African Journal of
Agricultural Research

  • Abbreviation: Afr. J. Agric. Res.
  • Language: English
  • ISSN: 1991-637X
  • DOI: 10.5897/AJAR
  • Start Year: 2006
  • Published Articles: 6576

Full Length Research Paper

Supply response of beef farmers in Botswana: A Nerlovian partial adjustment model approach

D. S. Gosalamang1, A. Belete1*, J. J. Hlongwane1 and M. Masuku2      
1Department of Agricultural Economics and Animal Production, University of Limpopo, P. Bag X1106, Sovenga 0727, South Africa. 2Department of Agricultural Economics, University of Swaziland, Swaziland, PO Luyengo, M2005, Luyengo, Swaziland.  
Email: [email protected]

  •  Accepted: 18 June 2012
  •  Published: 14 August 2012

Abstract

In this study, an attempt has been made to examine the supply response of beef farmers in Botswana by using the Nerlovian partial adjustment model. The short run price elasticity was 1.511 while the long run elasticity was 1.057. This is a clear sign that price policies in Botswana are effective in obtaining the desired level of output for beef. Moreover, in the future, price increase need to be adopted as a strategy for improved cattle supply. Emphasis should also be given on extension services with a view of promoting cattle farming as a commercial farming. The promotion of cattle farming for commercial purpose should be supported with a strategy by which farmers change their attitude of oxen production to weaner production. The speed of adjustment, however, was relatively very slow at 14% per period. This slow adjustment perhaps tells that Botswana beef farmers, who are predominantly subsistence, may not be having enough capacity (in terms of resources and technology) to immediately increase beef production when economic environment improves in their favour. This situation can be improved if future government intervention is geared towards improvement of current technology of using communal grazing and indigenous breeds. The government also needs to strengthen its extension services to educate the farmers on new technologies of beef production.

 

Key words: Supply response, beef, Nerlovian partial adjustment.