Contract Farming Resource Centre

Agricultural value chains, contract farming, and rural development

Organization Cornell University
Year 2022

Ingram, M. October, 2022. Agricultural value chains, contract farming, and rural development. Cornell SC Johnson College of Business.

From 2017 to 2019, a pilot program on contract farming expansion was carried out in Mozambique. Through this program, a firm in central Mozambique that contracted with farmers to purchase maize expanded their contracting region and increased the number of contracted households by nearly 50 percent. Household surveys were conducted with contracted and non-contracted households in the newly entered region and with households that lived beyond the new contracting boundary. These surveys allow researchers to estimate the benefits of the scheme for participating households and the benefits that accrue to non-contracted households from residing within the contracting region.