What are the possible negative consequences of contract farming?

Excess funding by companies

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Depletion of groundwater

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Deterioration of soil quality

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Soil fertility increases

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Solution

The correct options are
B Depletion of groundwater
C Deterioration of soil quality
In order to get high yields under contract farming, farmers apply a lot of chemical fertilizers and exploit groundwater resources. This tends to reduce groundwater level and deteriorate soil quality. These are possible negative consequences of contract farming.

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