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Wheat production to be based on contract farming in Iran

Business Materials 13 April 2020 14:06 (UTC +04:00)
Wheat production to be based on contract farming in Iran

TEHRAN, Iran, April 13

Trend:

From next year, all wheat production in the country will be based either on contract farming or on customer orders, Ali Khanmohammadi, the executive secretary of the National Foundation of Wheat Farmers Empowerment said, Trend reports citing ILNA.

"In the current crop year, a contract for agricultural production is underway for the production of ordinary and durum wheat in six provinces” said Khanmohammadi.

These six provinces are Kerman, Khuzestan, Fars, Hormozgan, Sistan and Baluchestan and Lorestan, the official added.

Khanmohammadi announced the amount of contract farming in each province as follows: the volume of contract farming in Kerman province is 45,000 tons, Khuzestan - 30,000 tons, Hormozgan - 25,000 tons, Fars - 60,000 tons, Sistan and Baluchestan - 25,000 tons, and Lorestan - 40,000 tons.

Khanmohammadi named Zar Macaron, Tak Macaron and Rose companies among those factories that have ordered farmers to produce durum wheat this year.

Emphasizing that the contract farming improves quality and quantity, Khanmohammadi said: "Factories are placing orders based on their standards and quality. In other words, they are buying products that have good quality and in required quantity."

He noted that another positive outcome of contract farming is improving productivity and maintaining sustainability.

"Contract farming removes the financial burden of purchasing products by the government,” he said.

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