Commercialization of Smallholder Farmers in Mutale Municipality of Vhembe District of Limpopo

Theoretical Background

The literature revealed that the subject of smallholder commercialization has received attention and studies were conducted in different countries such as Europe; (Labarthe & Laurent, 2013; Eicher & Staatz, 1985); Sub-Saharan countries and South Africa (Kirstin, et al., 2013; Ghana: Martey, et al., 2012; Kenya: Wanjohi & Karani, 2017); Ethiopia (Gebre-Ab. 2006; Abera, 2009), Swaziland (Kiribege, 2016) and Ghana, Tanzania, Nigeria and Zimbabwe (Saha et al., 2021). Several studies were also conducted in South Africa on the concept of smallholder commercialization (Zantsi et al., 2019; Carelsen et al., 2021 and Zondi et al., 2022). Lessons drawn from these studies are discussed in this chapter. Agriculture is considered very important in all the countries where the studies were carried out. The South African government has also identified it as a key mover in rural development and in creating jobs (National Development Plan, 2012). Apart from job creation, it is noted that agriculture produces faster growth, reduces poverty and sustains the environment if it is made to work in harmony with other sectors of the economy (World Bank, 2007). As noted by various studies, agriculture contributes to the development of a country. Abera (2009) and Zondi et al. (2022) categorised three levels of agriculture importance. On the first level, it serves as an economic activity, at the second level, it provides a source of livelihood and on the third level is a provider of environmental services. According to Galal (2022), over six million households were engaged in smallholder agriculture in South Africa from the South African Labour Force Survey. Provinces with larger portions of rural areas, such as Limpopo (37.5 per cent) and Eastern Cape (35.9 per cent), were more likely to share large numbers of households involved in some sort of agricultural production.