KEY FACTORS FOR THE IMPROVEMENT OF SMALLHOLDER FARMERS’ PARTICIPATION IN AGRO-PROCESSING INDUSTRIES OF GAUTENG PROVINCE OF REPUBLIC OF SOUTH AFRICA: LESSONS FOR THE EXTENSION ADVISORY SERVICES

Abstract

This study aims at identifying factors that could be used as parameters to improve the smallholder farmers’ participation in the agro-processing industries of Gauteng province in order to enhance job creation and self-employment. The study used both qualitative and quantitative research approaches. The focus sessions were used to exploit the respondents’ views regarding their participation or lack thereof. On the other hand, the quantitative approaches were used to quantify the effect of the factors under consideration. A sample of (n = 78) smallholder farmers were purposively selected across ten (n=10) local municipalities. The data were analysed using a logistic regression model where non-participation and participation were coded 0 and 1, respectively. The effect of profit, access to advice, age of the farmers, and information flow to the participation of the smallholder farmers was tested. The study found that five identified parameters {information supply (beta = 0.315, p = 0.002), bonds (beta = 0.332, p = 0.000), mutual trust (beta = 0.410, p = 0.000), age (beta = 0.242, p = 0.004) and access to study group (beta =-0.416, p = 0.000)} have significant probabilities to improve the participation of smallholder farmers in the agro-processing sub-sector. The results imply that extension advisors and policymakers can use these parameters to improve the participation and representativeness of the smallholder farmers in the agro-processing industries.