Contract farming has gained in importance in many developing countries. Previous studies analysed effects of contracts on smallholder farmers’ welfare, yet mostlywithout considering that different types of contractual relationships exist. Here, we examine associations between contract farming and farm household income in the oilpalm sector of Ghana, explicitly differentiating between two types of contracts,namely simple marketing contracts and more comprehensive resource-providing contracts.
It is often assumed that voluntary sustainability standards – such as Fairtrade – could not only improve the socioeconomic wellbeing of smallholder farmers in developing countries but could also help to reduce negative health and environmental impacts of agricultural production. The empirical evidence is thin, as most previous studies on the impact of sustainability standards only focused on economic indicators, such as prices, yields, and incomes.
Smallholder farmers in developing countries often suffer from high risk and limited market access. Contract farming may improve the situation under certain conditions. Several studies analyzed effects of contracts on smallholder productivity and income with mixed results. Most existing studies focused on one particular contract scheme. Contract characteristics rarely differ within one scheme, so little is known about how different contract characteristics may influence the benefits for smallholders.
Rising global demand for vegetable oil during the last few decades has led to a drastic increase in the land area under oil palm. Especially in South- east Asia, the oil palm boom has contributed to economic growth, but it has also spurred criticism about negative environmental and social effects. Here, we discuss palm oil production and consumption trends and review environmental, economic, and social consequences in different parts of the world. The oil palm expansion has contributed to tropical deforestation and associated losses in biodiversity and ecosystem functions.
Fairtrade certification has recently gained in importance for various export crops produced in developing countries. One of Fairtrade's main objectives is to improve the social conditions of smallholder farmers. Previous research showed that Fairtrade has positive effects on farmers' sales prices and incomes in many situations. However, more detailed analysis of the effects on food security and other dimensions of household living standard is rare.
Many developing countries are experiencing a rapid expansion of supermarkets. New supermarket procurement systems could affect farming patterns and wider rural development. While previous studies have analyzed farm productivity and income effects, possible employment effects have received much less attention. Special supermarket requirements may entail intensified farm production and post-harvest handling, thus potentially increasing demand for hired labor. This could also have important gender implications, because female and male workers are often hired for distinct farm operations.
With the commercialization of agriculture, women are increasingly disadvantaged because of persistent gender disparities in access to productive resources. Farmer collective action that intends to improve smallholder access to markets and technology could potentially accelerate this trend. Here, we use survey data of small-scale banana producers in Kenya to investigate the gender implications of recently established farmer groups. Traditionally, banana has been a women’s crop in Kenya. Our results confirm that the groups contribute to increasing male control over banana.
In Sub-Sahara Africa, adoption rates of improved crop varieties remain relatively low, which is partly due to farmers’ limited access to information. In smallholder settings, information often spreads through informal networks. Better understanding of such networks could potentially help to spur innovation and farmers’ exposure to new technologies. This study uses survey data from Tanzania to analyze social networks and their role for the spread of information about improved varieties of maize and sorghum.
Labor saving innovations are essential to increase agricultural productivity, but they might also increase inequality through displacing labor. Empirical evidence on such labor displacements is limited. This study uses representative data at local and national scales to analyze labor market effects of the expansion of oil palm among smallholder farmers in Indonesia. Oil palm is labor-saving in the sense that it requires much less labor per unit of land than alternative crops.