Contract Farming Resource Centre

The impacts of contract farming on rural farm households, Lao PDR

Organization Faculty of Humanities and Social Sciences, Khon Kaen University, Thailand
Year 2014

This research is aimed to study the impacts on rural farm households of contract farming in Savannakhet, Lao PDR. The study has been conducted by the qualitative approach, by in-depth interview as well as employing observation techniques. The targets of this research were 10 key informants, such as sugarcane contract farming organizations which include buyers, officers, production groups and the 20 farm households who conduct sugarcane contract farming. Content analysis was employed for the data analysis. The results found that there were both positive and negative impacts on farm households. The positive impacts: both income and farm management skills were improved and household networks were established. Negative impacts: debts, exposure to chemical, pesticides and insecticides, low social relations were found. These are the risks facing the households participating in contract farming in Lao PDR.