Transaction costs and cattle farmers’ choice of marketing channel in North-Central Namibia

About 70 per cent of the Namibian population depends on agricultural activities for their livelihood. Moreover, agriculture remains an important sector in Namibia owing to the fact that its national economy is widely dependent on agricultural production. Cattle producers in the Northern Communal Areas (NCAs) have an option to market their cattle via the formal or informal market. Efforts have been made to encourage producers to market their cattle through the formal market; however, these proved to be futile as the strategy yielded limited improvements. In this study, a number of variables have been analysed to determine factors that influence cattle marketing decisions. Factors influencing the marketing decision on whether to sell or not sell through the formal market have been analyzed using the Probit model. Factors influencing the amount of cattle sold through the formal market, assuming that a producer uses the formal market to sell cattle, were analysed using the Truncated model. Testing the Tobit model against the alternative of a two-part model was done using Cragg's model. Results from empirical research suggest that problems with transportation to MeatCo, marketing experience and the age of cattle producers are some of the factors that significantly influence the decision whether or not sell through the formal market. The accessibility of marketingrelated information, accessibility of new information technology, the age of respondents and a lack of improved productivity are some of the factors that influence the proportional number of cattle sold through the formal market. The results suggest that substantially more information is obtained by modelling cattle marketing behaviour as a dual decision-making framework instead of a single decision-making framework

Consumer preferences for beef with specific reference to fat colour: The case of Cape Town, South Africa

Various consumer perceptions exist about white and yellow beef fat. These perceptions subsequently affect the price of beef with yellow or white fat. Although only 25% of South African beef is grass-fed (yellow fat), lower prices offered for yellow fat result in farmers potentially receiving about R157.5 million less income per year. This study determined consumer preferences for beef fat colour in the Cape Town area of the Western Cape, South Africa. The largest percentage (43.74%) of consumers preferred white fat, followed by consumers (42.68%) to who fat colour did not matter and those who preferred yellow fat (13.59%). Analysis of the different consumer groups found that consumers who preferred yellow fat were buyers with higher education levels. These consumers were more concerned about the physical visual properties of the meat than about the branding, classification and packaging neatness. Consumers who preferred white fat had lower education levels, were more concerned about the packaging neatness and grade, and did not care much about the physical visual properties of the meat. Rather than discriminating against the price of yellow fat beef, a niche market could be created to accommodate this product

PR - Sheep's Back To Mill: The Case Of The South African Wool Industry

South Africa has a strong interest in maintaining its position in the international wool market. The low level of uniqueness between different wool producers internationally makes it difficult for countries to oppose the challenges and to remain competitive in the rather homogeneous wool market. Hence, structuring domestic cost information in a way that’s globally comparable, presents a methodology through which managerial information could be gathered for both individuals and the industry. This will allow the South African industry to benchmark itself against the leading world producers. A survey approach was employed to determine the cost structure of the South African wool industry. Results indicated that although South Africa has a competitive advantage in the primary production phases, marketing cost and the countries location in relation to the main wool markets prohibit the local industry from obtaining a competitive advantage over its Australian counterpart

Adenosine deaminase levels in cerebrospinal fluid in the diagnosis of tuberculous meningitis

The prognosis of tuberculous meningitis is closely linked to the stage at which treatment is started. At the same time the diagnosis will often have to be made on purely circumstantial evidence. Adenosine deaminase activity in the cerebrospinal fluid was evaluated as a diagnostic aid in 30 cases of tuberculous meningitis. Cerebrospinal fluid adenosine deaminase levels differentiated tuberculous meningitis cases from those with aseptic meningitis being higher than 4 U/l in all and higher than 6 U/l in 90% of cases of tuberculous meningitis, but lower than 6 U/l in aseptic meningitis and less than 4 U/l in normal controls. It could not distinguish bacterial meningitis from tuberculous or aseptic meningitis. In cases of low-cell-count bacterial meningitis, the mean cerebrospinal fluid adenosine deaminase level was significantly lower than in cases of tuberculous meningitis with a similar cell count, but considerable overlap of results in the two groups was still to be found.Articl

PR - The Economic Impact Of Ethanol Production On The South African Animal Feed Industry

