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Kapil Mohan Sharma
Sardarkrushinagar Dantiwada Agricultural
University
Agreement
Contract Farming
Farmer Contractor
Predetermined
Prices
Provision 1  Market Provision
2  Resource Provision
3  Management Specification
Main Feature
Material Input
Technical Advice
Advised Production Methods
Inputs Regimes
Cultivation Specifications
Harvesting specifications.
Supply
Follow
息Kapil Mohan Sharma
Point of View
Farmer
Advanced Farm Skills Development
Credit Availability
Diversify Crop
Reliable supply of inputs
Economic betterment
Contractor
Desirable Supply of Products
Desirable Quality
Small uncompetitive farmers are
better option
Overcoming land Constraints
息Kapil Mohan Sharma
Less
fluctuating
price
Better
Quality
Preharvest
Fixed Price
Fluctuating
Price
Irregular
Quality Biggest
Threat
No Fixed
Price
Extra
commission
Farmer Buyer
Buying
Centre
Hub
Store
Customer
Farmer
Wholesaler
Hub
Store
Customer
Agent
Help
regarding
Technology
and Input
Less
profit
More
profit
息Kapil Mohan Sharma
Success Story in India
Pepsico India in Punjab
 Supply agricultural implements free with timely inputs and extension service
 Effective modern communication
 Unique partnership with locals
 Timely payment
Appachi Cotton Company (ACC) in Tamil Nadu
 One village, one group (SHG) with one variety
 Crop loan at 12% per annum on Groups guarantee with insurance
 Supply of discounted Inputs and purchase at Doorstep
 Synchronized sowing with Integrated crop management
Ugar Sugar Works in Karnataka
 Supplies pure seed on credit to the contracted farmers without interest
 Regular technical Assistance
 Door to Door Service for Inputs and outputs
 Even if a contracting farmer tries to sell the produce in the local market, he
would lose about Rs 350/quintal clarifies Mr. Shirgaokar.
息Kapil Mohan Sharma
Conclusion= Its a boon
Better option for uncompetitive small farmers
Better option for Industries and Retail chain
Long term partnership bears good results
Improves rural background
Customers get quality assured products
息Kapil Mohan Sharma
Future Thrust
Better market intelligence to farmer
More transparency of cost incurred
Legislative laws for better contract
Promotion by Co-operative Societies
息Kapil Mohan Sharma
Kapil mohan sharma

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Kapil mohan sharma

  • 1. Kapil Mohan Sharma Sardarkrushinagar Dantiwada Agricultural University
  • 2. Agreement Contract Farming Farmer Contractor Predetermined Prices Provision 1 Market Provision 2 Resource Provision 3 Management Specification Main Feature Material Input Technical Advice Advised Production Methods Inputs Regimes Cultivation Specifications Harvesting specifications. Supply Follow 息Kapil Mohan Sharma
  • 3. Point of View Farmer Advanced Farm Skills Development Credit Availability Diversify Crop Reliable supply of inputs Economic betterment Contractor Desirable Supply of Products Desirable Quality Small uncompetitive farmers are better option Overcoming land Constraints 息Kapil Mohan Sharma
  • 4. Less fluctuating price Better Quality Preharvest Fixed Price Fluctuating Price Irregular Quality Biggest Threat No Fixed Price Extra commission Farmer Buyer Buying Centre Hub Store Customer Farmer Wholesaler Hub Store Customer Agent Help regarding Technology and Input Less profit More profit 息Kapil Mohan Sharma
  • 5. Success Story in India Pepsico India in Punjab Supply agricultural implements free with timely inputs and extension service Effective modern communication Unique partnership with locals Timely payment Appachi Cotton Company (ACC) in Tamil Nadu One village, one group (SHG) with one variety Crop loan at 12% per annum on Groups guarantee with insurance Supply of discounted Inputs and purchase at Doorstep Synchronized sowing with Integrated crop management Ugar Sugar Works in Karnataka Supplies pure seed on credit to the contracted farmers without interest Regular technical Assistance Door to Door Service for Inputs and outputs Even if a contracting farmer tries to sell the produce in the local market, he would lose about Rs 350/quintal clarifies Mr. Shirgaokar. 息Kapil Mohan Sharma
  • 6. Conclusion= Its a boon Better option for uncompetitive small farmers Better option for Industries and Retail chain Long term partnership bears good results Improves rural background Customers get quality assured products 息Kapil Mohan Sharma
  • 7. Future Thrust Better market intelligence to farmer More transparency of cost incurred Legislative laws for better contract Promotion by Co-operative Societies 息Kapil Mohan Sharma