Benefits Advantages and
Disadvantages of Contract Farming in India
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Disadvantages of Contract Farming in India”
Advantages of
Contract Farming in India ( Benefits of
Contract Farming in India )
The key benefits of contract farming for farmers can be
summarized as:
1) Improved access to
local markets;
2) Assured markets and prices (lower risks) especially for
non-traditional crops;
3) Assured and often
higher returns;
4) Enhanced farmer
access to production inputs, mechanization and transport services, and
extension advice
Disadvantages of
Contract Farming in India
The main disadvantage in this contract farming model is
1) It disconnects the
link between company and farmer
What is Contract
Farming in India ? ?
Small farmers agreed to sell their produce to large
multinational food companies at pre-determined rates, while at the same time
gaining access to additional sources of capital and new technology
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