Biofuels are becoming an increasingly important source of energy globally. The international biofuels industry experienced tremendous industry growth mainly driven by: increased energy demand and more specific petroleum prices, reliability of traditional crude oil exporters along with political motives, adverse pollution affects (Methyl tertiary butyl ether - MTBE) and more specific, emission gases from fossil fuels leading to environmental pressure for the use of cleaner burning fuels. By-products such as Distillers Grains from ethanol production can be a substitute for numerous protein rich raw materials such as oilcakes in animal feed rations which result in relative price changes and changes in consumption patterns of these raw materials. The possible impact on the animal feed industry is analyzed by using the BFAP and APR models. The results indicate that numerous relative price changes take place along with various changes in raw material consumption and that the total animal feed costs decrease with 2%

The impact of maize-based ethanol production on the competitiveness of the South African animal feed industry

Over the past few years the world has witnessed substantial developments in the global production and the production capacity of ethanol. This tremendous growth in the industry is mainly driven by the following: petroleum prices, the reliability of traditional crude oil exporters along with political motives, adverse pollution effects and more specifically, emission gases from fossil fuels. Together with this growth, various researchers locally and globally have focused on ethanol production, but little work has been done on the economic impact that ethanol production will have on the animal feed industry. In order to simulate the results, the two main scenarios were analysed using two different models - namely, the BFAP model and the APR model. By applying the BFAP model to these scenarios, the equilibrium prices of animal feed row materials were simulated for the year 2015. The APR model was then applied to these prices in order to evaluate the impact of ethanol production on the animal feed industry. Two main scenarios are constructed with four combinations; the main variables in the scenarios are the oil price and the blending ratios of biofuel. The results revealed that there is no significant effect on the animal feed industry. Various raw materials are affected, but only by small percentages. The only raw material that shows any significant change is lucerne, with a 20 percent decrease in consumption. The greatest effect is the replacement of imported protein raw materials by DDGS (dried distillers grains with solubles). In terms of the animal feed costs, there was only a 2 per cent decrease with the introduction of ethanol production. Under a scenario of high blending ratios and oil prices, the yellow maize price increases by R169/ton and the soya oilcake price decreases by R347/ton

PR - Factors Affecting Small Livestock Predation In The Western Cape Province Of South Africa

Small livestock farmers in South Africa suffer from increasing losses due to predation. Predation losses increased to such an extent that small livestock farming in not viable any more in certain small livestock producing areas. The objective of this study is to determine the predation losses due to predators and identifying the variables that influences the occurrence and level of predation. This can help to develop management systems to reduce predation losses. The black-backed jackal and the caracal are two important medium-sized predators species among the South African wildlife, but they have a negative impact on the livestock industry in South Africa, especially among sheep and goats. The Western Cape Province of South Africa incurred losses in 2010 up to R 104 980 967 ($ 1 165 663). The physical monetary value attached to predation in this study was only the direct cost of predation and do not include indirect cost of controlling damage-causing animals. It was hypothesised that the variables affecting the occurrence of predation and the variables that affected the level of predation was not the same. Therefore, it was necessary to use the Probit and Truncated regression models. The information collected in this study showed that predation is a serious problem for the South African small livestock sector. This study does not answer all questions on predation, but provides valuable information in understanding the magnitude or extent of predation and some of the factors influencing predation on farms

A consumer-orientated study of the South African beef supply chain

The South African beef industry, like many other South African supply chains, is challenged by the increased complexity and demand brought about by globalization, increased volumes and competition, shortage of skilled staff and pressures to meet changing customer needs. The power has shifted from the supply side to the consumer. The consumer has been empowered by greater knowledge. Consumer needs are changing. A combination of these two facts implies that not only the retailer, but also the supply chain as a whole must make sure that it is aligned to deliver customer value, in order to ensure sustainable competitiveness and survival, manage risks and ensure acceptable returns. Competition today is based on competing supply chains. The focus of this study is to define the South African consumer and their needs, so that the beef industry and in particular the supply chain participants, are able to identify opportunities to improve the delivery of customer value. This study attempts to determine the extent to which the South African consumer needs and demands regarding beef have changed, and whether the beef value chain is positioned to meet these changes. The supply chain concept, market orientation, meat quality and consumer food trends form the theoretical framework of this study; an industry analysis provides the context in which agri-businesses function; a network analysis provides a better understanding of the roles and value-adding activities that are delivered by chain participants; and an analysis of the South African consumer establishes the composition of the market, consumer needs and disposable income issues that are critical to finding the optimal solution that is sustainable enough to meet the changing environment. Although the industry has a good status, good management practices can further increase consumer confidence in beef.http://www.tandfonline.com/loi/ragr20nf201