The Effects of Commercial Farming Towards Rural Employment: A South African Perspective

Authors

  • Isaac Nkoana University of Limpopo image/svg+xml Author
  • Mahlodi Daniel Raphiri Author

DOI:

https://doi.org/10.51137/wrp.ijarbm.365

Keywords:

Commercial Farming, Rural Employment, Traditional Living, Entrepreneurialism, Economic Diversification, South Africa

Abstract

Commercial farming in South Africa plays an important role in rural employment and economic development. This paper critically investigates the effects of commercial farming towards rural employment in the South African context. Drawing on a comprehensive qualitative review of secondary literature, this paper highlights the potential of the sector to generate employment, increase household incomes, and promote food security. However, it also identifies persistent challenges such as low wages, seasonal and precarious employment, poor working conditions, displacement of smallholder farmers, and unequal land ownership. These structural issues limit the effectiveness of the sector as an inclusive engine for rural development. The paper recommends the need for targeted policy interventions to improve wage fairness, improve labour stability, protect smallholder farmers, and accelerate land reform. Addressing these challenges is critical to transform commercial farming into a more equitable and sustainable contributor to rural employment and inclusive economic growth in South Africa.

Author Biography

  • Mahlodi Daniel Raphiri

    Masters Student

References

Aoun, K. & Thakur, N., 2024. Seasonal Shifts: Leadership Decisions and Their Consequences on Kalmar’s Hospitality Workforce.

Axelrod, D.E., Ekhtiari, S., Bozzo, A., Bhandari, M. & Johal, H., 2020. What is the best evidence for management of displaced midshaft clavicle fractures? A systematic review and network meta-analysis of 22 randomized controlled trials. Clinical Orthopaedics and Related Research®, 478(2), pp.392-402 DOI: https://doi.org/10.1097/CORR.0000000000000986

Beaman, L. & Dillon, A., 2018. Diffusion of agricultural information within social networks: Evidence on gender inequalities from Mali. Journal of Development Economics, 133, pp.147-161. DOI: https://doi.org/10.1016/j.jdeveco.2018.01.009

Bernstein, H., 2013. Commercial agriculture in s outh a frica since 1994: ‘natural, simply capitalism’. Journal of agrarian change, 13(1), pp.23-46. DOI: https://doi.org/10.1111/joac.12011

Bhorat, H., Kanbur, R. & Stanwix, B., 2014. Estimating the impact of minimum wages on employment, wages, and non‐wage benefits: The case of agriculture in South Africa. American Journal of Agricultural Economics, 96(5), pp.1402-1419. DOI: https://doi.org/10.1093/ajae/aau049

Bryceson, D.F., 2024. Rural labor, depeasantization, and deagrarianization. In Handbook of African Economic Development (pp. 345-358). Edward Elgar Publishing. DOI: https://doi.org/10.4337/9781800885806.00034

Caxaj, C.S., Weiler, A.M. and Martyniuk, J., 2024. Housing conditions and health implications for migrant agricultural workers in Canada: A scoping review. Canadian Journal of Nursing Research, 56(1), pp.16-28. DOI: https://doi.org/10.1177/08445621231203086

de Brauw, A. & Swinnen, J., 2023. Building inclusive value chains for smallholders: The role of finance. In Handbook of Microfinance, Financial Inclusion and Development (pp. 181-193). Edward Elgar Publishing. DOI: https://doi.org/10.4337/9781789903874.00018

Department of Agriculture, Land Reform and Rural Development. 2021. The Agriculture and Agro-processing Master Plan: Comprehensive Report. Retrieved from https://www.dalrrd.gov.za/docs/The%20Agriculture%20and%20Agro-processing%20Master%20Plan.pdf.

Department of Trade and Industry. 2018. Industrial Policy Action Plan 2018/19-2020/21. Pretoria.

Ellis, F., & Biggs, S. 2001. Evolving theme of rural development. Gatekeeper Series, 100, 1-14. government Printer.

Escobal, J., & Favre, A. 2018. Rural employment in developing countries. The European Journal of Development Research, 30(4), 559-572. Doi: 10.1057/s41287-018-0132-z.

Gauteng Department of Agriculture and Rural Development. 2021. Agriculture. Retrieved from https://www.gauteng.gov.za/Departments/Pages/Agriculture-and-Rural-Development.aspx.

Giller, K.E., Delaune, T., Silva, J.V., Descheemaeker, K., Van De Ven, G., Schut, A.G., Van Wijk, M., Hammond, J., Hochman, Z., Taulya, G. & Chikowo, R., 2021. The future of farming: Who will produce our food? Food Security, 13(5), pp.1073-1099. DOI: https://doi.org/10.1007/s12571-021-01184-6

Glover, S. & Jones, S., 2019. Can commercial farming promote rural dynamism in sub-Saharan Africa? Evidence from Mozambique. World Development, 114, pp.110-121. DOI: https://doi.org/10.1016/j.worlddev.2018.09.029

Hall, R., 2009. Dynamics in the commercial farming sector. Another, 121, p.120.

