Following a request from the South African National Planning Commission to estimate the possible contribution of the agricultural sector to the job creation agenda of Government. The BFAP labour and sector models, in conjunction with other quantitative and qualitative methods, were utilised to explore the employment creation potential of the sector given investments in irrigation infrastructure, small farmer support, land reform, homeland agriculture and other factors. Within this process a number of strategic agricultural industries for employment creation were identified as presented in the matrix below.
In 2012 the matter of an increase in agricultural minimum wages came to the fore and BFAP was tasked with providing a non-biased and quantified evaluation of possible effects thereof on producers, employment, consumers and greater economy. The combination of the BFAP’s sector, farm level, labour multiplier, consumer and household models were utilised test various minimum wages regimes. The results from the respective models were integrated to present a host of possible scenarios and recommendations for the most favourable outcome for all parties involved.