Development and Management of a Bio-Energy Supply Chain Through Contract Farming

This paper discusses how to develop and manage integration, coordination and cooperation in bio-energy supply chains. Farmers decisions on whether or not to participate in a contract farming scheme have been investigated, particularly assessing the trade-offs between the contract attributes and their impact on the likelihood to participate. A stated preference model was implemented where respondents were asked to choose between alternative contracts with varying attribute levels to start biomass cultivation. Results show that participation is mainly influenced by minimum price guaranteed, contract length, and re-negotiation before the end of a contract.