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18 April 2019 | Story Rulanzen Martin
The Institute for Reconciliation and Social Justice IRSJ) has initiated a Social Justice Week at the University of the Free State (UFS), which started on Friday 12 April  until Wednesday 17 April 2019. 

Ten key events took place during the week. It ranged from dialogues, workshops, talk shows, debates, and interactive displays and events on issues of multilingualism and diversity, social innovation, engaged scholarship, the Fourth Industrial Revolution, gender sensitisation, sexual consent, sexual preparedness, universal access, disability, anti-discrimination, and security.

There was also a round-table discussion on 17 April 2019 with various UFS stakeholders on off-campus student security as well as an inter-institutional discussion on the same topic. The UFS Debating Society will take on the topic of the UFS Language Policy, while Olga Barends from the Free State Centre for Human Rights will host a dialogue on sexual consent.

The IRSJ has also designed and implemented SOJO-VATION: Social Innovation/ Social Change, which strives to create a foundational platform where ideas of social justice, innovation, and engaged scholarship at the UFS and in society can be hosted. SOJO-VATION partners with the Office for Student Leadership, Development, and Community Engagement.

The collaborating partners for the Social Justice Week includes various UFS stakeholders such as the Sasol library, the Gender and Sexual Equity Office, UFS Protection Services, the Free State Centre for Human Rights, the Student Representative Council (SRC), the Office for Student Leadership Development, Kovsie Innovation, GALA, the FFree State Centre for Human Rights, SRC Associations, the Office for Student Governance, Kovsie Innovate, Start-Up-Grind, EVC, EBL, Community Engagement, the Institutional Transformation Plan (ITP) Dialogues Office, Residence Dialogues, UFS Debating Society, Debate Afrika!, the Center for Universal Access and Disability Support (CUADS), and the Gateway Office. 

News Archive

Producers to save thousands with routine marketing strategies, says UFS researcher
2014-09-01

 

Photo: en.wikipedia.org

Using derivative markets as a marketing strategy can be complicated for farmers. The producers tend to use high risk strategies which include the selling of the crop on the cash market after harvest; whilst the high market risks require innovative strategies including the use of futures and options as traded on the South African Futures Exchange (SAFEX).

Using these innovative strategies are mostly due to a lack of interest and knowledge of the market. The purpose of the research conducted by Dr Dirk Strydom and Manfred Venter from the Department of Agricultural Economics at the University of the Free State (UFS) is to examine whether the adoption of a basic routine strategy is better than adopting no strategy at all.

The research illustrates that by using a Stochastic Efficiency with Respect to a Function (SERF) and Cumulative Distribution Function (CDF) that the use of five basic routine marketing strategies can be more rewarding. These basic strategies are:
• Put (plant time)
• Twelve-segment pricing
• Three-segment pricing
• Put (pollination)(Critical Moment in production/marketing process), and
• Pricing during pollination phase.

These strategies can be adopted by farmers without an in-depth understanding of the market and market-signals. Farmers can save as much as R1.6 million per year on a 2000ha farm with an average yield.

The results obtained from the research illustrate that each strategy is different for each crop. Very important is that the hedging strategies are better than no hedging strategy at all.

This research can also be applicable to the procurement side of the supply chain.

Maize milling firms use complex procurement strategies to procure their raw materials, or sometimes no strategy at all. In this research, basic routine price hedging strategies were analysed as part of the procurement of white maize over a ten-year period ranging from 2002–2012. Part of the pricing strategies used to procure white maize over the period of ten years were a call and min/max strategy. These strategies were compared to the baseline spot market. The data was obtained from the Johannesburg Stock Exchange’s Agricultural Products Division better known as SAFEX.

The results obtained from the research prove that by using basic routine price-hedging strategies to procure white maize, it is more beneficial to do so than by procuring from the spot market (a difference of more than R100 mil).

Thus, it can be concluded that it is not always necessary to use a complex method of sourcing white maize through SAFEX, to be efficient. By implementing a basic routine price hedging strategy year on year it can be better than procuring from the spot market.

Understanding the Maize Maze by Dr Dirk Strydom and Manfred Venter (pdf) - The Dairy Mail


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