An economic assessment of the value of cattle to the rural communities in the former Venda region

Abstract

This article assesses the economic value of livestock to rural communities in quantitative terms. A quantitative valuation of livestock is assessed in terms of milk production, manure use, draught power and offtake/sales criteria. The study is based on a cross-sectional survey of 125 small-scale cattle farmers interviewed in the Venda region of the Limpopo Province of South Africa. The results of the study estimated the average total value of an adult cow to be R1 152. This value should be viewed as an opportunity cost of the cattle. A quantitative valuation of livestock is important in indicating the degree of impact of cattle mortalities on the livelihood of rural households. In addition, it offers important guidelines for farmers' compensation by the government, should a disaster occur.