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Can contract farming in organic basmati rice be a boon to smallholders? Evidence from India:

Author

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  • Mishra, Ashkok K.
  • Kumar, Anjani
  • Joshi, Pramod Kumar
  • D’Souza, Alwin
  • Tripathi, Gaurav

Abstract

Demand for organic basmati rice (OBR), both at home and abroad, coupled with policy reforms in India have given rise to contract farming (CF) production in that nation. OBR production, however, is highly susceptible to weather and pest risks. This study investigates the impact of smallholders’ perceived production risks on their adoption of CF in OBR farming. We also assess the impact of CF in OBR production on yields, prices received, and the livelihood of OBR producers. We use farm-level data from smallholder basmati rice farms in India and the endogenous switching regression method to account for heterogeneity.

Suggested Citation

  • Mishra, Ashkok K. & Kumar, Anjani & Joshi, Pramod Kumar & D’Souza, Alwin & Tripathi, Gaurav, 2018. "Can contract farming in organic basmati rice be a boon to smallholders? Evidence from India:," IFPRI discussion papers 1712, International Food Policy Research Institute (IFPRI).
    • Handle: RePEc:fpr:ifprid:1712
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    Citations

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    Cited by:

    1. Vishnu, Kedar & Rai, Ruchika, 2022. "Measuring The Impact of Transaction Costs on Profitability of Farmers: Empirical Evidence from India," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322593, Agricultural and Applied Economics Association.
    2. Alwin Dsouza & Ashok K. Mishra & Scott Webster, 2023. "Vertical coordination and post‐harvest losses: Implications on food loss," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 45(1), pages 460-486, March.
    3. Bethânia Ávila Rodrigues & Mariana Machado Fidelis Nascimento & Juliana Vitória Messias Bittencourt, 2021. "Mapping of the behavior of scientific publications since the decade of 1990 until the present day in the field of food and nutrition security," Scientometrics, Springer;Akadémiai Kiadó, vol. 126(3), pages 2459-2483, March.
    4. Federico Antonioli & Simone Severini & Mauro Vigani, 2023. "Visa for competitiveness: foreign workforce and Italian dairy farms’ performance," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 50(1), pages 115-150.
    5. Richard Kwasi Bannor & Yaw Gyekye, 2022. "Unpacking The Nexus Between Broiler Contract Farming and Its Impact in Ghana," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(6), pages 2759-2786, December.
    6. Lien, Gudbrand & Kumbhakar, Subal C. & Mishra, Ashok K. & Hardaker, J. Brian, 2022. "Does risk management affect productivity of organic rice farmers in India? Evidence from a semiparametric production model," European Journal of Operational Research, Elsevier, vol. 303(3), pages 1392-1402.
    7. Kedar, Vishnu Shankarrao & Kumar, Parmod & Neharkar, Pratibha, 2021. "Transaction Costs, Institutions and Smallholder Market Integration: Chili Producers in India," 2021 Annual Meeting, August 1-3, Austin, Texas 313970, Agricultural and Applied Economics Association.
    8. Bellemare, Marc F. & Lee, Yu Na & Novak, Lindsey, 2021. "Contract farming as partial insurance," World Development, Elsevier, vol. 140(C).

    More about this item

    Keywords

    INDIA; SOUTH ASIA; ASIA; contract farming; risk; crop yield; organic foods; basmati rice; smallholders; sustainable agriculture; production costs; agricultural prices; organic agriculture; endogenous switching regression; C21 Single Equation Models: Cross-Sectional Models; Q12 Micro Analysis of Farm Firms; Farm Households; and Farm Input Markets; D13 Household Production and Intrahousehold Allocation;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation

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