scholarly journals Is vertical separation a prerequisite to enhancing competition in the South African energy industry?

2014 ◽  
Vol 7 (4) ◽  
pp. 527-546
Author(s):  
Thembalethu Sithebe ◽  
Tshekishi Kolobe
Keyword(s):  
South African ◽  
Value Chain ◽  
Natural Monopoly ◽  
Energy Industry ◽  
Vertical Separation ◽  
The South ◽  
Positive Effects ◽  
Positive Results

Vertical separation is believed to have positive effects in energy sectors where certain phases of the value chain operate under a natural monopoly. This paper discusses whether unbundling is necessary in the South African electricity and piped gas sectors to encourage entry and increase competition based on the experiences of other nations. Despite positive results in some instances, unbundling does not always result in higher levels of competition and benefits for consumers. In fact, in some cases, vertical separation has resulted in energy sectors that are worse off.

scholarly journals The competitive status of the South African Wheat Industry

2016 ◽  
Vol 9 (3) ◽  
pp. 651-666 ◽  
Author(s):  
Johannes Van der Merwe ◽  
Philippus Cloete ◽  
Herman Van Schalkwyk
Keyword(s):  
South Africa ◽  
Competitive Advantage ◽  
South African ◽  
Wheat Flour ◽  
Value Chain ◽  
Institutional Environment ◽  
The South ◽  
Wheat Market ◽  
The Usa ◽  
Trade Partners

This article investigates the competitiveness of the South African wheat industry and compares it to its major trade partners. Since 1997, the wheat-to-bread value chain has been characterised by concentration of ownership and regulation. This led to concerns that the local wheat market is losing international competitiveness. The competitive status of the wheat industry, and its sub-sectors, is determined through the estimation of the relative trade advantage (RTA). The results revealed declining competitiveness of local wheat producers. Compared to the major global wheat producers, such as Argentina, Australia, Brazil, Canada, Germany and the USA, South Africa’s unprocessed wheat industry is uncompetitive. At the same time, South Africa has a competitive advantage in semi-processed wheat, especially wheat flour. The institutional environment enables the importation of raw wheat at lower prices and exports processed wheat flour competitively to the rest of Africa.

scholarly journals Co-governance and upgrading in the South African small-scale fisheries value chain

2017 ◽  
Vol 16 (1) ◽  
Author(s):  
Carsten R. Wentink ◽  
Serge Raemaekers ◽  
Simon R. Bush
Keyword(s):  
South African ◽  
Value Chain ◽  
Small Scale ◽  
The South ◽  
Small Scale Fisheries

scholarly journals Benhaus - a landmark decision, one less hoop for contract miners but a clarion call for an overhaul of the South African mining regime

2020 ◽  
Vol 120 (8) ◽  
Author(s):  
K. Thambi
Keyword(s):  
South African ◽  
Value Chain ◽  
Income Tax ◽  
Mining Industry ◽  
Third Party ◽  
Mining Activities ◽  
The South ◽  
Mining Operations ◽  
Tax Legislation ◽  
The Right

SYNOPSIS The mining industry has evolved, such that the means of production that were once in the hands of major players or power houses have become equally accessible to smaller entrants, i.e. junior mining companies and contract miners. Contract mining involves contractual relationships between mine owners or mineral right holders and third parties to conduct mining activities on behalf of the right holders. The current mining income tax legislation has been a considerable obstacle to contract miners. Under its terms, they have been viewed as mining on behalf of third-party mineral rights holders. As such, expenditure incurred in relation to contract mining activities was often disallowed by the South African Revenue Service (SARS). However, the recent judgement of the Supreme Court of Appeal, Benhaus Mining (Pty) Ltd v CSARS 2020 (3) SA 325 (SCA) (Benhaus), rightfully or wrongfully, appears to provide clarity regarding the fate of contract miners' involvement in the mining value chain. The taxpayer, a contract miner, was held to be conducting mining operations within the meaning of S15(a) read with si of the Income Tax Act 58 of 1962 (the Income Tax Act). This paper looks at how contract mining has traversed the mining tax landscape, the implications of the Benhaus judgment, and stresses the necessity for clear policy reform to the mining tax regime and equally to legislation framed to give effect to these policies. Keywords: Contract mining, owner mining, tax, DMRE, mining regime reforms.

scholarly journals Using Qualitative System Dynamics Analysis to Promote Inclusive Livestock Value Chains: A Case Study of the South African Broiler Value Chain

