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The book argues that an increasing corporatisation of agriculture in India that is enabled by its neoliberal State, in the name of ‘development’, is contributing towards deepening of inequality in the rural India. It says that Contract Farming (CF) acts as a conduit that enables the coming together of myriad production relations (mercantile, finance, productive) to sell agri-commodities to the capitalist peasant. It is an accumulation strategy that brings together various factions of domestic and foreign capital together. It shows that CF as an accumulation strategy is enabled by an active interventionist state and this neoliberal Indian state mediates the relation between the agri-capital and Indian peasantry. The book further analyzes contract farming as a part of the totality of the capitalist mode of production in context of developing countries with a large agrarian base--- asking three fundamental questions – what is CF, how and why is it done and what are the implications of it.
Debates about public expenditure in the agricultural sector have reopened in many developing and emerging economies because of high budget deficits and changes in public opinion. As a result, agricultural policy in many of these countries is beginning to take a more market-oriented approach to agrarian problems, most notably through the introduction of contract farming. This book explores the policy issues around contract farming and its transformative potential and addresses the lack of empirical research on this topic by focusing on South Asia: principally India, Bangladesh and Nepal. The book first addresses the effects of contract farming (vertical coordination) on productivity, food security indicators (yield, consumption expenditures, prices), employment and input usage. Then it draws lessons from the South Asian case studies on the impact of institutional changes, like contract farming, on income and food security of smallholder households. The core of the book includes case study chapters on several commodities that are produced under contract farming, including vegetables and fisheries in Bangladesh, low-value crops in Nepal and coffee in India. Other chapters also explore contracts, storage, input usage and technical efficiency in these cases. This book serves as an essential guide to academics, researchers, students, legislative liaisons and think tank groups interested in agrarian issues, agricultural economics and agricultural policy in emerging economies and particularly in South Asia.
Nowadays, agricultural-food system has been experiencing major changes which are driven mainly by recent developments in consumer preferences and attitudes, technological improvements, food safety issues and related regulations. The advanced agro-food sec
FAO’s previous contribution to the development of contract farming saw the publication in 2015 of the UNIDROIT/FAO/IFAD Legal Guide on Contract Farming, which focused on the bilateral relationship between an agricultural producer and a contractor. This Legislative Study develops that research and focuses on the regulatory frameworks for contract farming, aiming to highlight different possible approaches for different contexts. Responsible contract farming can be a powerful tool for small scale farmers in developing countries to move towards larger scalecommercial production. It can create economic wealth, contribute to supply chain efficiency through the production of higher quantities of better quality products, and contribute to achieving domestic food security objectives. Maximizing these benefits while minimizing the inherent risks of contract farming is reliant upon the forging of an enabling environment, a key part of which is the domestic regulatory framework. This Legislative Study provides guidance to domestic regulators and other interested readers on how to appraise and potentially reform domestic regulatory frameworks to achieve responsible contract farming. Recognising that different countries and contextual realties may benefit from different regulatory solutions, this Study provides several examples, supported by representative case studies, on how contract farming can be regulated, without promoting a single solution as the most appropriate. Please visit FAO’s Contract Farming Resource Centre, http://www.fao.org/in-action/contract-farming/en/, which is a regularly updated website hosting a variety of material on contract farming both from FAO and from other recognized authors.
This book aims to typify the extent to which contract farming is helping small farmers to access markets and meet increasingly stringent requirements, not only of "modern" food manufacturers, retailers, exporters and food service firms,by also in non-food sectors such as biofuels and forestry. It also seeks to clarify differences in the functionality of contracts depending on commodity, market, technology, public policies and country circumstances. Conceptual issues are discussed and a series of case study appraisals based on real world examples from developing regions are presented. The issuesraised by the case study authors and the key messages synthesized in the initial book chapter bring new insights and contributions to further enrich knowledge on contract farming as a tool for inclusive market access in development countries.
