Categories: Nigerian Agric News

Risks are intrinsic in agriculture

As an entrepreneur, you find yourself being challenged by diverse hazards at different times.
Some of the common risks cut across production, sales and marketing, finances, government policy, and personal.

Agricultural risk management involves the different decisions/steps you take to reduce or manage some of the risks you encounter in your business.

How can you manage these risks?

In the absence of adequate information, you can become vulnerable and may take decisions that will complicate the business process.

To avoid this, seek professional advice from experienced farmers and traders before making your decision.

To effectively manage the hazards you may face in your business, you must be willing to source relevant information that will help you make strategic decisions.

Secondly, always have a strategy, especially for the legal and financial aspect of your business so that you won’t be caught unawares.

Another major risk that most agricultural businesses face is ‘marketing risk’.
You will observe that sometimes, the prices of raw materials and even the present product in the market face uncertainties.

Whether or not the price will be perfect for the crops after production, you, most times can’t say, especially with the current fluctuating economy.

A good way to combat this risk is to sell directly to final consumers. You can also register on platforms like Viable X that connects you with buyers for your product, thereby reducing risks and maximizing profits.

Ensure that the demand exceeds supply so you won’t run at a loss.

Finally, always put your ears to the ground for new information and product knowledge so that you can diversify when the need comes.

Guest Writer

Recent Posts

Arsenal’s White out for months after knee surgery

Arsenal defender Ben White will be sidelined for “months” following knee surgery, manager Mikel Arteta…

4 hours ago

Kane strikes three as Bayern Munich extend Bundesliga Lead with 3-0 win

A second-half hat-trick from Harry Kane led Bayern Munich to a 3-0 home victory over…

4 hours ago

Super Falcons to face Tunisia, Algeria, and Botswana in WAFCON 2024

Nigeria’s Super Falcons have been placed in Group B for the 2024 Women’s Africa Cup…

5 hours ago

Japa: Russia faces labour shortage, appeals for migrants

Russia is turning to migrants to help address a growing labour shortage caused by its…

5 hours ago

Gunmen abduct family members of former Daily Trust Editor, Demand ₦50m ransom

Three family members of Mallam Ahmed Tahir Ajobe, a former editor at Daily Trust, were…

5 hours ago

Crisis rocks Lagos Celestial Church over N5m renovation donation

The Celestial Church of Christ, Acts of Apostle Parish in Ketu, Alapere, Lagos, has been…

5 hours ago