Contract farming and out-grower schemes: appropriate development models to tackle poverty and hunger?

This ActionAid policy report, published in March 2015, considers that out-grower schemes (often referred to as contract farming) are an important component of many current public-private partnerships (PPPs) in developing countries, including the G8’s New Alliance. Such schemes often appeal to farmers because the company often provides inputs and production services. Out-grower schemes and contract farming often exclude the poor, women, the landless, and marginal or subsistence farmers. They offer access to land that would not otherwise be available to a company and can also be a disguised form of land grab. The evidence reveals that most existing contract farming and out-grower schemes are not an appropriate development model to tackle poverty and hunger.