CONTRACT FARMING

BAMB is constantly looking at ways with which price risks can be reduced. One of such measures is entering into pre- planting and the pre- harvest forward contracts with producers. In 2006/2007 planting season alone BAMB signed contracts with some Pandamatenga farmers for the supply of sorghum to the tune of 11, 000 Mt.

This arrangement worked out so well that this year BAMB intends to double the figure and extend such contracts to other production areas in Botswana as well as include crops such as cowpeas that the market demands.