IDEAS home Printed from https://ideas.repec.org/p/ags/aaae23/364827.html

Adoption and Profitability of Soybean Production among Smallholder Farmers in South Africa: A case of Bergville in Okhahlamba Local Municipality, Kwa-Zulu Natal

Author

Listed:
  • Simamkele, Mkhutshwa
  • Abbyssinia, Mushunje
  • Petronella, Chaminuka

Abstract

The study aimed to determine demographic, and socioeconomic factors affecting the adoption of soybean production and its profitability among smallholder farmers in South Africa, particularly in Bergville in Okhahlamba Local Municipality, Kwa-Zulu natal. A sample size of 81 respondents was purposively selected and from the sample 58.2% of the respondents were soybean adopters and 47.98% were non-adopters. A logistic regression model was used to analyze the factors affecting adoption and a gross margin analysis was used to determine the profitability of soybean production on the adopters. The logistic regression results revealed that only total farm size, bank credit access, and membership to a farmer organization were significant in influencing soybean adoption at 10% and 1% significance levels. Bank credit access had a negative relationship with soybean adoption, and total farm size, and membership to a farmer organization had a positive relationship with soybean adoption. The gross margin results were positive which indicated that soybean production was profitable for the smallholder farmers in the study area. Based on the results the study recommends that government stakeholders and extension practitioners should encourage more involvement of smallholder farmers in farmer organizations to enhance their adoption potential of soybean production. Land redistribution should be given a priority because land ownership will encourage adoption and also increase accessibility to bank credits. Although gender was not significant, women were most likely to adopt soybean therefore priority should be given to them for women empowerment.

