Contract farming may be defined as agricultural production carried out according to a prior agreement in which the farmer commits to producing a given product in a given manner and the buyer commits to purchasing it. Often, the buyer provides the farmer with technical assistance, seeds, fertilizer, and other inputs on credit and offers a guaranteed price for the output. Proponents of contract farming argue that it links small-scale farmers to lucrative markets and solves a number of problems small-scale farmers face in diversifying into high-value commodities.

The study relates village seed systems to biological diversity of millet crops grown by farmers in the semi-arid lands of Andhra Pradesh and Karnataka, India. In these subsistence-oriented, semi-arid production systems the environment is marginal for crop growth and often there is no substitute for millet crops. Across communities, farmers grow 13 different combinations of pearl millet, sorghum, finger millet, little millet, and foxtail millet varieties, but individual farmers grow an average of only 2–3 millet varieties per season.

Ethiopia’s agricultural sector has recorded remarkable rapid growth in the last decade. This note documents aspects of this growth process. Over the last decade, there have been significant increases – more than a doubling – in the use of modern inputs, such as chemical fertilizers and improved seeds, explaining part of that growth. However, there was also significant land expansion, increased labor use, and Total Factor Productivity (TFP) growth estimated at 2.3 percent per year.