ABSTRACT

Contract farming is emerging as a promising way to upgrade domestic rice quality in

Togo. The Non-Government Organisation ‘Entreprise Territoir et Développement’

(ETD) has started promoting a kind of contract farming scheme called ’Entreprise de

Service et Organisation de Producteurs’ (ESOP) in the country. The rewards from

contract farming could be substantial for smallholder farmers; yet there is a serious

concern about the farmers’ ability to stay in the partnership for long term because of

constraints that they face. Based on the Modern Contract Theory and the Impact

Evaluation Theory, this study sought to address the following issues: farmers’

motivation to work under ESOP’s contract farming, the impact of ESOP contract

farming on farmers’ performance and the constraints that farmers face in ESOP’s

contract farming. Primary data were collected from a total of 414 smallholder rice

farmers comprising 186 ESOP contract farmers and 228 non contract farmers selected

using a multiple stage sampling techniques in three (3) out of the five (5) Regions in

Togo. Farmers’ motivation and constraints under ESOP contract farming were assessed

using Factors Analysis and Cluster Analysis. The impact of contract farming on farmers

performance was assessed using the Propensitity Score Matching Model and the

Endogenous Switching Regression Model to compare the results.

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