2021 ◽  
Vol 5 ◽  
Author(s):  
Soledad Cuevas Garcia-Dorado ◽  
Kevin Queenan ◽  
Bhavani Shankar ◽  
Barbara Häsler ◽  
Tafadzwanashe Mabhaudhi ◽  
...  
Keyword(s):  
System Dynamics ◽  
South African ◽  
Value Chain ◽  
Food Systems ◽  
Rural Livelihoods ◽  
Value Chains ◽  
Illustrative Case ◽  
The South ◽  
Entry Points

Livestock value chains globally are increasingly dualistic, with integrated market-leaders co-existing with comparatively disadvantaged small producers who, nevertheless, support rural livelihoods and food access, and can also contribute to more resilient supply chains. The South African broiler value chain provides a highly illustrative case study. The purpose of this study is to identify potential leverage points for policy intervention to support small and emerging producers in the South African broiler value chain, and to discuss the strengths and limitations of system dynamics approaches to promote inclusive food value chains. This study develops a causal loop diagram (CLD) based on semi-structured stakeholder interviews and policy documents. The main challenges, key variables and causal relationships between them are systematically identified. Variables are coded, generalised and graphically represented, and entry points for intervention and their links to existing policies are mapped. The challenges faced by smallholders in the context of our study can be characterised, using a CLD, as a set of interlinked and reinforcing dynamics which perpetuate existing disadvantages and reinforce duality in the value chain. Key policy entry points have been identified that could be targeted by a coordinated policy package, including: Direct support for infrastructure investment and input access through grants, subsidies or other policies; credit and liquidity provision for day-to-day expenses; creation of aggregation mechanisms for both inputs and outputs; regulations or initiatives that directly target the relationship of farmers with the commercial segment to improve access to day-old-chicks and, finally, training in business and technical skills. Although most of these interventions have been addressed at some point, implementation has been fragmented, failing to fully consider their complementary nature, thus undermining effectiveness. Existing approaches to consensus building and stakeholder participation in system dynamics research can present challenges when it comes to engaging with complex policy processes and issues of conflict of interest that are relevant in the context of smallholder promotion and equitable food systems, but there are promising avenues for addressing. Despite some methodological challenges, we find that there is considerable scope for system dynamics approaches to inform policy for smallholder promotion, even in contexts characterised by complex policy processes.

scholarly journals Influences of the free trade agreement between South Africa and the European Union on the South African fresh orange industry

2000 ◽  
Vol 3 (3) ◽  
pp. 484-498
Author(s):  
S. H. Gay ◽  
W. L. Nieuwoudt
Keyword(s):  
South Africa ◽  
European Union ◽  
South African ◽  
Free Trade ◽  
Free Trade Agreement ◽  
Trade Agreement ◽  
Local Market ◽  
The European Union ◽  
The South ◽  
Positive Effects

This paper evaluates the effects of the Free Trade Agreement (FTA) between South Africa and the European Union (EU) on the South African orange industry. Oranges account for ten percent of South African agricultural exports. The aggregate trade simulation model used here is designed on the programme STELLA, and consists of regional production models, a local market model, an export model and an exchange rate model. Results indicate that the FTA is expected to have small positive effects on both South African producers and consumers. This is caused by increasing real free-on-board prices and decreasing real local prices of oranges. Total area under oranges will increase more with the FT A, which thus results in a larger orange production too.

scholarly journals The IO–PS in the context of GVC-related policymaking: The case of the South African automotive industry

2021 ◽  
Author(s):  
Wouter G. Bam ◽  
Karolien De Bruyne ◽  
Mare Laing
Keyword(s):  
South African ◽  
Value Chain ◽  
Product Space ◽  
The South ◽  
Time Dimension ◽  
Industrial Policies ◽  
A Value ◽  
Ex Post ◽  
Short And Long Term

AbstractRecent years have seen renewed interest in evaluating the effectiveness of industrial policy, especially in the context of global value chains. One approach that might add a complementary view in this domain is product space analysis. To date, product space-based value chain analyses have focused on theoretical debates only, or on empirical applications for a single year. In this paper, we employ the input–output product space (IO–PS) framework combined with a time dimension. We thereby evaluate the effectiveness of industrial policies within a value chain over time. The paper focuses on the case of the South African automotive value chain for the years 1995 to 2017. We evaluate ex post the implemented industrial policies and confirm their (partial) success. We then use the framework to make ex ante recommendations to improve the current policy approach and find that it might pay off to target specific sub-sectors in the future. The results illustrate how the framework can be used to evaluate industrial policies and to identify which parts of the global value chain should be targeted to foster both short- and long-term growth. We also highlight shortcomings of the approach which might limit its application.

