Latent Exploitation Embedding in Contract Farming
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Abstract
The study on latent exploitation embedding in contract farming investigated a structure of contract farming of swine feeding in provinces of the 7th area (Samut Sakhon, Samut Songkhram, Suphan Buri, Ratchaburi, Phetchaburi and Prachuap Khiri Khan), exploitation which was committed by contracting companies that exploited farmers feeding the swine as well as the effects of such exploitation on the farmers and labor employed to work on the farms in the 7th area. In this research, farmers feeding swine in the 7th area, labor on swine farms and representatives of companies in the system of contract farming were selected for samples. In-depth Interview and Non-participant Observation conducted by the researcher were governed so as to gather data. The collected data was then analyzed in order to discover structure of contract farming, effects of entering into the system of contract farming and guideline for the farmers to improve themselves.
The finding revealed that in the 7th area, there were structures of contract farming categorized into swine feeding contract and price guarantee contract which affected the exploitation and severity of the exploitation of the farmers and the labor by those companies; for example, in a completed contract the farmers were not allowed to determine any clauses; the farmers were forced to by factors of production from only such companies; or purchasing and selling price was set by the companies and so on. Apart from the exploitation existing in such contracts, there was exploitation disappearing in terms and conditions of the contracts which was latent exploitation; for instance, farmers were required to renovate the swine’s house and required to pay the companies’ representatives extra money which was not required by the contracts and so on. Besides, health of the farmers and labor working on the farms was affected, such as, being wounded because of such working, breathing air contaminated by dust and toxic chemical used in the process of feeding and living with unscheduled rest. The workers on the farms were furthermore injured by farmers or chief of workers. As a result, the farmers adapted themselves in order to avoid depending on the companies and being exploited by the companies. Some of the farmers assembled in groups so that they could negotiate or change their contracting parties in order to enter into a contract with a company providing them more reasonable terms and conditions than their former contracting parties. Some of those farmers decided to run their farms with full independence which meant they terminated contract farming and independently ran their farms so as to directly sell to consumers.
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