Assessing the Venturing of Rural and Peri-Urban Youth into Micro- and Small-Sized Agricultural Enterprises in the Eastern Cape Province, South Africa

Abstract

This study aimed to empirically assess the venturing by rural and peri-urban youth into micro- and small-sized agricultural enterprises in the Eastern Cape Province, South Africa. The aim of the study was achieved by focusing on the following specific objectives: analyzing youth involvement in agricultural enterprises; estimating the factors that influence youth participation in micro- and small-sized agricultural enterprises; and identifying constraints and opportunities for youth involvement in micro- and small-sized agricultural enterprises in the Eastern Cape Province. The study used multi-stage and snowballing sampling to select the respondents, and cross-sectional primary data were collected from 120 youths who ventured into micro- and small-sized agricultural enterprises. Only 70 youths from the sample participated in agricultural enterprises. The study was geared toward proposing a funding framework aligned with the characteristics of small- and micro-sized enterprises (SMEs) which can be used by both development finance institutions (DFIs) and commercial banks to assess applications for funding SMEs.