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15Partially built

Govt-mediated contract farming

The 2015 proposal

Government-mediated contract farming between the food-processing industry and farmers, backed by letters of credit and bank guarantees, with sales through the Kisan card.

Where it stands in 2026

The Model Contract Farming Act (2018) enabled it; the 2020 farm laws went further and were repealed in 2021 after a year of protest. The lesson is the project's most important: reforms that appear to bypass mandis/MSP face existential resistance, while options that add farmer choice with safeguards survive.

The open gap

Politically contested; state-level adoption is patchy.

The path to close it

The 2020–21 repeal taught the rule: add farmer choice with safeguards, never appear to replace mandis or MSP. Revive the 2018 Model Contract Farming Act state by state with a registration-and-dispute authority, FPOs as the contracting unit so smallholders keep bargaining power, and price floors referenced to MSP. Keep it strictly opt-in and transparent, and let adoption grow on demonstrated trust.

Sources