Summary of conference events and discussion between Syngenta and the Fair Labor Association concerning strategies for eliminating child labor and raising labor standards in vegetable seed production in India.  Includes recommendations and possible plans of action

Fair Labor Association

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Fair Labor Association – Syngenta Consultation on 
Social Monitoring of the Agricultural Sector in India 
 
 
Summary Report 
 
The Fair Labor Association (FLA) and Syngenta Seeds Inc. held a multi-stakeholder 
consultation in Hyderabad, India on December 15, 2006. Representatives of industry, 
local and international NGOs, development agencies and village-level stakeholders met 
to define monitoring and remedial strategies to apply the FLA’s monitoring methodology 
to the agricultural sector in India. Presentations were made on activities undertaken as 
part of the FLA – Syngenta collaboration in 2006, including: a task- and risk-mapping 
study of the vegetable seed sector in India, Syngenta’s internal monitoring system for 
vegetable seed farms and a proposal for an independent external monitoring system for 
the agricultural sector.  Participants identified code awareness, health and safety, wages 
and benefits and child labor as the four priority issues to address in the agricultural 
sector. 
 
 
Contents 
Introduction………………………………………………………………………... 1 
Report on Activities in 2006………………………………………………………. 2 
 Development of Syngenta’s Internal Monitoring Systems…………………... 2 
 Task- and Risk-Mapping of Hybrid Vegetable Seed Production Processes…. 2 
 Proposed Independent External Monitoring System for the Agricultural 
Sector……………………………………………………………………….... 3 
Identification and Discussion of Priority Issues..…………………………………. 4 
 Code Awareness……………………………………………………………... 4 
 Health and Safety……………………………………………………………. 4 
 Wages and Benefits………………………………………………………….. 5 
 Child Labor…………………………………………………………………... 6 
Concluding Remarks...……………………………………………………………. 7 
 
 
1 
 
Mr. Nagda welcomes Mr. van Heerden to the consultation 
 
Introduction 
 
The Fair Labor Association (FLA) and the seed division of Syngenta India Ltd. organized 
a consultation on social monitoring of the agricultural sector in India in Hyderabad on 
December 15, 2006.  The consultation brought together 44 representatives from 24 
organizations representing non-governmental organizations (NGOs), local and 
international monitoring agencies, consumer organizations, Indian and multi-national 
seed production companies, development agencies, research and consultancy groups and 
village level stakeholders (growers, seed organizers1 and village school representatives).   
 
The one-day consultation was divided into two sections:  
 
? The first part of the day was devoted to reporting on the activities undertaken by 
the FLA and Syngenta in 2006 with respect to enhancing labor compliance in the 
agricultural sector. 
? The second half of the day allowed participants to identify and develop consensus 
around priority issues for monitoring in the vegetable seed production sector.  
 
Mr. Surendra Nagda, President of the 
Seed Division of Syngenta India Ltd. 
welcomed participants to the 
consultation. Mr. Auret Van Heerden, 
President and CEO of the FLA, briefly 
described the history of the FLA as an 
association of multinational brands, 
NGOs and universities committed to 
improving working conditions around 
the world. His remarks focused on the 
labor and human rights challenges faced 
by companies with long and complex 
supply chains such as Syngenta.  
 
Mr. van Heerden also recalled the history of Syngenta’s assocationa with the FLA. 
Syngenta became a member of the FLA in 2004 following the discovery of child labor on 
cottonseed farms supplying the company in the Andra Pradesh region of India. Syngenta 
is the first agricultural company to participate in the FLA. Syngenta and the FLA are 
engaged in a pilot project to determine how best to adapt the FLA’s monitoring 
methodology developed to address labor compliance in apparel and footwear factories to 
the agricultural sector.2 
                                                          
1 The term “seed organizer” refers to third party agents who act as go-betweens between the company and 
individual farmers. Organizers maintain individual relationships with farmers and agreements with 
Syngenta to grow a fixed amount of seed. 
2 Syngenta joined the FLA in 2004 with the intention of applying the FLA’s methodology to its cottonseed 
production processes. In 2005, the company sold its global cottonseed business to Delta and Pineland, a 
U.S.-based seed company. Following the sale, the FLA and Syngenta determined that monitoring efforts 
2 
 
Both Mr. Nagda and Mr. van Heerden emphasized the necessity of multi-stakeholder 
participation in the effort to improve working conditions on vegetable seed production 
farms. 
 
