Q. Consider the following statements about contract farming:
Contract farming is not limited to field crops like wheat and rice only.
It has the potential to increase farmers' incomes despite market fluctuations.
The Model Contract Farming Act, 2018, provides a legal framework to protect the interests of both farmers and sponsors.
How many statements are correct? Answer:
Only two
Notes:
Contract farming is not restricted to horticultural crops; it can also involve field crops, poultry, dairy, and more.
While it has the potential to increase farmers' incomes, this is not always guaranteed, as market fluctuations or breaches of contract may negatively affect earnings.
The Model Contract Farming Act, 2018, was introduced to establish a structured legal framework to protect the interests of both farmers and sponsors.