/rajs202022-11-13hj2022Agricultural Economics, Extension and Rural Developmen