PR - ASSESSING THE ECONOMIC IMPACT OF LIVESTOCK THEFT IN THE EASTERN CAPE PROVINCE OF SOUTH AFRICA
All the provinces in South Africa are affected by livestock theft and this threatens the profitability and sustainability of livestock farmers. Animal products comprised 49% of the total gross value of South Africa’s agricultural products in 2014/15. In 2014, livestock losses amounted to approximately R509 million and the main concern is that official statistics are underestimated. While available literature has investigated the direct costs of stock theft, no scientific investigation has focused on the indirect cost of stock theft. To ascertain the true financial impact of livestock theft, both the direct and indirect costs are required. The primary objective of this study is to determine the financial impact of livestock theft in the Eastern Cape Province. In order to achieve this, the direct cost of livestock theft (value of the livestock lost), as well as the indirect cost of livestock theft (the financial impact of loss-controlling practices), will be investigated. The total annual cost of livestock theft in the Eastern Cape Province according to the data, was calculated at R196 167 623. This value emphasizes the importance of livestock theft control in the Eastern Cape.
Keywords: Livestock theft, Direct cost, Indirect cost, Total cost