Economic security and development: the impacts of Inca Inchi contract-farming as an agricultural business model in Kachin state, Myanmar

Abstract

In Myanmar, Inca Inchi is one of the new economic businesses that made changes to the agriculture sector with both its advantages to the quality of life of the people and a high selling price which generates an economic benefit. This study tries to explore the overall social and economic impact that Inca Inchi contract-farming as a business model has had on the security and development specifically for the farmers who signed the contracts with the Inca Inchi companies in the Kachin state, Myanmar. Sample size in Myitkyina Township represented total population. Quantitative data collection method based on primary data collection from private company, along with qualitative method utilized opened-ended questions which were given to respondents. The findings were divided into three major parts, and each part’s conclusions was determined from records by surveys, focus groups discussion and semi-structure interviews. The primary respondents were famers who planted Inca Inchi in Kachin State, along with the other stakeholders from contracting companies, local government officers, officers from Non-Government Organizations, and local church leaders. Findings covered changes during times beginning with the premier time before the entering of Inca Inchi contract farming to villages highlighted into three economics, social, and politic situations of villages, how the business strategized and got into the villages, cost and benefits and changes that have occurred since the commencement of the contract farming into the villages. The study has revealed that even though the Inca Inchi contract farming would contribute to the over development of not only the farmers who are engaged in the Inca Inchi farming, but would benefit the larger community, which as the study has shown, had an adverse impact for the farmers who got into the Inca Inchi contract-farming due to lack of oversight from the government. Lastly, the researcher disclosed obstructions, suggested solutions, and relationship analysis among five institutions. Recommendations have been made and also suggestions that may be guided for further research on the contract-farming business model so as not to have the same situation as before for the farmers who have been involved in the Inca Inchi contract-farming.

Key Words: Human Security/Development/Inca Inchi Contract-Farming/Social and Economic Impacts