scholarly journals Contract Farming and Small Scale Producers: Non-traditional Vegetable Exports from Mexico

2006 ◽  
Vol 36 (1) ◽  
pp. 83 ◽  
Author(s):  
Flavia Echánove Huacuja
Keyword(s):  
Small Scale ◽  
Contract Farming ◽  
Traditional Vegetable

scholarly journals Case Study: Productive Performance and Prediction of Operating Income of Small-Scale Contract Farming of Swine in Lampang, Thailand

2019 ◽  
Vol 9 (3) ◽  
Author(s):  
Suntorn Wittayakun ◽  
Worawut Chainetr ◽  
Nirundorn Kongngoen ◽  
Weera Innaree ◽  
Piyamas Tancharoenrat ◽  
...  
Keyword(s):  
Small Scale ◽  
Productive Performance ◽  
Contract Farming ◽  
Operating Income

Producer organizations and contract farming: a comparative study of smallholders’ market strategies in South India

2018 ◽  
Vol 62 (1) ◽  
pp. 14-29
Author(s):  
Inka Gersch
Keyword(s):  
Value Creation ◽  
Value Chain ◽  
Small Scale ◽  
Global Value Chain ◽  
Competitive Strategies ◽  
Contract Farming ◽  
Value Capture ◽  
Organization Model ◽  
Market Strategies ◽  
Positive Effect

Abstract The fundamental restructuring processes of agri-food networks in developing and emerging markets have intensified the debate on how to improve the integration of smallholders into so called modern value chains. In this context, the company-driven contract farming model and the member-based model of producer organizations are discussed by practitioners and in the scholarly literature as alternatives to traditional market systems. This study compares the models’ abilities to address economic challenges of highly fragmented and small-scale dominated agriculture on a household as well as on an aggregate level. It analyzes empirical data from the Indian floriculture sector with the global value chain approach. The study reveals that the smallholders perceive both contract farming and producer organization to be beneficial for their households’ economic risk situation, while only the producer organization has a positive effect on the households’ income. The contract farming benefits production and value chain efficiency, whereas the producer organization does not show an impact in these respects. We thus observe that the contract farming model increases value creation in the overall chain, but it does not raise the producer’s value capture; while the producer organization model does not heighten value creation in the overall chain, but it lifts the producers’ value capture. The organization’s individual capabilities determine how each model addresses the economic challenges. Overall, the author argues that contract farming and producer organizations are supplementing, not competitive, strategies and should be applied in combination.

scholarly journals AGRIBUSINESS CHALLENGES TO EFFECTIVENESS OF CONTRACT FARMING IN COMMERCIALIZATION OF SMALL-SCALE VEGETABLE FARMERS IN EASTERN CAPE, SOUTH AFRICA

2018 ◽  
Vol 50 (4) ◽  
Author(s):  
Musa Khapayi ◽  
Pieter Van Niekerk ◽  
Phillip Retief Celliers
Keyword(s):  
South Africa ◽  
Agricultural Practices ◽  
Small Scale ◽  
Eastern Cape ◽  
Contract Farming ◽  
Group Discussions ◽  
Vegetable Farmers ◽  
Multi Stage ◽  
Frame Work ◽  
Small Scale Farmers

The study investigated the key factors that influ- ence small-scale vegetable farmers’ participation in contract farming arrangements. A sample of 70 small-scale vegetable farmers and 15 key informants of agribusiness firms involved in contract farming production of vegetables were selected in Amathole and Sarah Baartman (formerly Cacadu) district municipalities in the Eastern Cape province of South Africa. Focus group discussions and in-depth interviews were chosen as data collection tools to identify the factors that influence small-scale vegetable farmers’ participation in contract farm- ing arrangements with agribusiness firms. The data was ana- lyzed using open multi-stage coding with an inductive frame- work approach. Atlas.ti was used to sort and organize data. The findings indicated availability of farm assets, hydrologi- cal conditions, farming skills and distance of producer to the markets as key determinants of contract farming participation. The use of unmarketable cultivars, inappropriate agricultural practices and inconsistent supply in quality and quantity of vegetables were found to be bottlenecks to contract participa- tion. The study recommends a more meaningful state support and incentives for agribusiness firms; otherwise, growth of small-scale farmers in contract farming is unlikely because of the financial implications for private sector companies.

scholarly journals IMPLEMENTASI POLA KEMITRAAN PT. BISI INTERNASIONAL,TBK DENGAN PETANI PENANGKAR BENIH HORTIKULTURA DI KECAMATAN PRINGGARATA KABUPATEN LOMBOK TENGAH

2020 ◽  
Vol 29 (1) ◽  
pp. 45
Author(s):  
Muslim Azzakiry
Keyword(s):  
Data Analysis ◽  
National Economy ◽  
Small Businesses ◽  
Agricultural Sector ◽  
National Income ◽  
Small Scale ◽  
Contract Farming

