(a) whether the contract system has been introduced in the agriculture sector under
the new agriculture policy;
(b) if so, the areas in the country where the multinational companies have started
work in agriculture sector along with the area of land in which they have undertaken the
cultivation so far; and
(c) the category of farmers to which the said area of land belongs?
MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE (SHRI SHRIPAD Y. NAIK)
(a)to(c): No specific programme for promotion of agriculture on contract basis been
initiated under the National Agriculture Policy announced in July, 2000. Contract
Farming, however, is already being practiced in different States for production of various
crops such as sugarcane, tobacco, oil palm, horticultural crops, plantation crops etc.,
besides production of seeds of different crops.
Under the Contract Farming arrangements, the farmers carry on cultivation on
contract basis with buyback arrangements with the companies, including multinational
companies. Contract Farming promotes and facilitates transfer of technology, in flow of
quality inputs and funds, improved post harvest practices and assured market for
agricultural produce.
Data bases on the coverage and operation of contract farming practices in
different States have not yet been developed.