A field research report submitted in Partial/Fulfillment of the Requirement for the Award of the Bachelor of Science Degree of in Economics-Project Planning and Management of Mzumbe University
The main objectives of this study were to analyze tea production a case of contract farming among small farmers. The study has two specific objectives; the first was to determine the extent to which small farmers participate in contract farming, and the second was to assess the contribution of contract farming on tea production. Agriculture sector plays a vital role in poverty alleviation and income generation as well as food availability and nutrition as matter of fact that this sector employs large number of Tanzanians. In addition it offer variety of crops in Njombe town district in Njombe region and the country in general, therefore appropriate factors in improving agricultural output for combating income and food shortage are very important. The study involved a sample size of 93 where simple random sampling technique was used to select respondents from whom data were collected. To address the key research objectives, this research used both qualitative and quantitative research methods and combination of both primary and secondary sources of data. The first objective was to study the extent to which small farmers participate in contract farming the finding showed that, 94% of small farmer participate in contract farming and follow the guiding criteria for them to be in contract farming. The second objective was to study the contribution of contract farming to tea production, the finding showed that contract farming has contributed through asses the influence of the inputs of which farmers are provided to increase production such as fertilizer herbicides and extension services. Hence, from the study, factors that seem to influence tea production Njombe town council were land size, fertilizer, labor, and herbicides the entire variable named were observed to be significant, however herbicides were seems to show negative relationship with production. Therefore, to answer more concerns that might have been existing or raising on the agriculture cultivation of crops and animal in general, I recommend holding further studies as follows, the same study to be conducted in different crops or location and to increase the coverage areas to create a picture for investors to invest so as to boost farmers income, to conduct study on the role of contract farming on house hold income and poverty alleviation among members of this system.