Suggested Citation

  • Simamkele, Mkhutshwa & Abbyssinia, Mushunje & Petronella, Chaminuka, 2023. "Adoption and Profitability of Soybean Production among Smallholder Farmers in South Africa: A case of Bergville in Okhahlamba Local Municipality, Kwa-Zulu Natal," 2023 Seventh AAAE/60th AEASA Conference, September 18-21, 2023, Durban, South Africa 364827, African Association of Agricultural Economists (AAAE).
    • Handle: RePEc:ags:aaae23:364827
    DOI: 10.22004/ag.econ.364827
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/364827/files/248.%20Soybens%20in%20South%20Africa.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.364827?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Francesco Burchi & Margherita Scarlato & Giorgio d'Agostino, 2018. "Addressing Food Insecurity in Sub‐Saharan Africa: The Role of Cash Transfers," Poverty & Public Policy, John Wiley & Sons, vol. 10(4), pages 564-589, December.
    2. Lindumusa Myeni & Mokhele Moeletsi & Mulalo Thavhana & Mulalo Randela & Lebohang Mokoena, 2019. "Barriers Affecting Sustainable Agricultural Productivity of Smallholder Farmers in the Eastern Free State of South Africa," Sustainability, MDPI, vol. 11(11), pages 1-18, May.
    3. John Basera & Clifton Makate & Takesure Tozooneyi, 2016. "Comprehending smallholder maize enterprises` profitability with the current maize marketing system in Zimbabwe: A case of Mazowe district," Asian Journal of Agriculture and rural Development, Asian Economic and Social Society, vol. 6(6), pages 90-105, June.
    4. Kellie J. Archer & Stanley Lemeshow, 2006. "Goodness-of-fit test for a logistic regression model fitted using survey sample data," Stata Journal, StataCorp LLC, vol. 6(1), pages 97-105, March.
    5. Wilson Dogbe & Prince Etwire & Edward Martey & John Etwire & Inusah Baba & Aliyu Siise, 2013. "Economics of Soybean Production: Evidence from Saboba and Chereponi Districts of Northern Region of Ghana," Journal of Agricultural Science, Canadian Center of Science and Education, vol. 5(12), pages 1-38, November.
    6. John Basera & Clifton Makate & Takesure Tozooneyi, 2016. "Comprehending Smallholder Maize Enterprises’ Profitability with the Current Maize Marketing System in Zimbabwe: A Case of Mazowe District," Asian Journal of Agriculture and Rural Development, Asian Economic and Social Society, vol. 6(6), pages 90-105.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dorothy Watson & Christopher T. Whelan & Bertrand Maitre & James Williams, 2016. "Socio-Economic Variation in the Impact of the Irish Recession on the Experience of Economic Stress among Families," The Economic and Social Review, Economic and Social Studies, vol. 47(4), pages 477-498.
    2. Oanh Kieu Nguyen & Anil N Makam & Ethan A Halm, 2016. "National Use of Safety-Net Clinics for Primary Care among Adults with Non-Medicaid Insurance in the United States," PLOS ONE, Public Library of Science, vol. 11(3), pages 1-14, March.
    3. Anne-Kathrin M. Loer & Olga M. Domanska & Christiane Stock & Susanne Jordan, 2020. "Subjective Generic Health Literacy and Its Associated Factors among Adolescents: Results of a Population-Based Online Survey in Germany," IJERPH, MDPI, vol. 17(22), pages 1-23, November.
    4. Johnen, Constantin & Parlasca, Martin & Mußhoff, Oliver, 2023. "Mobile money adoption in Kenya: The role of mobile money agents," Technological Forecasting and Social Change, Elsevier, vol. 191(C).
    5. repec:osf:socarx:c76qh_v1 is not listed on IDEAS
    6. Mingming Li & Marko Milojevic & Dmitry Gura, 2024. "Development of methodology for evaluating sustainable rural development," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(8), pages 21237-21257, August.
    7. Janvier Gasana & Boubakari Ibrahimou & Ahmed N. Albatineh & Mustafa Al-Zoughool & Dina Zein, 2021. "Exposures in the Indoor Environment and Prevalence of Allergic Conditions in the United States of America," IJERPH, MDPI, vol. 18(9), pages 1-13, May.
    8. Mare, David C. & Fabling, Richard & Stillman, Steven, 2011. "Immigration and Innovation," Motu Working Papers 291436, Motu Economic and Public Policy Research.
    9. Ngokkuen, Chuthaporn & Grote, Ulrike, 2012. "Geographical Indication for Jasmine Rice: Applying a Logit Model to Predict Adoption Behavior of Thai Farm Households," Quarterly Journal of International Agriculture, Humboldt-Universitaat zu Berlin, vol. 51(2), pages 1-29, May.
    10. repec:plo:pone00:0091252 is not listed on IDEAS
    11. repec:plo:pone00:0121116 is not listed on IDEAS
    12. Ashley D. Ross & Abbey Hotard & Manoj Kamalanathan & Rayna Nolen & David Hala & Lauren A. Clay & Karl Kaiser & Antonietta Quigg, 2020. "Awareness Is Not Enough: Frequent Use of Water Pollution Information and Changes to Risky Behavior," Sustainability, MDPI, vol. 12(20), pages 1-17, October.
    13. Mahali Elizabeth Lesala & Nyarai Mujuru & Lelethu Mdoda & Ajuruchukwu Obi, 2025. "Evaluating the Economic Impact of Market Participation on the Well-Being of Smallholder Irrigators: Evidence from the Eastern Cape Province, South Africa," Sustainability, MDPI, vol. 17(8), pages 1-23, April.
    14. Xiaoyu Zhang & Ee Shiang Lim & Maowei Chen, 2024. "Promoting Sustainable Urban Mobility: Factors Influencing E-Bike Adoption in Henan Province, China," Sustainability, MDPI, vol. 16(22), pages 1-15, November.
    15. Millett, Lina Sapokaite & Seay, Kristen D. & Kohl, Patricia L., 2015. "A national study of intimate partner violence risk among female caregivers involved in the child welfare system: The role of nativity, acculturation, and legal status," Children and Youth Services Review, Elsevier, vol. 48(C), pages 60-69.
    16. Louisa J.M. Jansen & Patrick P. Kalas, 2020. "Improving Governance of Tenure in Policy and Practice: A Conceptual Basis to Analyze Multi-Stakeholder Partnerships for Multi-Stakeholder Transformative Governance Illustrated with an Example from Sou," Sustainability, MDPI, vol. 12(23), pages 1-30, November.
    17. Rafay Waseem & Gershom Endelani Mwalupaso & Faria Waseem & Humayoon Khan & Ghulam Mustafa Panhwar & Yangyan Shi, 2020. "Adoption of Sustainable Agriculture Practices in Banana Farm Production: A Study from the Sindh Region of Pakistan," IJERPH, MDPI, vol. 17(10), pages 1-14, May.
    18. Mfanufikile Mabuza & Jorine T. Ndoro, 2023. "Borich’s Needs Model Analysis of Smallholder Farmers’ Competence in Irrigation Water Management: Case Study of Nkomazi Local Municipality, Mpumalanga Province in South Africa," Sustainability, MDPI, vol. 15(6), pages 1-17, March.
    19. Constantin Johnen & Oliver Mußhoff, 2023. "Digital credit and the gender gap in financial inclusion: Empirical evidence from Kenya," Journal of International Development, John Wiley & Sons, Ltd., vol. 35(2), pages 272-295, March.
    20. Brzozowski, Michał & Tchorek, Grzegorz, . "Ryzyko kursowe jako przeszkoda w działalności eksportowej. Wnioski z Polski," Gospodarka Narodowa-The Polish Journal of Economics, Szkoła Główna Handlowa w Warszawie / SGH Warsaw School of Economics, vol. 2017(3).
    21. Tashiana Beharielal & Joyce Thamaga-Chitja & Stefan Schmidt, 2022. "Socioeconomic Characteristics Associated with Farming Practices, Food Safety and Security in the Production of Fresh Produce—A Case Study including Small-Scale Farmers in KwaZulu-Natal (South Africa)," Sustainability, MDPI, vol. 14(17), pages 1-17, August.
    22. Anne-Kathrin M. Loer & Olga M. Domanska & Christiane Stock & Susanne Jordan, 2022. "Correction: Loer et al. Subjective Generic Health Literacy and Its Associated Factors among Adolescents: Results of a Population-Based Online Survey in Germany. Int. J. Environ. Res. Public Health 202," IJERPH, MDPI, vol. 19(3), pages 1-3, February.
    23. Michał Brzozowski & Grzegorz Tchorek, 2017. "Exchange Rate Risk as an Obstacle to Export Activity," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 3, pages 115-141.

    More about this item

    Keywords

    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aaae23:364827. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aaaeaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.