Contract farming in Laos: Responding to a rising agricultural trend

This discussion note explores common practices of contract farming (CF) in Laos, which have rapidly expanded for export crops across many provinces since the early 2000s. The analysis highlights benefits and challenges of CF from the perspectives of farmers, investors and government agencies, to support sub-legislation aimed at reducing risks and improving the outcomes for farmers and investors. Recent studies consistently highlight the need for greater clarity over roles and responsibilities, rights and obligations in the management of CF, and a suitable grievance mechanism to resolve disputes between contract parties equitably.

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