JBS Vol 07. Num 2. 2005 - CONTRACT FARMING AND SMALL FARMERS: A CASE STUDY OF THE BANGLADESH POULTRY SECTOR

This paper attempts to assess the benefit that small farmers derive from contract poultry farming in Bangladesh. The poultry sector in Bangladesh, like in other developing countries, depends on the small farmers. To date, scavenging poultry farming system dominates total production and only 14% of poultry meat comes from commercial farming. Vertically integrated contract farming systems that generate income and create employment opportunities could be one possible way to expand commercial poultry farms. While contract farming promises significant benefits for farmers, recent studies also indicate the possibility of excluding small farmers from this system. As this system only recently started in Bangladesh, there are concerns that small farmers may not get much of the benefit from this contractual agreement. The primary data were collected from 50 farmers of ABFL (Aftab Bahumukhi (multipurpose) Farm Ltd), the pioneer of the vertically integrated system in Kishorganj of Bangladesh. The study suggests that the poultry farming system is profitable for all farmers who could benefit significantly in terms of income, employment and access to capital.