The Post-Privatization Role of Out-growers' Associations in Rural Capital Accumulation: Contract Farming of Sugar Cane in Kilombero, Tanzania

TY - JOUR

T1 - The Post-Privatization Role of Out-growers' Associations in Rural Capital Accumulation

T2 - Contract Farming of Sugar Cane in Kilombero, Tanzania

AU - Isager, Lotte

AU - Fold, Niels

AU - Nsindagi, Thobias

PY - 2018/1

Y1 - 2018/1

N2 - Contract farming is widely promoted by multilateral agencies as an engine of economic growth in developing countries. The agencies often stress the need for governments to create strong farmers' organizations that can shoulder the risks associated with contractual relationships with large corporations. However, empirical studies of farmers' organizations in contractual schemes are few and tend to dismiss the performances of these organizations for not measuring up to donor expectations. This paper seeks to offer a more unbiased examination of what farmer's organizations actually do by recounting the development of out-growers' associations in a contract farming scheme in central Tanzania. The paper explores the new space for social organization and business operations which emerged after privatization in 1998. It is argued that under certain conditions, out-grower associations occupy a crucial position with regard to classic agrarian questions of land, labour and capital accumulation.

AB - Contract farming is widely promoted by multilateral agencies as an engine of economic growth in developing countries. The agencies often stress the need for governments to create strong farmers' organizations that can shoulder the risks associated with contractual relationships with large corporations. However, empirical studies of farmers' organizations in contractual schemes are few and tend to dismiss the performances of these organizations for not measuring up to donor expectations. This paper seeks to offer a more unbiased examination of what farmer's organizations actually do by recounting the development of out-growers' associations in a contract farming scheme in central Tanzania. The paper explores the new space for social organization and business operations which emerged after privatization in 1998. It is argued that under certain conditions, out-grower associations occupy a crucial position with regard to classic agrarian questions of land, labour and capital accumulation.

KW - Contract farming

KW - Out-growers' associations

KW - Rural capitalism

KW - Sugar cane

KW - Tanzania

U2 - 10.1111/joac.12197

DO - 10.1111/joac.12197

M3 - Journal article

AN - SCOPUS:85006802928

SN - 1471-0358

VL - 18

SP - 196

EP - 213

JO - Journal of Agrarian Change

JF - Journal of Agrarian Change

IS - 1

ER -