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The monetary value of natural resources used by rural communities for subsistence is important when addressing issues affecting the livelihoods of impoverished rural households. There is therefore the need to attribute monetary values to non-marketed products from smallholder production systems in order to reliably account for resource availability and usage to further sound policy decisions. The objective of this paper is to present an empirical analysis of the direct-use and traded values of crop production by households, and to discuss the implications for policy development. The study was undertaken in combination with an evaluation of other livelihood sectors in Thorndale, a semi-arid rural village in the Limpopo province of South Africa. The net direct-use value of crops was estimated at $443.4 per household per annum across the village. Maize (Zea mays), watermelon (Citrullus, vulgaris), peanuts (Arachis hypogaea) and common beans (Phaseolus vulgaris) contributed over 90% to the total direct-use value of crops. Maize alone contributed 40% of this value per household at an estimated $652/ha. Marketing of resources was not a common practice, limited to only maize and peanuts. Farming was basically a rain-fed-mixed cropping system with low production inputs. Farmer support services, human capital development and tenure security were major areas identified for policy development. (C) 2003 Elsevier Science Ltd. All rights reserved.