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Contract Farming

We are engaged in Contract farming which is defined as a system for the production and supply of agriculture/horticulture produce under forward contract between producers/suppliers and farmers. The essence of such an arrangement is the commitment of the producer/seller to provide an agriculture commodity of certain type at a time and in the quantity required by a known and committed buyer. Farmers are required to plant the contractors crop on his land and to harvest and deliver to the contractor a quantum of produce based upon anticipated yield and contracted acreage. This could be at pre-agreed price.

To establish an agrarian economy that ensure food and nutrition security to a population of over a billion, raw material for its expanding industrial base, surplus for export and a fair and equitable rewarding system for the farming is no doubt a reliable alternative farming model which provide reliable input service to farmers and desired farm produce to the contracting firms. Several Indian and multinational companies have already began such initiative in India and have demonstrated repeated success.

Benefits
The existing literature on contract farming identifies several major areas where contract farming can provide benefits. From the point of view of farmers, contract farming can provide access to markets, credit, technology and inputs that they would otherwise be excluded. Moreover, contract farming can lead to improvements in income reducing some of the risk farmers' face from production and price fluctuations. From the point of view of purchasers, contract farming provides greater control over volume and quality consistency; to a certain extent, it can also lower certain transaction and production costs that purchasers face.

Mother Herbs and Contract farming
We do contract farming of-
» Rouwolffia serpentina in Orissa that covers 5 acres land.
» Rose petals cultivated in U.P over 7 acres land.
» Mentha Spicata in U.P covering 3 acres of land.
» Lemon grass in U.P covering 10 acres of land.
» Ocimum sanctum in TN covering 4 acres of land.
» Chamomile matricaria covering 2 acres of land area.

We supply the farmers with selected input including technical advice required for cultivation. The use of improved varieties and the availability of the knowledge pool resulted in the drastic boom in the production. We supply farmers with the basic necessities like Food, shelter, clothes, money and medicines and provide them assured product security.

We are trying to closely work with the Govt. of India to tender forest to us on lease. This will help us control the harvesting and drying process of wild crafted herbs.



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