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Scaling Partnerships to Activate Idle Community Land in South Africa

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  • Bailey Klinger
  • Ivan Ordonez
  • Federico Sturzenegger

Abstract

We discuss three cases of corporate-smallholder partnerships in South Africa’s former homelands, which have tried to bridge the problem of low productivity by supplying technology, technical assistance and financing along with established channels for sales and distribution. The cases are indicative of some key difficulties faced by such ventures: building trust, finding a suitable partner, successfully transferring technological to small farms, and reducing risk, particularly climate-related. In order for these types of partnerships to help close the gap between South Africa’s two agricultures, solutions to these problems must be provided at greater scale. We explore mechanisms to achieve that scale, drawing lessons from South Africa’s successful franchising sector, as well as newly emerging business models and technologies from abroad.

Suggested Citation

  • Bailey Klinger & Ivan Ordonez & Federico Sturzenegger, 2023. "Scaling Partnerships to Activate Idle Community Land in South Africa," CID Working Papers 148a, Center for International Development at Harvard University.
    • Handle: RePEc:cid:wpfacu:148a
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    File URL: https://growthlab.cid.harvard.edu/sites/projects.iq.harvard.edu/files/growthlab/files/2023-05-cid-fellows-wp148-scaling-partnerships-south-africa.pdf
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    References listed on IDEAS

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    1. Chaoran Chen & Diego Restuccia & Raul Santaeulalia-Llopis, 2022. "The Effects of Land Markets on Resource Allocation and Agricultural Productivity," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 45, pages 41-54, July.
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    4. Bailey Klinger, 2022. "More (Inclusive) Entrepreneurship in South Africa: The Role of Franchising," CID Working Papers 137a, Center for International Development at Harvard University.
    5. Matthew de la Hey & William Beinart, 2017. "Why Have South African Smallholders Largely Abandoned Arable Production in Fields? A Case Study," Journal of Southern African Studies, Taylor & Francis Journals, vol. 43(4), pages 753-770, July.
    6. Blair,Roger D. & Lafontaine,Francine, 2011. "The Economics of Franchising," Cambridge Books, Cambridge University Press, number 9780521775892.
    7. Michael Aliber & Ruth Hall, 2012. "Support for smallholder farmers in South Africa: Challenges of scale and strategy," Development Southern Africa, Taylor & Francis Journals, vol. 29(4), pages 548-562, October.
    8. Hansen, Mark H. & Morrow, J.L., Jr. & Batista, Juan C., 2002. "The Impact Of Trust On Cooperative Membership Retention, Performance, And Satisfaction: An Exploratory Study," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 5(1), pages 1-19.
    9. Sifundza, Sandile Bongani, 2019. "Contract farming and access to formal credit in South Africa: A case of small-scale sugarcane growers in the Felixton Mill area of KwaZulu-Natal," Research Theses 334774, Collaborative Masters Program in Agricultural and Applied Economics.
    10. Daniel Belay, 2020. "The effect of trust on farmers’ milk market participation in dairy cooperatives in West Shoa, Ethiopia," Agrekon, Taylor & Francis Journals, vol. 59(3), pages 287-302, July.
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    Cited by:

    1. Ricardo Hausmann & Tim O'Brien & Andres Fortunato & Alexia Lochmann & Kishan Shah & Lucila Venturi & Sheyla Enciso & Ekaterina Vashkinskaya & Ketan Ahuja & Bailey Klinger & Federico Sturzenegger & Mar, 2023. "Growth Through Inclusion in South Africa," CID Working Papers 434, Center for International Development at Harvard University.

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    Keywords

    South Africa; agriculture;

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