Hannon, M., 2022. Tenant rights for employer-provided farmworker housing. Seattle Journal for Social Justice, 20(2), p.12.

Hlophe, Z., 2021. Health-Related Quality of Life Among Farm Workers in Victor Khanye District, South Africa (Master's thesis, University of the Witwatersrand, Johannesburg (South Africa)).

IRR. 2021. South Africa Survey 2020/2021. Retrieved from https://irr.org.za/reports/south-africa-survey/south-africa-survey-2020-2021.

Jöbges, S., Mouton Dorey, C., Porz, R., Ricou, B. & Biller-Andorno, N., 2022. What does coercion in intensive care mean for patients and their relatives? A thematic qualitative study. BMC medical ethics, 23(1), p.9. DOI: https://doi.org/10.1186/s12910-022-00748-1

Jones, J. 2018. Commercial farming: What is it, and how does it work? Farmers Weekly. https://www.fwi.co.uk/farm-life/commercial-farming-what-is-it-and-how-does-it-work.

Jordaan, A. 2019. The role of commercial agriculture in rural development: A case study of Sekhukhune district municipality. Journal of Agricultural and Environmental Sciences, 1(1), 39-48.

Khapayi, M. & Celliers, P.R., 2016. Factors limiting and preventing emerging farmers to progress to commercial agricultural farming in the King William’s Town area of the Eastern Cape Province, South Africa. South African Journal of Agricultural Extension, 44(1), pp.25-41. DOI: https://doi.org/10.17159/2413-3221/2016/v44n1a374

Kirsten, J. 2019. The future of south African agriculture: employment-intensive growth or stagnation? Agrekon, 58(3), 198-219. DOI: https://doi.org/10.1080/03031853.2019.1567357

Lanjouw, J.O. & Lanjouw, P., 2001. The rural non‐farm sector: issues and evidence from developing countries. Agricultural economics, 26(1), pp.1-23. DOI: https://doi.org/10.1111/j.1574-0862.2001.tb00051.x

Limpopo Province Agriculture., 2020: https://www.limpopo.gov.za/index.php/2020-04-13-10-15-29/agriculture.

Mazwane, S., Makhura, M.N. & Senyolo, M.P., 2022. Important policy parameters for the development of inclusive digital agriculture: implications for the redistributive land reform program in South Africa. Agriculture, 12(12), p.2129. DOI: https://doi.org/10.3390/agriculture12122129

Mdoda, L., Loki, O. & Sikwela, M.M., 2025. Evaluating the economic effect of sustainable agricultural practices on small-scale farmers in the Eastern Cape Province: a propensity score matching analysis. International Journal of Agricultural Sustainability, 23(1), p.2478733. DOI: https://doi.org/10.1080/14735903.2025.2478733

Mellor, J.W. & Malik, S.J., 2017. The impact of growth in small commercial farm productivity on rural poverty reduction. World development, 91, pp.1-10. DOI: https://doi.org/10.1016/j.worlddev.2016.09.004

Mgomezulu, W.R., Edriss, A.K., Machira, K. & Pangapanga-Phiri, I., 2023. Innovation and Green Development. 2(3), 100054. DOI: https://doi.org/10.1016/j.igd.2023.100054

Mkodzongi, G. & Rusenga, C., 2021. The idea of a ‘rainbow nation’and the persistence of agrarian injustices in post-apartheid South Africa. In The Contested Idea of South Africa (pp. 206-223). Routledge. DOI: https://doi.org/10.4324/9780429340857-12

Mkonda, M.Y. & He, X., 2018. Climate variability and crop yields synergies in Tanzania’s semiarid agroecological zone. Ecosystem Health and Sustainability, 4(3), pp.59-72. DOI: https://doi.org/10.1080/20964129.2018.1459868

Morris, M.L., 2023. The development of capitalism in South African agriculture: Class struggle in the countryside. In The articulation of modes of production (pp. 202-253). Routledge. DOI: https://doi.org/10.4324/9781003440635-7

Msibi, S.S., Chen, C.Y., Chang, C.P., Chen, C.J., Chiang, S.Y. and Wu, K.Y., 2021. High pesticide inhalation exposure from multiple spraying sources amongst applicators in Eswatini, Southern Africa. Pest Management Science, 77(10), pp.4303-4312. DOI: https://doi.org/10.1002/ps.6459

Muzekenyi, M., Zuwarimwe, J. & Kilonzo, B.M., 2022. Utilizing small-scale commercial farming to enhance local economic development in South Africa. Journal of Contemporary Management, 19(2), pp.22-39. DOI: https://doi.org/10.35683/jcm20007.155

National Planning Commission.,2012. National Development Plan 2030. Pretoria: Government Printers.

