Aspects of agricultural marketing in Lebowa

Abstract

Marketing development is crucial for agricultural development in less developed areas, and should keep pace with general agricultural development. In Lebowa, markets for surplus food crops tend to be too far away from producers. Thirty‐five per cent of farmers sell livestock products, mostly privately. Livestock sales are mostly by auction. Many farmers take cattle to auctions and decide not to sell. Co‐operatives will probably be the most suitable marketing institutions for crop products channeled to South African controlled markets, while farmers should be free to market other products in any manner they wish. Lebowa farmers prefer private credit, particularly from friends and relatives, to bank credit. They also prefer to hoard money rather than bank it. Relatively little credit seems to be needed at an early development stage, but less than necessary is available. Co‐ops can in future be important in this respect. Collateral for loans presents a problem.

Notes

Department of Economics, Vista University

Department of Agricultural Economics, University of Pretoria