POTENTIALS AND PITFALLS OF CONTRACT FARMING THROUGH AGRICULTURAL COOPERATIVES IN GREECE
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important effects on the primary sector. ? new form of entrepreneurship for Greece,
contract farming, appeared the last years. A successful case study of contract farming in
Greece is between the large enterprise “ATHENIAN BREWERY” and the producersmembers
of two agricultural cooperatives of Northern Greece. The main aim of this paper
is to examine the process of contract farming through agricultural cooperatives.
Specifically, this paper investigates the production process of malted barley through
contracts of members of the cooperative of Epanomi and the cooperative of Trilofos, in the
Prefecture of Thessaloniki (Northern Greece) and the private firm “ATHENIAN BREWERY”.
Using a structured questionnaire that it was distributed in 132 producers- members of the
agricultural cooperative of Epanomi or Trilofoss it was examined the advantages and the
disadvantages of this form of cooperation for both growers-members of these two
cooperatives and the private firm. Moreover, it was investigated the role of agricultural
cooperatives in the process of contract farming. The results reveal that the most important
benefit for the growers is to ensure availability of the products in a predetermined price.
The most important benefit for “ATHENIAN BREWERY” is a better production plan which
ensures a certain quantity and quality of raw materials. The role of both cooperatives is
determinative as it guarantees the safety of the process for both contracting parties.
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