Issue Date: Jan 15, 2012
What makes your formula a novel contract farming model?
Appachi formula differs from conventional contract farming models, especially on the price front. We do not create uncertainty by fixing the price of the produce in advance. Our contract allows farmers to sell their commodity at the prevailing market rate. Though we have the first right to negotiate, farmers are free to auction off the produce in case of a disagreement. We motivate them to form self-help groups to enhance their bargaining power.
Interviewee:
Mani Chinnaswamy
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IT HAPPENS ONLY IN INDIA,
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