Determinants of Farmers’ Willingness to Participate in Wheat Seed Contract Farming in Punjab, India
DOI:
https://doi.org/10.48165/IJEE.2026.62320Keywords:
Social trust, Market assurance, Production efficiency, Private firms, Contract farmingAbstract
The study conducted during 2025 aims to identify the key factors influencing wheat farmers’ willingness to adopt wheat seed contract farming. Four major constructs were identified: social influence and trust, market and income stability, production and marketing efficiency, and institutional support and incentives, comprising sixteen significant factors. Among these, social influence and trust emerged as the most important dimensions, explaining 26.32% of the total variance. This construct is primarily driven by observing other farmers (0.941), participation in meetings (0.909), influence of local farmer groups (0.872), company reputation (0.810), and prior contract farming experience (0.809). The second construct, market and income stability, explains 22.27% of the variance and includes assured markets (0.905), smooth payment systems (0.918), stable income (0.911), comparative advantages (0.796), and reduced market risk (0.785). Production and marketing efficiency accounts for 17.21% of the variance, highlighting productivity gains (0.964) and access to quality seed (0.952). Lastly, institutional support and incentives explain 14.89% of the variance, with training (0.963), technical inspection (0.948), and better pricing (0.815) emphasized. Overall, these findings highlight that farmers’ participation is shaped by social trust, economic stability, production efficiency, and institutional support.
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