ABSTRAK Sektor pertanian memberikan peran penting dalam pembangunan perekonomian dan pendapatan nasional. Kondisi petani agribisnis dihadapkan pada permasalahan pengusaha sekala kecil. Upaya untuk mengatasi permasalahan di sektor pertanian khususnya pertanian sekala kecil yaitu mengintegrasikan petani ke dalam sektor-sektor yang dianggap lebih modern, seperti sektor industri. Hal tersebut merupakan basis yang melatarbelakangi munculnya konsep kemitraan (contract farming/partnership). Kemitraan adalah kerjasama usaha antara usaha kecil (petani) dengan usaha menengah atau besar disertai pembinaan dan pengembangan oleh usaha menegah atau besar dengan perinsip saling memerlukan, memperkuat dan menguntungkan. Tujuan dari penelitian ini adalah mengetahui pola kemitraan dan kendala yang dihadapi petani di kecamatan Pringgarata Lombok Tengah. Metode yang digunakan deskriptif dan Analisis Data menggunakan analisis deskriftif. Hasil penelitian menunjukan bahwa implementasi kemitraan yang diterapkan antara petani dengan PT.BISI menggunakan pola inti plasma dengan pihak PT.BISI sebagai inti dan petani sebagai plasma. Pola ini sesuai dengan pola yang telah ditetapkan pihak perusahaan. Kendala yang dihadapi petani adalah pengaruh cuaca, iklim, serta adanya hama dan penyakit. ABSTRACT The agricultural sector provides an important role in the development of the national economy and national income. Agribusiness farmers’ conditions are faced with the problems of small-scale entrepreneurs. The efforts to overcome the problems in the agricultural sector, especially small-scale agriculture, is to integrate farmers into sectors that are considered as more modern sectors, such as industry. It is the basis underlying the emergence of the concept of partnership (contract farming / partnership). Partnership is a business cooperation between small businesses (farmers) with medium or big businesses with coaching and development by medium or big bussinesses with mutualism, strengthen, and profitable principles. The purpose of this study is to determine the pattern of partnership and problems faced by farmers in Pringgarata district, Central Lombok. The method and Data Analysis used is descriptive methods. The result of the research shows that the partnership implementation between farmers and PT.BISI is using centre plasma with PT.BISI as the centre and the farmers as plasma. This pattern is appropriate with the pattern that has been established by the company. Problems faced by the farmers are weather, climate, and pests and disease.

scholarly journals LAND GRABBING OR RICE SECTOR DEVELOPMENT OPPORTUNITY? THE CASE OF WANBAO PROJECT IN GAZA, MOZAMBIQUE

2021 ◽  
Vol 5 (2) ◽  
pp. 135
Author(s):  
Sérgio Jordão Augusto Ponguane ◽  
Bento Mussumbuluco ◽  
Nézia Mucavele
Keyword(s):  
Agricultural Land ◽  
Small Scale ◽  
Land Grabbing ◽  
Contract Farming ◽  
Short Term ◽  
Foreign Investors ◽  
Development Opportunity ◽  
Customary Rights ◽  
The Government ◽  
Structured Questionnaire

Demand for agricultural land by foreign investors has been increasing in Mozambique over the last years and the Wanbao project is an example. The implementation of this project in Gaza has divided opinions between the government, civil society and academia. This study aims to contribute to the debate on whether Wanbao project can be considered as land grabbing and the extent to which the project contributes to the development of small-scale agriculture in Gaza Province. Data were collected through a semi-structured questionnaire in December 2019 and January 2020, covering a total of 66 household affected by the Wanbao project. The data were analyzed by a descriptive statistic and a cross-check of the Mozambican land law, the available literature on land grabbing and the information collected on the ground from the farmers affected by the project. The results show that the land concession to Wanbao was made without any consideration of customary rights, however, it was found that the contract farming program can increase rice productivity in the short term, but its sustainability remains questionable. Thus, if the Mozambican government intends to transform agriculture through large investments, it must ensure that the concession of land respects customary rights and the companies involved ensure the transfer of technologies in an effective and sustainable manner.

scholarly journals Economic implication of contract farming on small-scale rice farmers in Kwara State, Nigeria

Agrosearch ◽  
2020 ◽  
Vol 19 (2) ◽  
pp. 26-40
Author(s):  
S.O. Akanbi ◽  
W.I. Alarape ◽  
O.S. Olatunji
Keyword(s):  
Technical Efficiency ◽  
Positive Impact ◽  
Stochastic Frontier ◽  
Farm Size ◽  
Farm Income ◽  
Small Scale ◽  
Economic Implication ◽  
Contract Farming ◽  
Productivity Level ◽  
Rice Farmers

