Risk Management in Agriculture
Risk is an integral part of Agriculture. Each day farmer confront with different types of risks. In India Agriculture risks are exacerbated by a...
Risk is an integral part of Agriculture. Each day farmer confront with different types of risks. In India Agriculture risks are exacerbated by a variety of factors, ranging from climate variability and change, frequent natural disasters, uncertainties in yields and prices, weak rural infrastructure, imperfect markets and lack of financial services etc. The five primary sources of risk in agriculture are as follows.
The Government of India and State Governments can’t bear all losses arising out of risks in agriculture. The governments should strengthen the institutions, systems and mechanism involved in the mitigation and transfer of agriculture risks. Technological advance in climate science, remote sensing and ICT in developing early warning systems, increasing the effectiveness of instruments for pooling, sharing and transfer of risks enhancing the coping capabilities of farmers.