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09 February 2024 | Story EDZANI NEPHALELA | Photo SUPPLIED
Jerry Dlamini
Dr Jerry Dlamini, lecturer and researcher specialising in agronomy within the Department of Soil, Crop, and Climate Sciences at the University of the Free State (UFS), is at the forefront of pioneering research in this field.

Greenhouse gas emissions represent a significant global concern, driving climate change on a massive scale. This concern is particularly pronounced in rainfed agriculture, where understanding and addressing these emissions are crucial for ensuring sustainable agricultural practices. 

In South Africa, rainfed agriculture is vital in food production, contributing substantially to the nation's agricultural output. However, this sector also stands as a notable contributor to greenhouse gas emissions, primarily through activities such as livestock farming, fertiliser use, and changes in land use.

Dr Jerry Dlamini, a distinguished lecturer and researcher specialising in agronomy within the Department of Soil, Crop, and Climate Sciences at the University of the Free State (UFS), is leading pioneering research in this field. His current project, @CROPGas on X, funded by the European Joint Programme (EPJ), with a budget of R22 million, focuses on investigating the impact of various conservation agriculture interventions on greenhouse gas emissions, primarily targeting nitrous oxide (N2O), methane (CH4), and carbon dioxide (CO2).

This two-year project, which commenced in December 2022 and concludes in December 2024, is a collaborative effort between European and African universities and institutions, including Rothamsted Research (UK), University College Dublin (Ireland), University of Nottingham (UK), University of Poznan (Poland), British Geological Surveys (BGS), University of Zambia (Zambia), University of Zimbabwe, and Lilongwe University of Agriculture and Natural Resources (Malawi). 

Dr Dlamini’s preliminary findings from the UFS Kenilworth Experimental Farm indicate that climate-smart agriculture interventions, such as legume rotation and no-till practices, have the potential to reduce the intensity of greenhouse gas emissions, particularly highly radiative gases like N2O.

“This is a significant finding,” Dr Dlamini noted, “as N2O has a global warming potential 100 times greater than CO2 over a 100-year horizon, meaning its impact on ozone depletion persists far longer despite being emitted in smaller quantities.”

Looking ahead, Dr Dlamini advocates for increased research efforts to quantify greenhouse gas emissions from South African croplands. He emphasises the importance of field-based measurements, akin to methodologies employed by other nations, to enhance the accuracy and effectiveness of South Africa's greenhouse gas inventories submitted annually to the United Nations Framework Convention on Climate Change (UNFCCC) and to devise effective mitigation strategies. 

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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