 
Report on Activities in 2006 
 
Three presentations were made reporting on activities undertaken in 2006 as part of the 
FLA – Syngenta collaboration: (1) summary of Syngenta’s internal monitoring systems; 
(2) task- and risk-mapping study on the vegetable seed sector; and (3) proposal for an 
independent external monitoring system tailored to the agricultural sector.  
 
1.  Development of Syngenta’s Internal Monitoring Systems 
Mr. R. Mallikarjun, General Manager of Vegetables and Flowers for Syngenta, reported 
on the company’s progress in 2006 in developing a comprehensive internal monitoring 
system for its vegetable seed production processes. Mr. Mallikarjun stated that yearly 
targets for internal monitoring had been established that would ensure all farms are 
monitored by the end of year three (2008-09) of Syngenta’s implementation period. 
 
Mr. Mallikarjun highlighted awareness-raising about the FLA – Syngenta collaboration 
and the Syngenta code of conduct among organizers and farmers as key areas of focus in 
2006. He said that Syngenta field staff had begun to make monitoring visits in 
conjunction with quality inspections with the aim of integrating labor compliance and 
core production processes. 
 
He also discussed challenges in the development of the internal monitoring system, 
including: 
 • Lack of legal guidelines regarding wages and benefits 
 • Lack of labor law enforcement by the Indian government in the agricultural sector 
 • Low levels of education among growers and workers 
 • Large number of farms to be monitored (almost 4,500 farms) 
 
Mr. Mallikarjun looked to the group for assistance in defining benchmarks for each code 
element and developing sustainable remediation strategies. 
 
2.  Task- and Risk-Mapping of Hybrid Vegetable Seed Production Processes 
Dr. Davuluri Venkateshwarlu, Director of the Global Research firm, presented the results 
of the study commissioned by the FLA on task- and risk-mapping in the hybrid vegetable 
seed sector.3 The FLA commissioned the study to better understand the production 
processes involved in hybrid vegetable seed production after the FLA – Syngenta project 
shifted focus from cottonseed to vegetable seed.   
 
 
                                                                                                                                                                             
would shift to hybrid vegetable seed production in India, which represented the next highest area of labor 
compliance risk after cottonseed. 
3 Web reference to the study 
3 
 
Dr. Venkateshwarlu sharing  
the study results 
Dr. Venkateshwarlu highlighted four high-risk tasks in hybrid vegetable seed production: 
(1) pesticide application; (2) hybridization; (3) harvesting; 
and (4) seed extraction. These tasks pose compliance risks 
related to health and safety, child labor, bonded or forced 
labor and excessive hours of work. 
  
At the time the study was conducted in April and May 2006, 
Dr. Venkateshwarlu reported that Syngenta field staff, seed 
organizers and farmers had limited understanding of the 
company’s policy on labor standards, health and safety 
standards or the FLA’s workplace code of conduct. He said 
that while Syngenta’s contractual ban on child labor created 
some awareness on the issue, awareness was inconsistent and 
definitions of child labor were inadequate. Dr. 
Venkateshwarlu reported that trainings on code awareness 
were conducted by Syngenta staff in the field from June to 
December 2006, and that in recent field visits he had noticed 
better understanding.  
 
3.  Proposed Independent External Monitoring System for the Agricultural Sector  
Mr. Arun Raste, Director of International Resources for Fairer Trade (IRFT), presented a 
proposal to develop an independent external monitoring system for the agricultural 
sector. Mr. Raste pointed out that few cases or standards exist anywhere in the world to 
monitor the agricultural sector. He cited poor record keeping by farmers, low literacy 
levels among farmers and workers and a lack of company-level internal monitoring 
systems as factors hindering the development of a system.  
 
The methodology presented by Mr. Raste is based on the existing FLA Workplace Code 
of Conduct and monitoring benchmarks used in the manufacturing sector. The proposal 
consisted of a draft code of conduct for the agricultural sector, needs and impact 
assessment tools, data collection instruments, reporting templates and monitoring 
guidelines for independent external monitors. 
 