Wracked by poverty, famine, and drought, Africa is typically represented as agriculturally stagnant, backward, and crisis-prone. Living Under Contract, however, highlights the dynamic, changing character of sub-Saharan agrarian systems by focusing on contract farming. A relatively new and increasingly widespread way of organizing peasant agriculture, contract farming promotes production of a wide variety of crops--from flowers to cocoa, from fresh vegetables to rice--under contract to agribusinesses, exporters, and processers. The proliferation of African growers producing under contract is in fact part of broader changes in the global agro-food system. In this examination of agricultural restructuring and its effect upon various African societies, editors Peter Little and Michael Watts bring together anthropologists, economists, geographers, political scientists, and sociologists to explore the origins, forms, and consequences of contract production in several African countries, particularly Kenya, the Gambia, Zimbabwe, and the Ivory Coast. Documenting how contract production links farmers, agribusiness, and the state, the contributors examine problematic aspects of this method of agrarian reform. Their case studies, based on long-term field work and analysis on the village and household level, chart the complex effects of contract production on the organization of work and the labor process, rural inequality, gender relations, labor markets, local accumulation strategies, and regional development. Living Under Contract reveals that contract farming represents a distinctive form in which African growers are incorporated into national and world markets. Contract production, which has been a central feature of the agricultural landscape in the advanced capitalist states, is an emerging strategy for "capturing peasants" and for confronting the agrarian question in the late twentieth century.
The book covers Indian agricultural development from the colonial to the present period. It examines how ruling class political ideology determined the agricultural policies from colonial rule. It considers both quantitative and qualitative aspects in all periods: colonial period to pre-green revolution phase, post-green revolution phase (early and late stages) and post-globalisation phase after 1991. India has achieved the ability to maintain food security, through enough food grain buffer stocks to meet the enormous public distribution system. But, with India’s entry into WTO in 1994, euphoria has been created among all types of farmers to adopt commercial crops like cotton cost-intensive inputs. Even food grain crops are grown through use of costly irrigation and chemicalised inputs. But they lacked remunerative prices, and so farmers began to commit suicides, which crossed 3.5 lakh. Government of India attributed this agrarian crisis to the technology fatigue and gave scope for second green revolution (GR-II). GR-I was achieved by public sector enterprise, whereas the GR-II as gene revolution is a result of private sector enterprise/MNCs. There is fear that opening up of the sector may lead to handover of the family farms to big agri-multinationals. GOI’s proposal to double farmers’ income by 2022 is feasible only when the problems, being faced by small, marginal and tenant farmers, are addressed in agricultural marketing, credit and extension services. Now, it is time to go for suitable forms of cooperative/collective agriculture, as 85 percent of total cultivators are the small and marginal farmers. This book is co-published with Aakar Books, New Delhi. Taylor & Francis does not sell or distribute the print versions of this book in India, Pakistan, Nepal, Bhutan, Bangladesh and Sri Lanka.
This open access book provides a clear holistic conceptual framework of CISS-F (competitiveness, inclusiveness, sustainability, scalability and access to finance) to analyse the efficiency of value chains of high value agricultural commodities in India. It is based on the understanding that agriculture is an integrated system that connects farming with logistics, processing and marketing. Farmer’s welfare being central to any agricultural policy makes it very pertinent to study how a value chain works and can be strengthened further to realize this policy goal. This book adds value to the existing research by studying the value chains end-to-end across a wide spectrum of agricultural commodities with the holistic lens of CISS-F. It is not enough that a value chain is competitive but not inclusive or it is competitive and inclusive but not sustainable. The issue of scalability is very critical to achieve macro gains in terms of greater farmer outreach and sectoral growth. The research undertaken here brings out some very useful insights for policymaking in terms of what needs to be done better to steer the agricultural value chains towards being more competitive, inclusive, sustainable and scalable. The value chain specific research findings help draw very nuanced policy recommendations as well as present a big picture of the future direction of policy making in agriculture.