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Contract Farming in India

Author

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  • Debashis Chakraborty

    (Debashis Chakraborty is an Assistant Professor at the Indian Institute of Foreign Trade (IIFT), New Delhi. E-mail: debchakra@gmail.com)

Abstract

Contract Farming is operational in India for the last couple of years and an increase in the number of corporates entering the field has been witnessed. This has generated a debate over the effectiveness of the agribusiness model in enhancing farm income and employment, potential impact on small farmers, degree of technology transfer to the farmers, social responsibility of the corporates in terms of adoption of environment-friendly production process, effective management of ex post-opportunistic behaviour of the corporates, etc. It is observed from the literature that barring minor exceptions, contract farming has broadly been a successful affair. A better outcome could be expected if a number of systemic reform measures are undertaken at the earliest. On one hand, the infrastructure level ought to be massively augmented and on the other, contract farming should be formalised in all states, so as to make it binding on both concerned parties.

Suggested Citation

  • Debashis Chakraborty, 2009. "Contract Farming in India," Review of Market Integration, India Development Foundation, vol. 1(1), pages 83-102, April.
    • Handle: RePEc:sae:revmar:v:1:y:2009:i:1:p:83-102
    DOI: 10.1177/097492920900100105
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    References listed on IDEAS

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    1. Sukhpal Singh, 2005. "Contract Farming for Agricultural Development:Review of Theory and Practice with Special Reference to India," Working Papers id:246, eSocialSciences.
    2. Singh, Sukhpal, 2006. "Corporate Farming in India: Is it must for Agricultural Development?," IIMA Working Papers WP2006-11-06, Indian Institute of Management Ahmedabad, Research and Publication Department.
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    Cited by:

    1. Ellen Mangnus & A.C.M. (Guus) Van Westen, 2018. "Roaming through the Maze of Maize in Northern Ghana. A Systems Approach to Explore the Long-Term Effects of a Food Security Intervention," Sustainability, MDPI, vol. 10(10), pages 1-19, October.
    2. Henningsen, Arne & Mpeta, Daniel F. & Adem, Anwar S. & Kuzilwa, Joseph A. & Czekaj, Tomasz G., 2015. "The Effects of Contract Farming on Efficiency and Productivity of Small-Scare Sunflower Farmers in Tanzania," 2015 Conference, August 9-14, 2015, Milan, Italy 212478, International Association of Agricultural Economists.
    3. Rupesh Kumar & Rajat Agrawal & Vinay Sharma, 2013. "e-Applications in Indian Agri-Food Supply Chain: Relationship among Enablers," Global Business Review, International Management Institute, vol. 14(4), pages 711-727, December.
    4. Henningsen, Arne & Mpeta, Daniel F. & Adem, Anwar S. & Kuzilwa, Joseph A. & Czekaj, Tomasz G., 2015. "A Meta-Frontier Approach for Causal Inference in Productivity Analysis: The Effect of Contract Farming on Sunflower Productivity in Tanzania," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 206200, Agricultural and Applied Economics Association.
    5. World Bank, "undated". "South Asia Economic Focus, June 2011 : Food Inflation," World Bank Publications - Reports 12662, The World Bank Group.
    6. Chengappa, PG, 2018. "Development of agriculture value chains as a strategy for enhancing farmers’ income," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 31(Conferenc).

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    More about this item

    Keywords

    Agricultural marketing; agribusiness; agricultural policy; JEL Classification: Q13; JEL Classification: Q18;
    All these keywords.

    JEL classification:

    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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