(Stellenbosch : University of Stellenbosch Business School, 2008-02) Duma, Moses; Thomas, Wolfgang
In the wake of the launch of Zimbabwe’s
land-reform programmes and the
subsequent deterioration of the formal
farming industry, contract farming has
emerged as a significant economic activity.
It offers communal farmers the opportunity to
sell their produce to agribusinesses at
predetermined terms and prices. The concept
has gradually taken off to provide a degree of
stability in crop production that might otherwise
have collapsed.
Research conducted at the University of
Stellenbosch Business School (USB) investigated
contract farming in Zimbabwe and came up with
suggestions for improving the system. The study
found that contract farming enjoys substantial
acceptance and support from its key participants:
smallholder farmers, agribusiness, and the
Zimbabwean government.