Contract farming: Legal considerations on contractual design and enforcement
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Contract farming can be defined as agricultural production carried out according to an agreement between farmers and a buyer which establishes conditions for the production and marketing of a farm product. To be binding and enforceable, such agreements depend not only on good contractual design, but also on the existence of an adequate legal framework. This brief aims to illustrate some of the legal issues involved in the design, negotiation and enforcement of farming contracts.