This study examines the implication of contract farming on Olam Out-growers farming scheme in Kwara State, Nigeria. The objectives of the study are to determine the costs and returns to production of rice, assess the productivity level of rice, evaluate the technical efficiency of rice farm and identify the determinants of the technical inefficiency of the rice farms in contract farming. In this study, the average net farm income of the rice farmers under the scheme was N191,862.56 and the land productivity level was 2,006.04kg/ha. The technical efficiency of the rice farm was estimated using Cobb-Douglas Stochastic Frontier Production function which shows that likelihood coefficients for quality of seeds, hired labour and farm size were statistically significant at 1% level. Likewise, the determinants of technical efficiency among the farmers were household size and farming experience. The results further show that the contract farming scheme has a positive impact on the lives of rice farmers. Therefore, there is a need for partnership with private contract farming outfits in order to improve the current level of access to inputs by rice farmers. Keywords: Contract farming, Out-growers rice farmers, Technical efficiency, Farm income

scholarly journals Economics of non-oil value chains in peanut: A case of peanut-candy and salted-peanut small-scale units in India

2011 ◽  
Vol 56 (1) ◽  
pp. 37-54
Author(s):  
Gurrappanaidu Govindaraj ◽  
Vimal Jain
Keyword(s):  
High Capacity ◽  
Policy Implications ◽  
Stage I ◽  
Value Chains ◽  
Small Scale ◽  
Policy Intervention ◽  
Value Addition ◽  
Contract Farming ◽  
Peak Period ◽  
Employment Generation

This study was conducted to assess the extent of value-addition, employment generating potential and economics of peanut-candy and salted-peanut small-scale units in India. In the low-capacity peanut-candy units, the value-addition at the end of Stage-I (pod to kernel) was $ 2.4/q, whereas, it was $ 2.2/q in the high-capacity units. In salted-peanut units, the value-addition in the low- and high-capacity was $2.2/q and $2.3/q, respectively. In Stage-II (kernel to final product), the value-addition was high across sizes and type of the processing units. Around 525 and 635 man-days of employment/month/unit were generated by low and high-capacity peanut-candy units, respectively. The employment generation was less in salted-peanut vis-?-vis peanut-candy units due to different processing methods. The kernel alone constituted 50 to 52 per cent of the total cost in peanut-candy, and 89 per cent in salted-peanut units. The sensitivity analysis revealed that change in the kernel price directly affected the magnitude of profits. The important policy implications emerged were: if the units process the pods to obtain kernel (Stage-I) instead of procuring kernels from the market, considerable value-addition can be made, kernel price directly affects the profits and hence an appropriate mechanism like ?contract farming? would stabilise the kernel prices, majority of the units retrench labour during off-peak period due to less demand and hence diversification in processing will generate sufficient employment to retain the existing skilled employees, and appropriate policy intervention is necessary to address the capital, technology and marketing constraints of the peanut processing units.

Does contract farming improve smallholder income? The case of avocado farmers in Kenya

2016 ◽  
Vol 6 (1) ◽  
pp. 2-20 ◽  
Author(s):  
Mercy Maiwa Mwambi ◽  
Judith Oduol ◽  
Patience Mshenga ◽  
Mwanarusi Saidi
Keyword(s):  
Value Chain ◽  
Large Scale ◽  
Smallholder Farmers ◽  
Small Scale ◽  
Contract Farming ◽  
Variable Model ◽  
Content Type ◽  
Market Opportunities ◽  
Household Farm

Purpose – Contract farming (CF) is seen as a tool for creating new market opportunities hence increasing incomes for smallholder farmers. Critics, however, argue that CF is likely to pass risks to small scale farmers, thus favouring large scale farmers at the expense of smallholder farmers. The purpose of this paper is to examine the effect of CF on smallholder farmers’ income using a case study of avocado farmers in Kandara district in Kenya. Design/methodology/approach – The study uses data collected from 100 smallholder avocado farmers in Kandara district in Kenya and employs an instrumental variable model (Probit-2SLS) to control for endogeneity in participation in the contract and examine the effect of CF on household, farm and avocado income. Findings – The results indicate that participation in CF is not sufficient to improve household, farm and avocado income. Question remains regarding efficient implementation of CF arrangements to promote spill over effects on other household enterprises. Research limitations/implications – The research was carried out using farmers in Kandara district in Kenya as a case study, findings might therefore not reflect the status of CF in all countries. Originality/value – The paper contributes to the growing debate on the effect of value chain upgrading strategies such as contracting on smallholder farmers’ welfare. The form of contracting studied in this paper differs from the standard contracts in that the key stakeholders (producers) are loosely enjoined in the contract through officials of their groups.

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