AGRICULTURE RISK MANAGEMENT

Managing risk is an important part of every business activity . Risk and uncertainty are unavoidable parts to agriculture . The most common risk elements are weather, climate, crop and animal diseases and natural disasters. Farmers are mostly vulnerable to risk given their near-direct and overly direct dependence on these factors. They may have difficulty in assessing and management of risks and fail to benefit from investment opportunities that could improve the farming business.

Agriculture risk management is an innovative approach for improving the level of the farming business and investment. Agriculture risk management allows farmers to be proactively deal with agricultural risks and increases their capacity to assess, prepare for and adapt to possible risk .

Decision making is the principal activity of risk management. Early in the growing season, farmers must make decisions about what crops to plant and fertilizer levels to use . The yield and prices obtained will not be known with the certainty for several months or even years in the case of perennial crops and livestock.

In most cases, the outcome of the decision cannot be predicted as there is more than a single possible outcome. Farmers often find that their decisions turn out to be less than perfect because of changes that take place between the time the decision is finalized. It may be that the outcomes themselves depend on the decisions of others and on the future events that lie beyond the control of the farmer . For effective decisions to be taken , farmers must have all the necessary information regarding input prices , output prices and yields , as well as other technical farming data .

Remember to talk to us at Greenroot ltd for best solutions on risk management. We also offer you affordable litigation free lands at Aburi Amanfo , Asutware and Kwaomoso . These lands are suitable for farming and real estate. Our lands come with wonderful packages such as free indenture , site plan , good soil for farming and a scenery environment for real estate.

336 thoughts on “AGRICULTURE RISK MANAGEMENT

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