The Macroeconomic Landscape of Post-Apartheid South Africa: A Critical Review of the Effect of the Broad-Based Black Economic Empowerment (BBBEE) Program on the Success of Female SMEs Operators

2017 ◽  
Vol 7 (1) ◽  
pp. 145-150 ◽  
Author(s):  
B.N.O. Irene
Keyword(s):  
South Africa ◽  
South African ◽  
Value Chain ◽  
Deep Understanding ◽  
Black Population ◽  
High Rate ◽  
Business Strategies ◽  
The South ◽  
Economic Activities ◽  
The Impact

Abstract Previous business research has highlighted the impact of government policy in the processes of formulating business strategies and in the decision-making process of organizations. In the South African context, a review of this impact on organizational strategy is for the most part important especially after the fall of apartheid as businesses have been saddled with widespread institutional change the purpose of which is to redress historic inequalities that characterized the apartheid regime. Specifically, the introduction of a far-reaching B-BBEE policy aimed at increasing participation of PIDs in economic activities. Previous researchers have been focused on the impact of B-BBEE policy on mergers and acquisitions, strategic decisions and value chain structures, as well as ROEs. The current report from STATS-SA indicates that the failure rate for women-owned businesses remains at a high rate despite the implementation of the B-BBEE policy. Therefore, research on the impact of BBBEE on business strategy and success of female SMMEs operators may provide an accurate and deep understanding that will be beneficial to policymakers because of the social pressures to emphasis more on a 'broad-based' BEE (B-BBEE) policy aimed at increasing the participation of the black population (and in particular women) in economic activities as well as increasing the number of black ownership in businesses or creating employment for the black population. This study used appropriate data tools and techniques to analyze the data drawn from a sample of female entrepreneurs in South Africa. The study applies culturally instantiated facets of the debate on gender entrepreneurship as part of a detailed and empirically sophisticated consideration of the status of female entrepreneurship within South Africa. This paper involves an in-depth survey using the ten dimensions of business performance as a basis to study small South African women-owned businesses given that the approach is useful in the development of a theory in fields where not much research has been undertaken. The businesses studied for this research are based on a setting where B-BBEE program is a principal factor in the strategic framework of the South African female business owner. This paper contributes to existing literature on the implications of the BBBEE program on SMEs by studying the relationship between business strategies, outcomes, and the B-BBEE program.

Do Contemporaneous Armed Challenges Affect the Outcomes of Mass Nonviolent Campaigns?*

2015 ◽  
Vol 20 (4) ◽  
pp. 427-451 ◽  
Author(s):  
Erica Chenoweth ◽  
Kurt Schock
Keyword(s):  
South African ◽  
Large Scale ◽  
The Philippines ◽  
Success Rates ◽  
The South ◽  
Data Set ◽  
Civil Resistance ◽  
Positive Effects ◽  
Negative Effect ◽  
Negative Impacts

Civil resistance is a powerful strategy for promoting major social and political change, yet no study has systematically evaluated the effects of simultaneous armed resistance on the success rates of unarmed resistance campaigns. Using the Nonviolent and Violent Conflict Outcomes (NAVCO 1.1) data set, which includes aggregate data on 106 primarily nonviolent resistance campaigns from 1900 to 2006 with maximalist political objectives, we find that contemporaneous armed struggles do not have positive effects on the outcome of nonviolent campaigns. We do find evidence for an indirect negative effect, in that contemporaneous armed struggles are negatively associated with popular participation and are, consequently, correlated with reduced chances of success for otherwise-unarmed campaigns. Two paired comparisons suggest that negative violent flank effects operated strongly in two unsuccessful cases (the 8-8-88 challenge in Burma in 1988 and the South African antiapartheid challenge from 1952 to 1961, with violent flanks having both positive and negative impacts in the challenge to authoritarian rule in the Philippines (1983–1986) and the South African antiapartheid campaign (1983–1994). Our results suggest that the political effects are beneficial only in the short term, with much more unpredictable and varied long-term outcomes. Alternately, violent flanks may have both positive and negative political impacts, which make the overall effect of violent flanks difficult to determine. We conclude that large-scale maximalist nonviolent campaigns often succeed despite intra- or extramovement violent flanks, but seldom because of them.

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