contract farming

Contract farming is agricultural production carried out according to an agreement between a buyer and farmers, which establishes conditions for the production and marketing of a farm product or products

National Policies
August 2006

The Food Security Policy is a national instrument with a multi-sectoral approach, whose long-term goal is to significantly improve food security of the population. The goal implies increasing agricultural productivity as well as diversity and sustainable agricultural growth and development.The policy aims to help eliminate hunger, food insecurity and malnutrition.

A paralegal speaks with community members in Mamusa community, Sierra Leone.

A small band of grassroots advocates has been helping communities in Sierra Leone secure better deals for their land, says Sonkita Conteh, from paralegal organisation Namati

Peer-reviewed publication
December 2016

Private sector agricultural extension has expanded rapidly in many developing countries in the wake of drastic funding cuts made to public extension systems in the 1980s and 1990s. Motivated by the increase in sales or contract farming revenues that extension can generate, private providers include seed and input companies, distributors and dealers, service providers, food processors and retailers, and mobile phone companies. Mixed public-private systems are now becoming common. How well can the private sector fill the gap left by dysfunctional public systems?

Policy Papers & Briefs
December 2016

Growing inequality has become an important concern in many countries. One of the ways that inequality is perpetuated is through differential market access across regions. This research deals with one of the primary determinants of regional inequality manifested in terms of market access. Nepal is one country where hierarchical geography leads to regional inequality. Differential market access can cause as well as accentuate inequality among farmers.

Policy Papers & Briefs
December 2016

This study is undertaken to quantify the benefits of contract farming (CF) on farmers’ income in a case where new market opportunities are emerging for smallholder farmers in Nepal. CF is emerging as an important form of vertical coordination in the agrifood supply chain. The prospect for CF in a country like Nepal with accessibility issues, underdeveloped markets, and a lack of amenities remains ambiguous. Contractors find it difficult to build links in these cases, particularly when final consumers have quality and safety requirements.

Policy Papers & Briefs
December 2016

Contract farming (CF) is attractive as a possible private-sector-led strategy for improving smallholder farmers’ welfare. Yet many CF schemes suffer from high turnover of participating farmers and struggle to survive. So far, the dynamics of CF participation have remained largely unexplored. We employ duration analysis to examine factors affecting entry into and exit from different maize CF schemes in northern Ghana, focusing specifically on the impact of development projects on CF entry and exit.

Journal Articles & Books
December 2007

Contract farming may be defined as agricultural production carried out according to a prior agreement in which the farmer commits to producing a given product in a given manner and the buyer commits to purchasing it. Often, the buyer provides the farmer with technical assistance, seeds, fertilizer, and other inputs on credit and offers a guaranteed price for the output. Proponents of contract farming argue that it links small-scale farmers to lucrative markets and solves a number of problems small-scale farmers face in diversifying into high-value commodities.