Sustainable agricultural practices and income generation: the impact of contract farming on organic honey producers in Tanzania

Abstract

Purpose This study addresses the limited empirical evidence on contract farming in Tanzania’s organic honey sector, focusing on its effect on income generation. It investigates whether contractual arrangements improve access to markets, stabilize prices, and promote sustainable practices, thereby supporting rural livelihoods. Design/methodology/approach A cross-sectional design was employed using data from 386 households in Manyoni District. Contracted and non-contracted farmers were compared using propensity score matching and multiple regression analysis to estimate income differences and identify key income determinants. Findings Contract farming significantly increases producers’ income, driven by better market access, pricing, and technical support. Other factors such as education, credit access, and extension services positively influence income. Contracted farmers also exhibit improved honey quality and production efficiency. Research limitations/implications This study emphasizes income generation, limiting broader sustainability insights. Its cross-sectional design restricts causal inference, and environmental indicators like biodiversity and conservation were not assessed. Future research should adopt longitudinal approaches and include environmental and social metrics for a comprehensive evaluation of contract farming’s sustainability impact. Originality/value This study fills a gap in the literature on contract farming, offering evidence of its positive role in income generation among organic honey producers. It contributes to policies on rural development and sustainable agriculture.