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SUSTAINABLE CONTRACT FARMING FOR INCREASED COMPETITIVENESS

Context BANGLADESH
Presented by:

Md. Shah Alam Manager (Seed Production, Contact Growers) Bangladesh Agricultural Development Corporation Dhaka, Bangladesh
July 18 22, 2005

Introduction
Agriculture and related industries contribute 20% of the total GDP, employing 60% of the labour force. Bangladesh a wide range of environmental conditions: Climate mostly dominated by tropical monsoon. Annual rainfall 120 mm to 5000 mm. Mean annual temperature 260C. Lands hill (12%), terrace (8%), flood plain (80%).

Introduction

(contd.)

Total cultivated area 13 million ha. Main crop: Rice grown over 10.24 million ha. Other crops: Wheat, Jute, Potato, Sugar cane, Pulses, Oil crops, Vegetables etc. Land per family in agriculture table below:
Class of family or farmer Marginal Small farmer Medium farmer Large farmer No of owner family (lac) 92.43 20.92 3.04 1.23 Land size per family 0.02 to 1.0 ha. 1.01 to 3.00 ha. 10.00 ha. 10.00 & above

Bangladesh: History of Contract Growing


Early sixties inception of cereal seed production programme through registered growers. Early seventies starting of cereal seed project through owned seed production farm and contract growers.

Adopting Contract Growers System: Objectives


To organize contract grower from different association of contract farming To establish seed industries under private sector to organize growers To provide technical assistance and other facilities To arrange multiplication of foundation & certified seed through contract growers To ensure supply of various agricultural inputs in time To assist the nation in achieving self-sufficiency in food production and ensure food security for the poor

Adopting Contract Growers System: Objectives (contd.)


Enabling an equitable partnership between the poor farmers and the landowners. Enabling the poor to gain equitable access to the use of resources. Generating employment opportunities for rural men and women in various agricultural activities. Transferring the modern technologies from research station to the farmer's door. Formulating and implementing the national seed policy

Features of Selecting Contract Growers & Zone


Flood free area suitable for seed production or crop production Well communication from zonal HQ to block and scheme area Presence of necessary irrigation facilities Motivated/interested farmer for seed production Selection of land for contract growing should be done on the basis of Govt. soil survey map & soil test

Features of Selecting Contract Growers & Zone (contd.)


Database of farmers with detailed description before execution of the seed production program Agreement between BADC & respective growers before execution of production programme Training of the contract growers and project personnel's before execution of the programme Technical assistance and logistic support to contract growers from land preparation to harvest of produces Procurement of seeds from contract growers by BADC in exchange of cash money with premium

Position of Contract Growers System Rendered by BADC Procedure for Seed Production in Contract Growers Block Private Sector Engaged in Contract Farming

Key Players
4 (four) Major Private Sector Associations NGOs Other Organizations from Private Sector

Involved Organizations from Public Sector

Problems Faced in Contract Growing System


Farmers with inadequate knowledge of quality seed production Unavailability of foundation seed Lack of fertilizer and insecticides supply at the time of need Weather is a likely obstacle at the time of standing crop and harvesting period Govt. funds unavailability for payment of price of seed in due time Farmers discontinue contract agreement by selling the seed to the market in desperate need for money Very few or no arrangement of loan for farmers who fail to buy seeds from Govt. due to inadequate amount of capital

CONCLUSION

Production of Foundation and Certified Seeds: Year 2000 - 2005


Year 2000-01 Name of crops Rice Wheat Maize 2001-02 Rice Wheat Maize 2002-03 Rice Wheat Maize 2003-04 Rice Wheat Maize 2004-05 Rice Wheat Maize Stage Foundation 808 689 541 12 Certified 11855 14697 12300 11259 13922 9156 14073 9148 31315 12819 314 Total 11855 15505 12300 11948 13922 9156 14073 9148 31315 13360 326