Vadodara-based Acil Cotton Industries today it plans to buy 2,500 acres of farm land to undertake organic contract farming in the country.
"Company is planning to acquire 2,500 acres of land for its organic contract farming activity," Acil Cotton Industries said in filing to the Bombay Stock Exchange (BSE).
The company has bought 99 acres of agricultural land for organic contract farming, it said.
Contract farming is agricultural production carried out according to an agreement between a buyer and farmers, which establishes conditions for the production and marketing of farm products.
Presently, Acil is involved in contract farming in crops such as BT cotton, tur, jeera and herbs in 700 acres in Gujarat. Recently, it acquired 102 acres of agricultural land on lease in Ahmedabad, it added.
As per the business model of Acil Cotton, the company will buy crops and sell them via its planned retail chain.