Factors Affecting the Hedging Decision of Maize Farmers in Gauteng Province

@inproceedings{Mofokeng2013FactorsAT,
  title={Factors Affecting the Hedging Decision of Maize Farmers in Gauteng Province},
  author={Maine Jonas Mofokeng and N. H. Vink},
  year={2013}
}
The maize industry in South Africa has a long history of government intervention, fuelled by the two Marketing Acts (of 1937 and 1968). After the introduction of the Marketing of Agricultural Products Act (Act 47 of 1996), farmers were exposed to international maize prices, i.e. to the forces of global supply and demand. Through forward contracting (hedging), farmers can minimize the price risk that they are facing. Different factors affect the hedging decisions of farmers. The main objective… CONTINUE READING

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