Journal of
Development and Agricultural Economics

  • Abbreviation: J. Dev. Agric. Econ.
  • Language: English
  • ISSN: 2006-9774
  • DOI: 10.5897/JDAE
  • Start Year: 2009
  • Published Articles: 547

Article in Press

Market participation and Intensity: Empirical Evidence from Irrigated Crop Farmers in the Eastern Cape.

Lelethu Mdoda and Ajuruchukwu Obi

  •  Received: 12 February 2018
  •  Accepted: 24 May 2018
The participation of smallholder farmers in market-oriented production holds potential for diversifying their incomes and increasing agricultural productivity hence promoting food security and poverty eradication. But participation of smallholder’s irrigators and homestead gardeners in markets in South Africa remains low despite numerous interventions, especially since the dawn of democracy in 1994. The targets set for redress and transformation are therefore not met and threatens the country’s fragile democracy. This paper examines factors influencing smallholders’ decision to participate in markets and volume sold in the Eastern Cape Province. The study was conducted in the Eastern Cape Province and employed survey data of 200 irrigated crop farmers and homestead gardeners. A multistage stratified sampling procedure was used in the study areas. The study used Heckman model to assess factors influencing market participation and volume sold. Results reveal that market participation and volume sold are influenced by socio-economic and technical factors. Based on the results, highlight the needed policy change to encourage group marketing and upgrading of roads to enable smooth accessibility of output markets. Keywords: Smallholder irrigators, Market participation, Heckman model, Eastern Cape, Factors.

Keywords: Smallholder irrigators, Market participation, Heckman model, Eastern Cape, Factors