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IIM Ahmedabad institute

IIM Ahmedabad


Contract farming has been receiving increasing attention from agribusiness firms as well as the government for more than a decade now. While agribusiness firms view it as a tool for managing raw materials, the government considers it as an avenue to develop markets, transfer technology, provide inputs including credit, etc. to small farmers. A large number of agribusiness firms have undertaken contract farming for a number of agricultural and horticultural crops/produce. While some of them are working smoothly, others have experienced certain problems because of improper design or ineffective implementation. In some cases, the participating farmers are not happy and in some other cases, firms have had bad experience. With the multi-brand retail trade being opened to 51% FDI in late 2012 by the Government of India and the presence of wholesale cash and carry players including those with 100% FDI since the late 1990s, contract farming is going to become an even more relevant mechanism as large global supermarkets may like to procure quality farm produce directly from farmers under contracts to achieve quality and cost advantages in the absence of corporate farming option and poorly performing open markets for such produce. Already, domestic supermarkets have been using some variants of contract farming, besides direct purchase, in procuring fruits and vegetables from farmers for almost a decade now.


The decade following independence in 1947 was witness to a surge of innovative ideas to build a fledgling independent nation into a model democratic state committed to growth with equity in the development of its people. The establishment of Indian Institute of Management Ahmedabad (IIMA) was the outcome of one such innovative initiative.

Led by Dr. Vikram Sarabhai, Shri. Kasturbhai Lalbhai and proactively supported by the then Chief Minister of Gujarat, Dr. Jivraj Mehta, a group of enlightened individuals set up IIMA. This group ably wove together a coalition of five actors - the governments at the centre and the state, the local industrialists, the Ford Foundation and the Harvard Business School, in a true spirit of public private partnership to establish the Institute. 

The constitution for governance of IIMA was different from that for traditional universities. It was set up as an institution that would be managed by a Society, the IIMA Society, created under the Societies Act, for the purpose. The Institute was to be run by the Board of Governors, constituted by the IIMA Society; the Board would have wide representation from all the relevant constituencies to reflect the multifarious needs of a developing nation. IIMA was therefore conceived as an Institute that would be a Board managed institution, free from exclusive control of any one constituency. Thus, operational freedom is an integral part of the DNA of IIMA.

IIMA has consistently been ranked as the number one management school in the country year after year in the last several years. In its latest ranking, The Economist has ranked IIMA at 56 among the top 100 international B-schools in the world that offer full time MBA. The Financial Times (FT) has ranked the two-year post graduate programme in management (PGP) of IIMA in the top ten programmes in the category of Masters Programmes in Management that do not require work experience as pre-requisite for admission. FT reported th
1. Procurement managers of food and agro-processing companies/ agencies in public and private sectors 2. Professionals in charge of contract farming activities in organisations 3. Officials from the departments of agriculture/agricultural marketing of union and state governments 4. Personnel from export houses, banks, NGOs, and other agencies dealing with agricultural commodities, processed products, and agricultural inputs
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