Mr. Raste highlighted several areas where clear benchmarks are needed specific to the 
agricultural context: 
 
 • Hours of work and overtime limitations 
 • Social security and other benefits 
 • Rest days and holidays 
 • Wage compensation, especially for workers hired in groups 
 
4 
 
Group discussion on code awareness 
 
Identification and Discussion of Priority Issues 
 
Participants discussed a broad range of labor compliance issues. Four priority issues 
emerged as key areas of focus for the FLA – Syngenta collaboration and monitoring of 
the agricultural sector in general: (1) code awareness; (2) health and safety; (3) wages and 
benefits; and (4) child labor. 
 
1. Code Awareness  
Participants agreed on the general lack of awareness among farmers and workers about 
labor standards and rights. The lack of awareness is compounded by low levels of literacy 
among farmers and workers, making written materials of little relevance in 
communicating the code of conduct. 
Syngenta field supervisors updated 
the group on recent efforts to 
educate farmers and workers about 
labor standards by convening small 
informal meetings of farmers in each 
village where production takes place. 
Additionally, they said, pamphlets 
are provided to literate farmers at the 
time of foundation seed distribution. 
The group emphasized the need for 
further trainings, conducted in local 
languages, and continued creativity 
in communicating the code to 
organizers, farmers and workers. 
 
2. Health and Safety 
Hybrid seed production poses specific health and safety risks to workers because of the 
specialized nature of hybridization work and the increasing use of greenhouse 
technology. Participants noted frequent exposure to hazardous chemicals, long periods of 
work without rest, lack of rest areas, and long exposure to sun and heat as some of the 
dangers associated with seed production. Furthermore, the use of greenhouse technology 
prevents the dissipation of chemical fumes into the air. A lack of health services 
infrastructure in the rural areas and the absence of a state health insurance system 
increases the health risks to workers. 
 
Participants made several recommendations: 
 
 • Clean bathrooms and potable water should be provided and maintained. 
 • Designated rest and nursing areas should be available to workers. 
 • Workers should be educated on the hazardous chemicals used in seed production, 
disposal procedures and proper use of personal protective equipment. 
 • First-aid kits tailored to farm-specific injuries, such as snake bites and chemical 
inhalation, should be readily available. Farmers should be trained in first aid. 
5 
 
Syngenta grower speaking on worker 
compensation issues 
 • Farmers and workers should be educated on the safe use of farm machinery, 
particularly as related to electricity. Open wells should be made visible. 
 • Regular health check-ups should be arranged for workers (the current system of 
government-sponsored check-ups is very sporadic). 
 • Workers should have access to health insurance, perhaps based on existing low-
cost models. 
 
3. Wages and Benefits 
Several models of worker compensation were discussed, ranging from hourly wages to 
lump-sum payments for an entire season of work to collective payments made to a group 
of workers to conduct a specific task. The group discussed in-kind wage contributions 
and their role in calculating a minimum wage. 
 
Participants noted that Syngenta is regarded as one of the better paying companies in the 
seed business. The company’s long-term relationships 
with organizers and farmers were also viewed 
positively. Some participants asserted that due to the 
highly specialized nature of hybrid seed production and 
the need for skilled workers, workers are in an 
increasingly favorable position with respect to wages. 
 
 The practice of making loan advances to workers was 
discussed. While some participants were concerned that 
the practice encourages forced or bonded labor, others 
noted that elimination of the loans would be detrimental 
to workers. Further study of the various loan schemes 
was recommended. 
 
The group addressed migrant workers, who typically work on farms for a period of 60 to 
70 days at a time. Because they live on the farm, they are more likely to be paid with in-
kind compensation and are at risk of not being paid the minimum wage. The need for 
school or other educational activities for the children of migrant workers was identified. 
 
Gender-based wage discrimination was discussed. While there was general agreement 
that women are paid less than men, the farmers asserted that men do a greater number and 
variety of tasks that command higher wages. Further study and discussion were advised. 
 
Recommendations: 
 
 • The minimum wage should be calculated based on cash payments only (exclusive 
of in-kind compensation). The minimum wage should be equated with hours of 
work and specified in a written contract. 
 • Men and women should earn equal pay for equal work. 
 • Loan schemes and advance limits should be benchmarked so that workers can 
realize the benefits of loans without being forced into bonded labor. 
 • Workers should be encouraged to form or join unions for the purpose of collective 
bargaining (perhaps modeled on worker organization in the tea and coffee sector). 
6 
Group discussion on child labor 
 • Agricultural workers should be engaged on a contractual basis, rather than as 
daily workers as there are no prescribed legal benefits for daily workers. 
 
