Market awareness and participation for cattle farmers in the kaonafatso ya dikgomo (KyD) scheme in Kwazulu-Natal Province, South Africa

Abstract

The objective of the study was to outline the determinants of market awareness and participation in the Kaonafatso ya Dikgomo (KyD) scheme in South Africa. The study utilised a cross-sectional survey of a randomly selected sample of 116 KyD farmers in KwaZulu-Natal Province. A Logit model was used to analyse the data. The results show that more farmers are aware of farmgate market channels, but however, they tended to utilise auction market channels. Furthermore, gender, marital status, educational level, employment status, farm income, source of income, herd size, labour and training were significant variables in the awareness and use of butcheries, auctions and farm gate markets. The study concludes that the scheme is particularly effective in influencing commercialisation through utilisation of more lucrative market channels such as auctions. Furthermore, socio-economic factors had a bearing on the awareness and use of marketing channels for smallholder farmers in the KyD scheme. Labour was particularly significant across butchery, auction and farm gate market channels. The study recommends that the scheme needs to improve awareness and use of market channels through utilisation of information platforms such as radio, television and direct communication though mobile phones. Furthermore, extension should assist farmers not only in awareness of markets, but also in the utilisation of those markets.