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  1. Contract farming: Potential Collusion and Trust

    We conduct framed trust games using contract dairy farmers in Vietnam as first movers to assess the impact of potential collusion on trust. Disaggregated analysis suggests that female farmers are more likely to trust overall, but are also more responsive ...

    Lucia.Madrigal - 04/18/2014 - 15:05

  2. Impact of Third-Party Enforcement of Contracts in Agricultural Markets

    Asymmetry of information is a fundamental problem in agricultural markets. Production contracts remain incomplete if product quality attributes measured by the buying company remain unobservable for the selling farmer. Opportunistic buyers would report lo ...

    Lucia.Madrigal - 04/18/2014 - 15:10

  3. Long-Term Contracts

    Multi-period contract arrangements are a key part of building sustainable relationships between buyers and producers. The prospect of penalties in future interaction reduces the incentive for farmers to side-sell. In the case of perennial crops, buyers ma ...

    Chris.Marciniak - 05/15/2014 - 10:30

  4. Producer Penalties and Bonuses

    Producer penalties and bonuses can help reduce the incidence of side-selling and better align farmers' incentives with purchasers'.   Bonuses can help ensure that farmers take the necessary measurements to produce the quality charachteristics of ...

    Chris.Marciniak - 05/23/2014 - 04:26

  5. Contract farming and smallholder incentives to produce high quality

    In emerging markets for high-value food products in developing countries, processing companies search for efficient ways to source raw material of consistent quality. One widely embraced approach is contract farming. But relatively little is known about t ...

    soonho - 04/18/2014 - 15:14

  6. The Importance of Standards

    Quality standards are increasingly important for farmers to be able to export in high-value markets. Two case studies illustrate both the risks and the potential benefits for farmers related to meeting export standards. Farmers in Kenya defaulted after ha ...

    Chris.Marciniak - 05/20/2016 - 09:13

  7. Third-party Quality Measurment

    Part of the constraints facing contract farming are the lack of proper procedures for measuring quality in production. If the buyer handles quality assurance then they may have an incentive to report that production was of lower quality in order to offer ...

    Chris.Marciniak - 05/20/2016 - 09:16