Inputs and Services Delivery System under Contract Farming: A Case of Broiler Farming§ Kalamkar S.S. Agro-Economic Research Centre, Sardar Patel University, Vallabh Vidyanagar - 388 120, Anand, Gujarat Email: dearshri@gmail.com
§ This is a part of the report on ‘Contract Broiler Farming in Maharashtra’ carried out by the author at the Gokhale Institute of Politics and Economics (GIPE), Pune and submitted to the Ministry of Agriculture, Govt. of India, New Delhi in March 2011. Author acknowledges with thanks the support of the Ministry and the GIPE, Pune. Author also thanks anonymous referee constructive comments and suggestions. Usual disclaimer applies. JEL Classification: Q12, Q13, L14, L24 Online published on 9 October, 2012. Abstract The paper has analyzed production-related aspects of broiler farming under contract and independent management, and has examined inputs and services provision arrangements. About two-thirds of the contracts are of long duration of three years, and the remaining are of two years or eleven months duration. Surprisingly, none of the contract farmer possesses a copy of the agreement with him. The average net return per kg of live weight as well as per bird has been found higher in non-contract than contract farmers. The average net returns per bird increases with increase in the size of the farm for both the groups. Despite contract for supply of inputs and sale of output, contract farmers face problems like delay in supply of inputs, high feed prices, delay in lifting the produce, delay in payment, low price, and sometime even rejection of output. Beside these problems, low growing charges, delay in providing chicks, delay in providing veterinary services, high visiting charges and deduction of tax at source are some other problems being faced by the contract farmers. Top Keywords Broiler farming, contract farming, inputs delivery, services delivery. Top |