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dc.contributor.advisor Senyolo, M. P.
dc.contributor.advisor Belete, A.
dc.contributor.advisor Chaminuka, P.
dc.contributor.author Nkosi, Zinhle Zandile
dc.date.accessioned 2025-03-06T07:58:36Z
dc.date.available 2025-03-06T07:58:36Z
dc.date.issued 2024
dc.identifier.uri http://hdl.handle.net/10386/4917
dc.description Thesis (M.Sc. Agriculture (Agricultural Economics)) -- University of Limpopo, 2024 en_US
dc.description.abstract South Africa is a net importer of cassava starch and its derivatives. Yet, demand for cassava starch is increasing on a global scale. Without a supply and developed value chain, South Africa may continue as a net importer with a consequent unfavourable trade balance and a reduced Gross Domestic Product. Therefore, it is important to explore the economics of locally produced cassava starch and contrast it with currently produced starch (such as maize) in the country, to contribute to decision-making for developing a cassava starch value chain in South Africa. The study aimed to carry out an economic analysis of starch production from cassava, vis-à-vis starch production from maize and potatoes in South Africa, through the determination of the demand and supply patterns of cassava maize and potato starch, analysis of the profitability of cassava and maize starch production and modelling alternative scenarios of cassava starch production in South Africa whilst determining the costs and benefits. Time series data was extracted from the trade map in the form of yearly imports and exports of cassava, maize and potato starch. The patterns were determined using a graphical analysis, which illustrated that starch imports were significantly higher than maize starch imports. A gross margin analysis was performed to determine the profitability of maize and cassava starch production. Cassava starch production scenarios in South Africa were modelled using 3 scenarios, which were informed by the extracted starch yield. The cost and benefits of the scenarios were evaluated using Net Present Value, Internal Rate of Returns and Benefit Cost Ratio. These economic indicators revealed that cassava starch production is a viable and worthwhile project. However, one of the scenarios illustrated that the project should be rejected if the extracted starch yield is low. This is because a low extraction efficiency will render cassava starch production unprofitable. Lastly, the study conducted a sensitivity analysis to evaluate the sensitivity of the Net Present Value to the investment cost, discount rate and annual growth rate. It is recommended that the significantly high imports should be used as a driver to develop a cassava value chain in South Africa. en_US
dc.description.sponsorship Department of Science Innovation en_US
dc.format.extent x, 68 leaves en_US
dc.language.iso en en_US
dc.relation.requires PDF en_US
dc.subject Economic Analysis en_US
dc.subject Cassava starch en_US
dc.subject Profitability en_US
dc.subject Cost-Benefit Analysis en_US
dc.subject Palisade@ risk en_US
dc.subject.lcsh Starch industry en_US
dc.subject.lcsh Cassava en_US
dc.subject.lcsh Corn en_US
dc.subject.lcsh Economic impact analysis en_US
dc.title Economic analysis of cassava starch production vis-a-vis starch production from Maize and Potatoes in South Africa en_US
dc.type Thesis en_US


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