An investigation into the effects of supplier development on soya bean production. A case of Grain Marketing Board
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The study investigates the effects of supplier development on soya bean production at Grain Marketing Board GMB. There is shortage of the crop, failing to meet the annual demand of approximately 300 000tonnes in Zimbabwe for the past decade or two. Therefore, Grain Marketing Board (GMB) is to have a great participation in developing schemes and supporting soya bean farmers, since it is the Strategic Grain Reserve for Zimbabwe. To achieve the objectives of the study, the researcher used Ordinary Least Squares (OLS) method. The dependent variable was production (of soya bean) and deliveries from farmers (one of the independent variables) was used as a measure of supplier development, and other independent variables were land, rainfall, labor, and capital investment. The study analyzed secondary data obtained from Meteorological Service Department, GMB’s Soya bean company records data base. From the estimation method, results obtained showed that capital, labour, deliveries and land were significant in determining soya bean production, whereas rainfall had no significant effect in the model. The results showed that deliveries form farmers and land have a positive relationship with soya bean production, whilst capital and labour had a negative relationship with soya bean output. The study went on to suggest possible recommendations that include investing in technological advanced equipment to reduce labour intensive, offer loan facilities for farmers to purchase farm equipment, government to support with land reform schemes to provide land strictly to soya bean farmers on a large scale and GMB to improvise their supplier development policies as developing farmers was seen to have a positive relationship with soya bean output, and to promote private sector participation in mitigating the shortage of the crop in Zimbabwe.
- Department of Economics