Impact of contract farming on profits and yield of smallholder farms in Nepal: An evidence from lentil cultivation

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cg.authorship.typesCGIAR single centre
cg.contributor.crpPolicies, Institutions, and Markets
cg.coverage.countryNepal
cg.coverage.iso3166-alpha2NP
cg.coverage.regionSouthern Asia
cg.coverage.regionAsia
cg.creator.identifierAnjani Kumar: 0000-0001-8920-6598
cg.creator.identifierDevesh Roy: 0000-0003-4795-7240
cg.identifier.projectIFPRI - Markets, Trade, and Institutions Division
cg.identifier.projectIFPRI - South Asia Office
cg.identifier.publicationRankNot ranked
cg.reviewStatusInternal Review
dc.contributor.authorKumar, Anjani
dc.contributor.authorRoy, Devesh
dc.contributor.authorJoshi, Pramod Kumar
dc.contributor.authorTripathi, Gaurav
dc.contributor.authorAdhikari, Rajendra Prasad
dc.date.accessioned2024-06-21T09:23:20Zen
dc.date.available2024-06-21T09:23:20Zen
dc.identifier.urihttps://hdl.handle.net/10568/147800
dc.titleImpact of contract farming on profits and yield of smallholder farms in Nepal: An evidence from lentil cultivationen
dcterms.abstractThis study is undertaken to quantify the benefits of contract farming (CF) on farmers’ income in a case where new market opportunities are emerging for smallholder farmers in Nepal. CF is emerging as an important form of vertical coordination in the agrifood supply chain. The prospect for CF in a country like Nepal with accessibility issues, underdeveloped markets, and lack of amenities remains ambiguous. On the one hand, contractors find it difficult to build links in these cases, particularly when final consumers have quality and safety requirements. On the other hand, lack of other market opportunities makes the contracts more sustainable. The latter happens if there are product-specific quality advantages because of agroecology and, more important, lack of side-selling opportunities. At the same time concerns remain about monoposonistic powers of the buyers when small farmers do not have outside options. Results of this study show that CF is significantly more profitable (81 percent greater net income) than independent production, the main pathway being higher yield and price realization. The positive impact of CF on farmers’ profits can help Nepal in harnessing the growing demand for pulses, especially in neighboring international markets, like India.en
dcterms.accessRightsOpen Access
dcterms.bibliographicCitationKumar, Anjani; Roy, Devesh; Tripathi, Gaurav; Joshi, Pramod Kumar; and Adhikari, Rajendra Prasad. 2016. Impact of contract farming on profits and yield of smallholder farms in Nepal: An evidence from lentil cultivation. Paper prepared for presentation at the Agricultural & Applied Economics Association's Annual Meeting, Boston, MA, July 31 - August 2, 2016. https://purl.umn.edu/235848en
dcterms.issued2016-07-26
dcterms.languageen
dcterms.relationhttps://hdl.handle.net/10568/147408en
dcterms.replaceshttps://ebrary.ifpri.org/digital/collection/p15738coll5/id/5447
dcterms.subjectincomeen
dcterms.subjecthouseholdsen
dcterms.subjectlentilsen
dcterms.subjectsmallholdersen
dcterms.subjectmarketsen
dcterms.subjectmonopsonisticen
dcterms.subjectpulsesen
dcterms.subjectcontract farmingen
dcterms.typeConference Paper

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