Thursday, May 07, 2009

CSO calls for policy on outgrower schemes

CSO calls for policy on outgrower schemes
Written by Kabanda Chulu
Thursday, May 07, 2009 4:01:51 PM

A CIVIL society organisation (CSO) has challenged the government to quickly put in place a comprehensive policy on outgrower schemes, saying many small-scale farmers are exploited through unfair contract systems.

Commenting on the increased usage of small-scale farmers by multinational companies through long-term contracts disguised as outgrower schemes, Organisation Development and Community Management Trust (ODCMT) executive director Zindikilani Daka expressed concern that big companies that were involved in outgrower schemes had continued to subject small-scale farmers to unfair and exploitative conditions.

He explained that ODCMT had conducted a series of research and advocacy on out grower schemes on crops like cotton and tobacco, which showed that the intention of out grower schemes was good and could improve rural livelihood but was undermined by unfair practices by multinational companies.

Government should come up with a comprehensive policy on outgrower schemes because it has the potential to improve rural livelihood, but companies involved are exploitative by using farmers as cheap labour and a reserviour of resources. This is done through low prices and subjecting them to unfair contract conditions,” Daka said.

“We have noted with concern that some companies are promoting the production of Jatropha and some farmers are being enticed to sign contracts of up to 30 years without clearly explaining the contents of those contracts. We think this is wrong and government should find a way to enhance the operations of out grower schemes.”

He said the government should ensure that Jatropha farmers were not exposed to exploitative conditions like those prevailing in the cotton and tobacco sub sectors whereby multinational companies had become richer at the expense of the farmers.

Daka also urged the government to do more research on Jatropha to establish its impact on the soils and the environment.

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