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Die bepaling van die makro-ekonomiese bydrae van die agro-nywerheidsektor tot die ekonomiese ontwikkeling van die Republiek van Suid-Afrika

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North-West University (South Africa)

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The determination of the macro-economic contribution of agro-industries to the economic development of the Republic of South Africa. The aim of this dissertation is to indicate the role of agro-industries in the economy of the Republic of South Africa. It requires an analysis of the international aspects of agro-industries, the geographical distribution within the Republic of South Africa, the contribution to the GDP, employment, location coefficients and the contribution to the balance of payments. By studying relevant literature, a useful definition for agro-industries could be found. For the purpose of this study, agro-industries are defined as manufacturing industries of which the material inputs are directly and indirectly obtained from locally renewable natural resources. The dissertation consists primarily of empirical research. This requires the use of statistical data and methods. These statistical methods include deflators, exchange rate adjustments, calculation of averages, and the application of formulae for obtaining location coefficients. Findings indicate that Development Regions A (Cape), E (Natal) and H (PWV) participated in 75 percent of the total RSA agro-industrial production. The agricultural sector has made a greater contribution to the GDP than the agro-industrial sector during the period 1975 to 1988. Additional processing of agricultural products is possible and can thus improve the contribution made by the agro-industrial sector. Agro-industries provide 27 percent of all employment opportunities in the manufacturing sector. A total of 455 204 persons were employed in agro-industries in the Republic of South Africa in 1985. The calculated location coefficients indicate that Development Region E has the largest comparative advantage for the location of agro-industries, followed by Development Regions D (Eastern Cape) and A. Although the manufacturing sector yielded a negative contribution to the trade balance, agro-industries' exports realised an approximate improvement of 30 per cent (positive). Market research indicates that possible export potential resulted in the identification of twelve products with good potential for export. A thorough investigation is imperative in order to ascertain whether the identified potential is justified. The promotion of agro-industries will provide for an increase in employment opportunities, improvement of the trade balance and balanced regional development. Therefore, it may be concluded that agro-industries play a pivotal role in the future economic development of the Republic of South Africa.

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MCom (Ekonomie), North-West University, Potchefstroom Campus

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