Voices unheard: Barriers to and opportunities for small farmers’ participation in oil palm contract farming

Abstract

Increasing small farmers’ participation in contract farming is a key policy directive in many developing countries as a means of achieving multiple Sustainable Development Goals (SDGs). However, only a limited number of small farmers actually participate in contract farming globally. Using the information-rich case of contract farming in oil palm cultivation in Ghana, this paper examines why small farmers choose to participate or not in contract farming. Data was collected through in-depth personal interviews and focus group sessions. We find that small farmers: (i) abstain from contract farming primarily due to unfavourable contract requirements; (ii) quit contract farming primarily because they view contract farming as an exploitative practice that lacks equity; and (iii) participate in contract farming primarily to obtain critical farm inputs and to access mainstream markets. By offering novel insights into the underlying reasons why small farmers abstain, quit, and participate in contract farming, this study will aid policymakers and contract farming corporations in formulating targeted strategies to attract and retain small farmers in contract farming. This paper broadens conceptualizations of sustainable palm oil production by integrating the voice of an overlooked, but important group of actors, small farmers. We contend that without a signficant increase in small farmers’ participation in contract farming, sustainable palm oil production will remain a distant, elusive goal.