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29 January 2019 | Story Xolisa Mnukwa | Photo Anja Aucamp
Prof Francis Petersen speech
“We can create an institution that operates and lives in the times of embracing and celebrating diversity, inclusivity, and academic excellence by ensuring that students own their time at university,” said Prof Francis Petersen.

25 January 2019 marked the official welcoming of the University of the Free State’s (UFS) first-year students, as they moved into their respective residences and were warmly welcomed on the UFS Bloemfontein Campus. This day also marked the start of the registration process for first-year students.

According to first-year Psychology student Keisha Claasen, who moved into her residence earlier on 25 January, her first experience of the UFS was daunting but exciting, as she had never been in a similar environment. According to Given Gwerera, who dropped his son off at the Karee residence earlier the day, “the UFS is an institution with great culture and an overall good academic record.” He further explained that he trusts his son to make full use of the opportunities presented to him, as he has a cool head on his shoulders.

On the evening of 25 January, an eager group of millennials, joined by their parents, took the first sip from their cup of varsity life as they assembled on the Red Square of the Bloemfontein Campus to meet the Rector and Vice-Chancellor, Prof Francis Petersen, members of Rectorate, the deans of all faculties, and the Student Representative Council (SRC) of the UFS.

“2019 will be a year of continued change; the UFS is thrilled about the prospect of bringing about opportunities for adaptation and realignment to the future,” said Prof Francis Petersen.

He further explained that the university prides itself in moulding its students into well-rounded individuals who will develop into globally competitive graduates as required in a diversity of landscapes. Prof Petersen urged first-years to remain open to the technological developments that go with globalisation, because of its permanent effects on society today.

First-years were further advised to take advantage of the rich pool of academic research and knowledge that is characteristic of the university and is piloted by UFS scholars, by engaging with and learning from them.

The inspiring night concluded on a colourful note, as the audience enjoyed an artistic laser show in front of the Main Building. Caption:

“UFS academics conduct research that forces the world to take note,” said Prof Francis Petersen at the official first-year welcoming ceremony on the UFS Bloemfontein Campus.

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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