An introduction to contract farming training course
Interest in contract farming as a mechanism to coordinate linkages between farmers and agribusiness firms has grown considerably in the recent past, in large part because of the international trends towards tighter alignment of quality and standards in agrifood supply chains.
The Food and Agriculture Organization of the United Nations (FAO) has been responding to this growing demand for information and technical support on contract farming issues by means of actions that include a series of capacity building workshops on planning and implementing contract farming operations, the dissemination of knowledge through the Contract Farming Resource Centre(CFRC), and the development of publications on conceptual, operational and legal aspects of contract farming.
Drawing on the experiences of developing successful contract farming schemes and fostering an enabling environment for contract farming, a training course on contract farming offers five dynamic learning modules containing presentations, case studies, exercises, discussion materials, and assessment tools, all supported by detailed trainer notes for delivering content using a participatory, objective-based learning methodology.
The purpose of this training course
This training course aims to equip interested participants with a comprehensive understanding of contract farming, from foundational concepts to the practical legal and regulatory frameworks that underpin successful and contract farming operations.
This course is designed to address the diverse needs of stakeholders involved in contract farming—farmers, agribusinesses, policymakers, and facilitators—by building awareness and skills essential for establishing fair, transparent, and mutually beneficial agreements. Participants will explore the advantages and potential pitfalls of contract farming, examine the roles and responsibilities of each party, and learn how to navigate and design effective contracts that foster sustainable market integration and rural development.
Throughout the training, the flow is structured to first ground participants in the basic principles and global context of contract farming, before moving into the practical steps of planning and setting up operations. Learners will then delve into the critical legal considerations that govern contract farming agreements, ensuring clarity, enforceability, and protection for all parties. The course further provides guidance on managing challenges and resolving disputes that may arise, highlighting best practices and proven conflict resolution mechanisms. Finally, participants will gain insight into the importance of enabling legal environments and supportive policies, drawing from international case studies and guiding principles for responsible contract farming.
By the end of this training, participants will be empowered with the tools and knowledge to actively engage in and promote sustainable contract farming arrangements—helping to drive economic growth, social inclusion, and lasting impact within agricultural communities.
If you have any questions, please feel free to contact us at [email protected].
Contract farming training course: An overview of the training modules
05/09/2025
This section provides information on how to use this training course and offers a brief overview of essential points in different modules.
Module 1: Basic concepts
05/05/2025
Module 1: Outlines contract farming definition, evolution, and practical significance within modern agri-food systems. The module explores why contract farming has grown in popularity globally, especially in developing countries—highlighting its ability to address market failures, improve access to resources, and create sustainable value chain development.
Module 2: Planning and setting up contract farming operation
25/08/2025
Module 2: Outlines general process of contract farming operation, providing information on a cycle of contract farming idea generation to termination, renewal or upscaling of contract farming. The decision whether to choose contract farming as a business model should be based on a thorough assessment of feasibility and suitability of the contract farming operation.
Module 3:Understanding the content of a contract farming
21/08/2025
Module 3: Contract farming agreements are essential for clearly defining the roles, responsibilities, and expectations between buyers and farmers. Contracts should be written to be enforceable in a court of law, even though verbal contracts do exist and are binding in most countries. Contract presentation should be simple and the terms used understandable to all the parties.
Module 4: What to do if things go wrong
22/08/2025
Module 4: Contract farming involves production by farmers under agreement with buyers for their outputs. This written agreement covers in detail the arrangements for both parties, giving the transparency and clarity on what is going to happen along the way.
Module 5: Enabling legal environment for contract farming
22/08/2025
Module 5: An enabling legal environment is essential for the success and resilience of contract farming arrangements. Clear regulatory frameworks, developed through inclusive and participatory processes, protect the rights and responsibilities of all parties—farmers, buyers, and supporting institutions—while promoting mutual trust, adaptability, and fair conflict resolution.