Understanding the Adoption Dynamics of Vegetable Contract Farming in Punjab: A Case Study of Amritsar District

The present study was conducted in the Amritsar district of Punjab during the agricultural year 2023-24. Primary data from a sample of 60 contract and 60 non-contract vegetable farmers were collected through a simple random sampling technique. The socio-economic characteristics of the sampled farmers revealed that contract farmers were generally younger, more educated and had better access to credit compared to their non-contract counterparts. The findings also indicated that the primary reasons for adopting contact farming of vegetables by the farmers included the desire for diversification, assured income and timely payments. In contrast, high input costs, challenges in meeting quality standards and rejection of produce were identified as the main barriers to adoption. The logit regression analysis confirmed that younger farmers, those with higher education,and better access to credit were more likely to adopt vegetable contract farming. Based on these results, it is suggested to improve farmers’ knowledge about vegetable contract farming through awareness programs, providing technical training on quality standards, enhancing digital literacy and establishing fair and enforceable contract mechanisms to facilitate the adoption of vegetable contract farming in the study area.