Ngulube, P., 2015. Trends in research methodological procedures used in knowledge management studies. African Journal of Library, Archives and Information Science, 25(2), pp.125-143.

Nyath, D., Ndlovu, J. & Dzvimbo, M., 2025. The Socio-Economic Impact of De-Agrarianisation in Sub-Sahara: A Re-Look on Rural Livelihoods and Employment. Journal of Sustainable Development Law and Policy (The), 16(1), pp.25-51. DOI: https://doi.org/10.4314/jsdlp.v16i1.2

Oduniyi, O.S., Rubhara, T.T. & Antwi, M.A., 2020. Sustainability of livestock farming in South Africa. Outlook on production constraints, climate-related events, and upshot on adaptive capacity. Sustainability, 12(7), p.2582. DOI: https://doi.org/10.3390/su12072582

Pan, Y., Zhang, S. and Zhang, M., 2024. The impact of entrepreneurship of farmers on agriculture and rural economic growth: Innovation-driven perspective. Innovation and Green Development, 3(1), p.100093. DOI: https://doi.org/10.1016/j.igd.2023.100093

Paninsoro, D., Augusto, M.P., Pacilan, J.F., Francis, M., Villapaña, I., Narvasa, L., Cane, R.M. & Ebo, M.J., 2024. Impacts of Seasonal Nature of Employment on the Income Stability of the Farm Laborers’ Household. Journal of Interdisciplinary Perspectives, 2(11), pp.411-421. DOI: https://doi.org/10.69569/jip.2024.0455

Partridge, A., Morokong, T. & Sibulali, A., 2020. Western Cape agricultural sector profile.

Pelek, D., Yıldızcan, C. & Turhan, E., 2025. Permanently temporary: unveiling the im/mobility and intersecting vulnerabilities of migrant seasonal agricultural workers in disaster-affected areas of Türkiye. Agriculture and Human Values, pp.1-17. DOI: https://doi.org/10.1007/s10460-025-10761-w

Pretty, J., & Bharucha, Z. P. 2019. Sustainable intensification in agricultural systems. Annals of the New York Academy of Sciences, 1445(1), 3-5. doi: 10.1111/nyas.13920. DOI: https://doi.org/10.1111/nyas.13920

Racheku, K., 2024. The implications of lack of land tenure on the principle of spatial justice: a case of Kgapane Township ward 3, Limpopo Province (Doctoral dissertation).

Ramatshekgisa, M.G. & Naidoo, D., 2024. The contributions of smallholder farmers toward household food security in Chabelane village, Limpopo province, South Africa. International Journal of Agriculture Environment and Food Sciences, 8(1), pp.8-19. DOI: https://doi.org/10.31015/jaefs.2024.1.2

Raphiri, M.D. and Selelo, M.E., 2025. Effects of Technological Innovations on Small-Scale Farming in Rural Areas: A South African Perspective. International Journal of Applied Research in Business and Management (ISSN: 2700-8983), 6(1), pp. 1-10. DOI: https://doi.org/10.51137/wrp.ijarbm.2025.mret.45732

Reyes Rocha, F.A. & Sexsmith, K., 2024. Workplace sexual harassment in waged agricultural employment: A literature review. Journal of Agromedicine, 29(3), pp.516-530. DOI: https://doi.org/10.1080/1059924X.2024.2338857

Ruben, R., 2001. Nonfarm employment and poverty alleviation of rural farm households in Honduras. World development, 29(3), pp.549-560. DOI: https://doi.org/10.1016/S0305-750X(00)00107-8

Seyfert, K. & Alonso, H., 2023. Social protection for refugees and migrants: Examining access to benefits and labour market interventions. International Social Security Review, 76(4), pp.23-43. DOI: https://doi.org/10.1111/issr.12347

Shani, B.B. & Musa, A., 2021. The effect of mechanization on labour employment and cropland expansion in northern Nigeria. Agro-Science, 20(3), pp.24-29. DOI: https://doi.org/10.4314/as.v20i3.4

Sihlangu, P. & Odeku, K.O., 2021. Critical Analysis of International and National Laws Redressing Past Apartheid Land Discrimination and Injustice In South Africa. Perspectives of Law and Public Administration, 10(3), pp.308-317.

South African Government’s Department of Agriculture, Land Reform and Rural Development. 2021: https://www.dalrrd.gov.za/About-Us/Our-Ministry/Portfolio-of-Programmes/Comprehensive-Agriculture-Support-Programme-(CASP).

