Markets for Efficiency and Inclusion

Open, integrated, and well-regulated markets for land, labor, and capital and for goods and services are essential for growth, inclusion, and sustainability. We have many sectors were markets are non-existent or incomplete, especially those which are dominated by public provisioning. How do we create or improve markets in all sectors?

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Should the contract farming and direct purchase from the farmers be encouraged? If yes, what steps need to be taken to facilitate it? If not, what would be a better alternative?

Postby chanana.ak@nic.in » Thu Feb 10, 2011 12:49 pm

Should the contract farming and direct purchase from the farmers be encouraged? If yes, what steps need to be taken to facilitate it? If not, what would be a better alternative?
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Re: Should the contract farming and direct purchase from the farmers be encouraged? If yes, what steps need to be taken to facilitate it? If not, what would be a better alternative?

Postby sss@sdlindia.com » Tue Mar 22, 2011 6:11 am

• Yes. This is especially required for medicinal plants as this will ensure better revenue to the farmer and better quality to the plant based industry. This will reduce the storage period and incidental deterioration of quality. This will also facilitate access to the passport data for the medicinal plants. If such contracts are supported by post harvest handling it will further reduce wastage, deterioration and transportation costs
• Government should facilitate meeting between farmers and potential clients through appropriate portals and physically if warranted.
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Re: Should the contract farming and direct purchase from the farmers be encouraged? If yes, what steps need to be taken to facilitate it? If not, what would be a better alternative?

Postby bizcon.kapadia@gmail.com » Sat Jul 02, 2011 4:56 am

Contract farming concept needs clear cut definition to avoid misinterpretation. Any person or group of persons who want to undertake the business of farming and cultivation including Floriculture, Mangroves, Coconut, Spices etc. should be given benefit of tax exemption/concession like 100% farmers owning own land. Though tenancy is not encouraged, we should provide facility to all those who want to utilise existing fertile/cultivable land and vacant or arid land for development.
If a person buys land, it must be used for agriculture and above mentioned purposes and must not be allowed to be converted to non-agricultural uses later on. This will curb the speculative real estate operators.
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Re: Should the contract farming and direct purchase from the farmers be encouraged? If yes, what steps need to be taken to facilitate it? If not, what would be a better alternative?

Postby ishantgoel@live.in » Sat Jul 02, 2011 7:56 pm

Yes, but the farmers must be protected, the buying firms are more powerful than the poor farmers and wherever there are less buyers, there can be unfair deal. Proper laws must be framed along with fixing of a min. price and encouraging markets in areas where farmers are not organized can help in taking advantages from contract farming method in right manner.
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Re: Should the contract farming and direct purchase from the farmers be encouraged? If yes, what steps need to be taken to facilitate it? If not, what would be a better alternative?

Postby Krishna.vadakkepat@gmail.com » Thu Jul 07, 2011 2:01 pm

There cannot be one answer to this. However I think the farmer needs options so contract farming should not be prohibited. At the same time government should put protective mechanisms in place to aid farmers on the one side from being exploited by the contracting firms and the contracting firms to be supported for ensuring security of supplies
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