Performance-based contracting helps farmers boost productivity

Financial Tribune – An official with the Ministry of Cooperatives, Labor and Social Welfare said performance-based contracting has been put in place for a total of 10,000 farmers over the past one and a half years and this has improved their productivity, ensured the sales of their products and consequently boosted their income.

Reza Taziki added that Novin Saffron, Mostafavi Saffron and Rojin Taak Agro Industries signed contracts with 10,000 farmers before the harvest season and guaranteed the purchase of their products at a specific price, Fars News Agency reported.

“Performance-based contracting resulted in higher quality of products, extra income of up to 10 million rials ($74) per kilogram of saffron for farmers and removal of middlemen,” he said.