DEMAND EQUATIONS FOR SELECTED SOUTH AFRICAN AGRICULTURAL COMMODITIES
ABSTRACT A set of demand equations for 18 South African agricultural products, representing three demand systems (red meats, fruits and vegetables), were estimated from monthly data for the period December 1982 to February 1988. Data were deflated with a commodity price index and natural logarithmic partial adjustment equations were estimated with two-stage least squares to determine demand parameters for each product. Theoretically expected results were obtained and, owing to variability in seasonal data, results were generally highly significant. Beef is confirmed as the dominant commodity in the red meat market, having cross-price flexibilities with mutton and pork of 0,30 and 0,20, respectively. All goods other than pumpkins are shown to be normal and fruits and vegetables (having many substitutes) are shown to be demand elastic. All products are normal goods, with the exception of pumpkins (income flexibility of −0,74), which are inferior. Apples and pineapples were found to be the dominant fruits an...
Modelling the Market Outlook and Policy Alternatives for the Wheat Sector in South Africa
In this study, the structure of the South African wheat market is analysed using economic theory and econometric modelling techniques. The developed model is used to make baseline projections regarding the supply and use of wheat in South Africa and to analyse the impacts of various policy alternatives on the wheat sector for the period 2002 - 2008. Results indicate that after an initial decline in the area harvested in 2003, the area harvested will increase over time. Domestic consumption will gradually decrease over time, which will result in lower levels of imports and higher level of exports. Three policy scenarios are analysed, the elimination of the import tariff for wheat, a twelve percent depreciation in the exchange rate, and the convergence of the elimination of the import tariff and the 12% depreciation in the exchange rate.
Influence of Diluted Spent Wash of Sugar Industries Application on Yield of and Nutrient Uptake by Sugarcane and Changes in Soil Properties
A pot experiment was conducted to study the effect of irrigation with tube well water (S0) as well as with spent wash diluted for 25 (S25), 50 (S5O) and 100 (S100) times on yield of and nutrient uptake by sugarcane grown on Typic Chromustert. The results revealed that application of spent wash diluted at any level increased the sugarcane yield and nutrient uptake significantly over S0. Less diluted spent wash gave higher yield of biomass than the concentrated one. Though, there was tendency for slight increase in the soil salinity due to use of spent wash, yet the nutrient availability of P, K and S increased considerably. Further, there was indication of betterment in some physical conditions of soil.