Read the passage and answer the questions:

These are indicators of the process of globalisation of agriculture, or the incorporation of agriculture into the larger global market - a process that has had direct effects on farmers and rural society. For instance, in some regions such as Punjab and Karnataka, farmers enter into contracts with multinational companies (such as PepsiCo) to grow certain crops (such as tomatoes and potatoes), which the companies then buy from them for processing or export. In such 'contract farming' systems, the company identifies the crops to be grown, provides the seeds and other inputs, as well as the knowhow and often also the working capital. In return, the farmer is assured of a market because the company guarantees that it will purchase the produce at a predetermined fixed price. Contract farming is very common now in the production of specialised items such as cut flowers, fruits such as grapes, figs and pomegranates, cotton and oil seeds. While contract farming appears to provide financial security to farmers, it can also lead to greater insecurity as farmers become dependent on these companies for their livelihoods. Contract farming of export-oriented products such as flowers and gherkins also means that agricultural land is diverted from food grain production. Contract farming has sociological significance in that it disengages many people from the production process and makes their own indigenous knowledge of agriculture irrelevant. In addition, contract farming caters primarily to the production of elite items, and because it usually requires high doses of fertilisers and pesticides, it is often not ecologically sustainable.

Who decides the crop to be grown under contract farming?

Company

The correct answer is Option (4) → Company

• The passage states, "In such 'contract farming' systems, the company identifies the crops to be grown..." This clearly indicates that the company has the control over selecting the crops.
• The farmer's role, as described, is to grow the crops chosen by the company in exchange for guaranteed purchase and a fixed price.