Abstract:
Smallholder beef cattle farming remains pivotal in sustaining rural livelihoods and forms
part of South Africa’s government efforts to promote rural development. However, the
poor performance of the sector, driven by poor management practices, limited access to
formal markets, and weak profitability, continues to raise concerns. This study
investigated the performance of smallholder beef cattle farmers in the uMgungundlovu
District, KwaZulu-Natal, focusing on livestock management practices, productivity, and
profitability. A cross-sectional survey was conducted with 397 farmers across four
purposively selected municipalities (uMngeni, Richmond, iMpofana, and Impendle). A
simple random sampling technique was applied in Microsoft Excel within each
municipality, in which each registered smallholder farmer was assigned a random
number, and the required sample was drawn from those numbers. Descriptive statistics
were used to profile farmers and their practices. To determine the factors influencing
farmers’ market choice, a multinomial logit regression model was used. Moreover, an
ordinal regression model was employed to assess the impact of socio-economic and
management factors on revenue outcomes, as revenue was operationalised as an ordinal
categorical variable classified into three income brackets.
The farming population was predominantly aged 51 to 70 (43.1%), followed by 35.5%
aged 31 to 50. Just under half (48.2%) of farmers had received formal training in livestock
production. This finding (p < 0.001) reinforces the central role of education in income
determination. Better-educated individuals tend to earn more and diversify their income
sources. This study found that the livestock farming population is primarily composed of
middle-aged, male, semi-educated, and resource-poor individuals, who rely significantly
on traditional farming methods and government assistance. The multinomial logit
regression revealed that farmers' market choices were significantly influenced by
education level (p < 0.001), extension service quality (p < 0.05), access to quality bulls (p
< 0.05), and breeding knowledge. . Specifically, secondary and tertiary education reduced
the likelihood of participating in auction markets relative to informal markets, while limited
breeding knowledge and poor extension services further constrained participation in
formal channels.
The results further revealed the predominant use of informal methods such as visual
appraisal of animal weight and market price, with limited record-keeping by farmers.
Furthermore, a significant positive correlation was found between higher cattle prices and
achieving higher revenue categories. Specifically, cattle prices above R4 000 per head
had a significant positive effect on higher revenue categories (p < 0.001). However, midrange
mid-range labour costs (R1 500–R2 000) exerted a negative influence on revenue
(p < 0.004). This suggests improvement in labour efficiency to raise revenues for
smallholder beef cattle farmers. This study makes an original contribution by being the
first to simultaneously integrate management practices, market dynamics, and revenue
outcomes within a single district-level analytical framework in uMgungundlovu, KwaZulu-
Natal. Unlike previous studies that have examined these dimensions in isolation, this
research provides an integrated evidence base that directly links socio-economic and
management factors to market channel choice and revenue categories, a contribution
that is both empirically novel and policy-relevant at the district level Therefore, It is
recommended that the Department of Agriculture, Land Reform and Rural Development
(DALRRD), together with extension officers and agricultural cooperatives, establish
structured performance measurement systems and improved herd and management
interventions for smallholder farmers. Moreover, government policies that target
strengthening extension services, promoting training in record-keeping and breeding
management, and enhancing farmers’ bargaining power in formal markets are crucial for
improving the profitability, sustainability, and commercialization of smallholder beef
enterprises.