Statistics South Africa., 2020. Agriculture, Forestry and Fishing, 2019. Retrieved from http://www.statssa.gov.za/publications/P0100/P01002019.pdf.

Thamaga-Chitja, J.M. & Morojele, P., 2014. The context of smallholder farming in South Africa: Towards a livelihood asset building framework. Journal of Human Ecology, 45(2), pp.147-155. DOI: https://doi.org/10.1080/09709274.2014.11906688

Ullah, W., Dong, H., Shah, A.A., Xu, C. and Alotaibi, B.A., 2025. Unveiling the Multi-Dimensional Vulnerabilities of Flood-Affected Communities in Khyber Pakhtunkhwa, Pakistan. Water, 17(2), p.198. DOI: https://doi.org/10.3390/w17020198

UNDESA .2018. Rural women and employment. United Nations Department of Economic and Social Affairs. https://www.un.org/development/desa/dspd/wp-content/uploads/sites/22/2018/03/Rural-Women-and-Employment.pdf.

United Nations 2023. Food and Agriculture Organisation of the United Nations. https://www.fao.org/fileadmin/user_upload/faoterm/PDF/FAO/STYLE_2021_EN.pdf.

Van der Merwe, J.D., Cloete, P.C. and Van Schalkwyk, H.D., 2016. Factors influencing the competitiveness of the South African wheat industry: A hedonic price model. Agrekon, 55(4), pp.411-435. DOI: https://doi.org/10.1080/03031853.2016.1243061

Vancleve, J., Deininger, K., & Kosec, K. 2019. The impacts of large-scale land acquisitions on rural livelihoods: evidence from Ethiopia. The Journal of Development Studies, 55(11), 2347-2367.

Vanyoro, K., 2021. Activism for migrant domestic workers in South Africa: Tensions in the framing of labour rights. Journal of Southern African Studies, 47(4), pp.663-681. DOI: https://doi.org/10.1080/03057070.2020.1862611

Vidal, J. 2017. Mass displacement of rural communities is the cost of commercial farming in Africa. The Guardian. Retrieved from https://www.theguardian.com/global-development/2017/apr/10/mass-displacement-of-rural-communities-is-the-cost-of-commercial-farming-in-africa.

Wanjiru, R. M. 2019. The Role of Commercial Agriculture in Employment Creation in the Rural Areas of South Africa. Agrekon, 58(1), 20-35.

Ward, D., 2019. The role of commercial farming towards rural employment in south Africa. https://doi.org/10.1014/j.jafr.2019.100632

World Bank., 2018. From subsistence to commercial farming: Exploring the potential of agriculture modernization in Uganda. Retrieved from https://documents.worldbank.org/en/publication/documents-reports/documentdetail/398351530441818388/from-subsistence-to-commercial-farming-exploring-the-potential-of-agriculture-modernization-in-uganda .

World Bank., 2018. Rural job creation: The challenge and opportunity. World Bank Group. https://www.worldbank.org/en/topic/rural-development/brief/rural-job-creation-the-challenge-and-opportunity.

World Bank., 2019. Rural job creation: The challenge and opportunity. World Bank Group. https://www.worldbank.org/en/topic/rural-development/brief/rural-job-creation-the-challenge-and-opportunity.

Your Anderson, C.L., Reynolds, T., Merfeld, J.D. & Biscaye, P., 2018. Relating seasonal hunger and prevention and coping strategies: A panel analysis of Malawian farm households. The Journal of Development Studies, 54(10), pp.1737-1755. DOI: https://doi.org/10.1080/00220388.2017.1371296

Yu, D., 2020. Employment quality index for the South African labour market. Development Southern Africa, 37(2), pp.276-294. DOI: https://doi.org/10.1080/0376835X.2019.1654853

Zimmerer, K. S., Hirsch, J. S., & D’Odorico, P. 2020. Environmental and social impacts of foreign land acquisitions in Africa’s Guinea Savannah: a systematic review. Global Environmental Change, 60, 102023. DOI: https://doi.org/10.1016/j.gloenvcha.2019.102023

Zou, T., & Aliber, M., 2016. Employment Creation in Limpopo Province, South Africa: A Case for the Rural Youth. Journal of Agriculture and Rural Development in the Tropics and Subtropics, 117(2), 181-191. Doi: 10.17170/kobra-201605262225.

Downloads

Published

2026-01-16

Issue

Section

Original Research Paper

How to Cite

Nkoana, I., & Raphiri, M. D. (2026). The Effects of Commercial Farming Towards Rural Employment: A South African Perspective. International Journal of Applied Research in Business and Management, 7(1). https://doi.org/10.51137/wrp.ijarbm.365