Corporate Agriculture’s Ripple Effect on Small Farmers

Muhammad Aatif Ismail
Multan: The rise of corporate agriculture is causing a significant change in Pakistan’s agricultural landscape. Nowadays, Large-scale corporations play a crucial role in many facets of food production, employing modern technology and contemporary methods to streamline farming, processing, distribution and marketing.
While the benefits of corporate agriculture are evident in terms of efficiency, market stability, innovation, economic growth and global outreach, it also presents challenges and opportunities for small-scale farmers who struggle to access modern agricultural tools due to financial constraints.
The emergence of large agricultural corporations also brings forth concerns about environmental impact, land ownership consolidation and potential adversities faced by small-scale farmers and local communities.
Therefore, the coexistence of corporate and small farmers becomes vital for overall economic growth and sustainability. But striking a balance between the two can be the only way forward to protect small farmers interests and ensure their existence.
Such formulae have already been practiced by leading agricultural nations like the United States, Brazil, China and India, where both corporate and small-scale farming contribute significantly to their countries progress.
Harmonious collaboration between corporate and small-scale farming is important to put the country on a path to matchless progress and prosperity, remarked Muhammad Nawaz Sharif University of Agriculture, Multan Social Sciences Dean Dr Irfan Baig.
Dr Baig stated that the empowerment of small farmers involves leveraging their unique strengths by equipping them with modern tools, enabling them to compete effectively in the modern agricultural landscape.

The corporate sector’s role is crucial in introducing advanced technology such as GPS, sensors, drones, biotechnology tools, robotics, data analysis:Dr Irfan Baig

Dr Irfan highlighted that the corporate sector’s role is crucial in introducing advanced technology such as GPS, sensors, drones, biotechnology tools, robotics, data analysis and farm management software that can also benefit small farmers.
Experts also believe that embracing new agricultural practices like crop rotation, diversification, vertical farming, hydroponics, conservation tillage, integrated approaches, smart greenhouses and contract farming can significantly assist small-scale farmers in prospering.
Access to modern technology and information is also paramount to equipping small farmers with the latest advancements and knowledge to enhance productivity and earn more revenue.

But it has been commonly witnessed that with the start of massive corporate activity in any sector, the small-level players are swayed by the mighty tides of huge commercial businesses.
Therefore, we need to impart essential training and financial support to our small farmers for their very existence, said Malik Arif, a small farmer. Financial support is of utmost importance, along with specialised training and encouragement for small farmers to focus on value-added production and sustainable farming practices.

Financial support is of utmost importance, along with specialised training and encouragement for small farmers to focus on value-added production and sustainable farming practices:Malik Arif

Arif advocates for the implementation of strategies to assist small farmers in navigating the competitive landscape alongside corporate agriculture.
Then there would also be marketing issues, as with bulk production of any commodity, businessmen and brokers would be inclined more towards big farmers than smaller ones, and their products would be paid less heed.

However, there can be a possibility of security as we saw in the case of milk-producing companies in the countries that reach out to even small villages for milk collection, and the milk-producing farmers get their due dividend.

Naseer Ullah Khan, heading an agricultural division in a prominent corporate entity, is hopeful that the integration of modern technology in the agriculture sector would provide ample opportunities for small farmers to grow.

Corporate farming would play a pivotal role in modernising the agricultural sector by bringing in new technologies, Khan said. What we need is to prepare our farmers to benefit from these technologies to compete in emerging scenarios.

Acknowledging the challenges and opportunities, Naseer anticipates a positive future for both corporate and small-scale farmers, affirming that small farmers also learn and grow within the corporate environment.

When the corporate entities would be earning a reasonable profit after spending huge amounts on technology and the preparation of farms, the benefit would also trickle down to small farmers, he hoped.

The coexistence of corporate agriculture and safeguarding small farmers are not conflicting goals but rather complementary facets of a thriving agricultural sector:Naseer Ullah Khan

Naseer Ullah added that the coexistence of corporate agriculture and safeguarding small farmers are not conflicting goals but rather complementary facets of a thriving agricultural sector.

We can hope that when there are new technologies, modern farming techniques, better quality seeds and awareness sessions, small farmers will also definitely benefit from these opportunities. But we would direly need to adopt a balancing approach through strategic support and the implementation of favourable policies for small farmers.

South Punjab Additional Chief Secretary Captain (Rtd) Saqib Zafar has underscored the importance of utilising uninhabited lands for cultivation as he supports the integration of the corporate sector into new agricultural lands like Cholistan.

Although Saqib has reiterated the government’s commitment to promoting the agricultural sector through the implementation of effective policies and initiatives, he fell short of presenting a comprehensive plan to protect the interests of small farmers.

Therefore, fostering an environment where small farmers are equipped and empowered to thrive within the evolving landscape of corporate agriculture is crucial for their overall progress and sustainability.

Collaboration, innovation, the provision of better seeds and cheaper inputs, easy access to markets, and proper payment of their products can prove to be the cornerstones for achieving a balanced and successful coexistence between corporate and small-scale farming.

Muhammad Aatif Ismail serves as an APP correspondent based in Multan. It is important to note that all the information presented in this feature is the sole responsibility of both the writer and the releasing organization. This feature has been released by APP.