Topic Details (Notes format)

Contract Farming and Value Chains

Subject: Economics

Book: Comprehensive Indian Economy - Additional Topics

Contract farming arrangements link buyers (food processors, retailers) directly with farmers, providing assured markets, quality inputs, and technical support. This can stabilize incomes and reduce post-harvest losses. However, critics worry about exploitive contracts or reduced farmer autonomy. For exam prep, analyze legal frameworks, dispute mechanisms, and global examples (Thailand’s poultry sector). Linking farmers to high-value supply chains (horticulture, dairy) catalyzes rural prosperity but hinges on strong institutional checks.

Practice Questions

Which of the following factors is NOT included in the calculation of Human Development Index (HDI)?

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Which term refers to the decrease in the value of a currency relative to foreign currencies?

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Which of the following is an example of a public sector undertaking (PSU) in India?

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Which of the following is an example of a capital receipt for the government?

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What is “currency devaluation”?

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What is the main feature of a free-market economy?

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What is the objective of the Goods and Services Tax (GST)?

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What is meant by “credit rating”?

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Which of the following sectors contributes the most to India’s GDP?

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What is the meaning of “disguised unemployment”?

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