Proposition III Sample Clauses

Proposition III. Performance of large-scale farming is determined by the origin and farming experiences of the investor. Foreign investors are generally hypothesized to have the needed capital, knowledge and technology compared to domestic investors. It follows that impacts of large-scale farming on local economy, a household’s food security and local environment are expected to be different for foreign and domestic investors. Xx (2014) also argued that the profile of the investor determines the outcome of large-scale farming. As any research should be limited in scope, this dissertation has focused on answering the three major propositions outlined above. First, impact study can be done at various levels. This study did not go into the analyses of impacts of large-scale farming on intra-household levels, but rather analysed the impacts of the intervention at household level considering members of the household as one unit. Second, there are different business models that large-scale farming companies can adopt: (1) large-scale farms adopting highly mechanized plantation monoculture systems in which smallholder farmers are incorporated into the large-scale farm as providers of human and natural capital; (2) a contract farming and out-growers model that incorporates smallholder farmers along the value chain of production to consumption; and (3) in the ideal and extreme case, smallholder farmers as shareholders in the large-scale farm investment. The different business models, at least theoretically, have different impacts on local economic development in general and on the local population in particular. The data for this dissertation has come from case studies that adopted mechanized large-scale plantations, and the impact of large-scale farming discussed throughout this dissertation should be understood as taking this context into account. One may argue here that the impacts of this type of business model can be established in advance and that they are unlikely to create much employment, generate little wage incomes, and thus may not improve the food security status of local population compared with a contract farming business model, which enhances the
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Related to Proposition III

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