Further discussion is required on compensation for farm work unrelated to seed 
production (e.g. firewood collection, housework), crop insurance and leaves of absence. 
 
4. Child Labor 
There was agreement that child labor remains a problem in seed production and may even 
be on the rise. Particularly for lower profit margin crops such as okra, there was 
agreement that farmers are inclined to use child labor to keep costs down, as children 
represent a readily available and inexpensive form of labor. Participants recognized that 
girl children are particularly at risk for sexual harassment and abuse. 
 
There was agreement that existing monitoring mechanisms for the agricultural sector 
have proved inadequate for 
child labor. Announced audits 
have allowed farmers to send 
children away in advance of 
the audit, leading to 
underreporting of the problem 
and inadequate remediation. 
There was broad consensus 
that unannounced auditing 
should be a key feature of the 
FLA’s and Syngenta’s 
monitoring efforts in the 
agricultural sector. 
 
The lack of educational infrastructure and widespread poverty were cited as root causes 
for child labor in the agricultural sector. Children do not have schools to attend or their 
families cannot pay school fees; families facing large debts often put children to work to 
help pay off the debt. 
 
Recommendations: 
 
 • Awareness-raising on child labor must be undertaken through schools, adult 
education programs and other channels.  
 • The government should invest in awareness-raising and strict enforcement of the 
Child Labor Act. Syngenta may play a complementary role in enforcing the Act. 
 • Further exploration of existing resources at the local level is required (i.e., the 
National Child Learning Program and mid-day meal programs).  
 • A special school for children of migrant workers should be established. 
 • Syngenta should align with village schools to promote education and increase 
interest in school attendance. For example, Syngenta’s donation of a computer 
increased attendance at a school in Maharashtra. 
 • Remedial strategies should be defined to help former child workers integrate into 
mainstream schooling. The Bayer-Naandi Foundation may provide a model. 
7 
 • “Child Labor-Free” villages should be promoted to imbue villagers with a sense 
of pride in the village’s labor practices. Syngenta could promote such villages on 
its website. 
 
 
Concluding Remarks  
 
Three experts closed the consultation: Dr. Dipankar Gupta of KPMG, a leading 
sociologist of India; Ms. Linda Golodner, FLA Board member and President and CEO of 
the National Consumers League, a U.S.-based NGO; and Mr. van Heerden of the FLA.  
 
Dr. Gupta emphasized the need for adaptation of the monitoring methodology to the rural 
context of the agricultural sector. He highlighted increased poverty and lack of 
infrastructure in the rural setting as compared to urban environments as requiring special 
attention in the development of the monitoring methodology for the agricultural sector.   
 
Ms. Golodner stated that consumers are turning more attention to labor practices in the 
manufacture of the products they buy. She said that consumer organizations which have 
previously advised consumers only on the quality and price of products are now focusing 
on labor practices, as well.  
 
Mr. van Heerden remarked that the improvement of labor practices in the agricultural 
sector cannot be addressed by one party alone. He said that even more so than in the 
manufacturing sector, improving labor practices in the agricultural sector requires 
networks of stakeholders to act in an integrated way.  
 
Each speaker emphasized the need for a multi-stakeholder approach in improving labor 
conditions in the agricultural sector, such as the collaboration between the FLA and 
Syngenta. The need for public measuring of progress was also emphasized. Participants 
and presenters agreed that the FLA – Syngenta collaboration has the potential to develop 
ground-breaking best practices for improving labor standards in the agricultural sector. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note: A longer version of the meeting notes is available by request: RMittal@FairLabor.org. 


Syngenta Consultation on Social Monitoring of the Agricultural Sector in India

Summary of conference events and discussion between Syngenta and the Fair Labor Association concerning strategies for eliminating child labor and raising labor standards in vegetable seed production in India.  Includes recommendations and possible plans of action.FLA_SyngentaSummary.pdf: 31 downloads, before Oct. 1, 2020

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Syngenta Consultation on Social Monitoring of the Agricultural Sector in India

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