Southern Africa and Agro-processing: Investigating the state of agricultural RVCs and the role of South African food retailers in regional supplier development

dc.contributor.advisorBlack, Anthony
dc.contributor.authorGorven, Ruth
dc.date.accessioned2022-01-28T12:50:18Z
dc.date.available2022-01-28T12:50:18Z
dc.date.issued2021
dc.date.updated2022-01-28T12:49:47Z
dc.description.abstractRegional integration in southern Africa must enable wide-spread economic benefits. Agroprocessing value chains could play a significant role in pursuing this kind of growth but can only do so with public-private collaboration and strong developmental regionalism. Agricultural and agro-processing regional value chains are a mechanism through which countries can upgrade their production capabilities, while supporting poor communities and driving economic development. Unfortunately, current growth and trade performance indicates that these sectors have not reached their potential. Variability and volatility in agriculture, practical challenges of trade facilitation, and slow growth in agro- processing have limited the industry's impact on development. South Africa's trade dominance also leads to political resistance to further regional integration. These challenges limit other southern African countries from upgrading in this industry by restricting development of regional value chains, preventing agro-processing industries from achieving global competitiveness. Case studies of supermarkets' engagement in the region and Nando's supplier development programmes provide a qualitative assessment of why agro-processing has not expanded significantly, and what steps might be taken to stimulate its growth. The role of supermarkets in regional agro-processing is significant, but their contribution toward the industry's development has so far had limited impact. Case studies show supermarkets do operate some effective supplier development programmes but face severe challenges. The Nando's Peri Farms Initiative provides an example of an effective supplier development programme, balancing business with socially oriented outcomes. The programme invests in regional suppliers and guarantees prices to small scale farmers. This ensures that farmers in the project experience improvements in their standards of living and business prospects, while also securing Nando's business interests. This kind of programme may be scalable to other firms, but requires incentives from government, aid donors, or NGOs to encourage large firms to pursue socially beneficial objectives. Further research into the role of firms like Nando's and the scalability of Peri Farms Initiativestyle projects is needed in order to understand how the expansion of supplier development could pursue developmental outcomes and the growth of equitable regional value chain participation. Additional investigation into the role of incentives for private firms through government or nongovernmental organisation (NGO) involvement would be valuable. Furthermore, this kind of programme may be applicable to food suppliers and producers, and research of those industries could broaden the impact of this research.
dc.identifier.apacitationGorven, R. (2021). <i>Southern Africa and Agro-processing: Investigating the state of agricultural RVCs and the role of South African food retailers in regional supplier development</i>. (). ,Faculty of Commerce ,School of Economics. Retrieved from http://hdl.handle.net/11427/35606en_ZA
dc.identifier.chicagocitationGorven, Ruth. <i>"Southern Africa and Agro-processing: Investigating the state of agricultural RVCs and the role of South African food retailers in regional supplier development."</i> ., ,Faculty of Commerce ,School of Economics, 2021. http://hdl.handle.net/11427/35606en_ZA
dc.identifier.citationGorven, R. 2021. Southern Africa and Agro-processing: Investigating the state of agricultural RVCs and the role of South African food retailers in regional supplier development. . ,Faculty of Commerce ,School of Economics. http://hdl.handle.net/11427/35606en_ZA
dc.identifier.ris TY - Master Thesis AU - Gorven, Ruth AB - Regional integration in southern Africa must enable wide-spread economic benefits. Agroprocessing value chains could play a significant role in pursuing this kind of growth but can only do so with public-private collaboration and strong developmental regionalism. Agricultural and agro-processing regional value chains are a mechanism through which countries can upgrade their production capabilities, while supporting poor communities and driving economic development. Unfortunately, current growth and trade performance indicates that these sectors have not reached their potential. Variability and volatility in agriculture, practical challenges of trade facilitation, and slow growth in agro- processing have limited the industry's impact on development. South Africa's trade dominance also leads to political resistance to further regional integration. These challenges limit other southern African countries from upgrading in this industry by restricting development of regional value chains, preventing agro-processing industries from achieving global competitiveness. Case studies of supermarkets' engagement in the region and Nando's supplier development programmes provide a qualitative assessment of why agro-processing has not expanded significantly, and what steps might be taken to stimulate its growth. The role of supermarkets in regional agro-processing is significant, but their contribution toward the industry's development has so far had limited impact. Case studies show supermarkets do operate some effective supplier development programmes but face severe challenges. The Nando's Peri Farms Initiative provides an example of an effective supplier development programme, balancing business with socially oriented outcomes. The programme invests in regional suppliers and guarantees prices to small scale farmers. This ensures that farmers in the project experience improvements in their standards of living and business prospects, while also securing Nando's business interests. This kind of programme may be scalable to other firms, but requires incentives from government, aid donors, or NGOs to encourage large firms to pursue socially beneficial objectives. Further research into the role of firms like Nando's and the scalability of Peri Farms Initiativestyle projects is needed in order to understand how the expansion of supplier development could pursue developmental outcomes and the growth of equitable regional value chain participation. Additional investigation into the role of incentives for private firms through government or nongovernmental organisation (NGO) involvement would be valuable. Furthermore, this kind of programme may be applicable to food suppliers and producers, and research of those industries could broaden the impact of this research. DA - 2021 DB - OpenUCT DP - University of Cape Town KW - economics LK - https://open.uct.ac.za PY - 2021 T1 - Southern Africa and Agro-processing: Investigating the state of agricultural RVCs and the role of South African food retailers in regional supplier development TI - Southern Africa and Agro-processing: Investigating the state of agricultural RVCs and the role of South African food retailers in regional supplier development UR - http://hdl.handle.net/11427/35606 ER - en_ZA
dc.identifier.urihttp://hdl.handle.net/11427/35606
dc.identifier.vancouvercitationGorven R. Southern Africa and Agro-processing: Investigating the state of agricultural RVCs and the role of South African food retailers in regional supplier development. []. ,Faculty of Commerce ,School of Economics, 2021 [cited yyyy month dd]. Available from: http://hdl.handle.net/11427/35606en_ZA
dc.language.rfc3066eng
dc.publisher.departmentSchool of Economics
dc.publisher.facultyFaculty of Commerce
dc.subjecteconomics
dc.titleSouthern Africa and Agro-processing: Investigating the state of agricultural RVCs and the role of South African food retailers in regional supplier development
dc.typeMaster Thesis
dc.type.qualificationlevelMasters
dc.type.qualificationlevelMCom
Files
Original bundle
Now showing 1 - 1 of 1
Loading...
Thumbnail Image
Name:
thesis_com_2021_gorven ruth.pdf
Size:
1.89 MB
Format:
Adobe Portable Document Format
Description:
License bundle
Now showing 1 - 1 of 1
Loading...
Thumbnail Image
Name:
license.txt
Size:
0 B
Format:
Item-specific license agreed upon to submission
Description:
Collections