Contract farming is a partnership between farmers and buyers (such as food companies, exporters, or processors) where both sides agree in advance on the production and marketing of agricultural products.
In this system, farmers receive:
- Assured markets for their produce
- Fair prices for their efforts
- Access to high-quality seeds, fertilizers, and modern farming techniques
In return, buyers gain a consistent supply of high-quality produce, cultivated using agreed standards and sustainable methods.