Analysis of risk management practices among cassava farmers in Ideato South Local Government Area, Imo State, Nigeria

Abstract

Risks are pervasive and inescapable in agriculture. There has been great concern about the problems posed by risk in agriculture. This apprehension stems from the harmful effects of risk on the output of farmers in Nigeria. This study examines risk management practices among cassava farmers in Ideato South Local Government Area (LGA) of Imo State, Nigeria. It specifically sought to identify the types of risks encountered, management practices adopted, and socio-demographic factors that influence cassava yields. The study used purposive and multistage sampling techniques to sample 90 cassava farmers from seven autonomous communities in Ideato South LGA. Data were collected using a structured questionnaire. Inferential and descriptive statistics such as multiple regression model, mean, percentage frequency counts were used in data analysis. Findings showed that poor yield due to bad weather conditions and inadequate transportation systems were the most intense risks faced by cassava farmers. The major farmers’ risk management strategies in order of importance were mixed cropping, mixed farming, off-farm investment and Insurance. Insurance was least ranked mainly because the farmers lacked adequate information on the insurance benefits. Off-farm income and farming experience were the socio-demographic variables that positively influenced the output of cassava, implying that increase in these variables would increase the output of cassava. On the other hand, age as a variable was significant but had adverse effects on output. The findings show that risk cannot be eliminated in the agricultural production process because agricultural production has a high dependence on the vagaries of nature. The study recommends that farmers be encouraged to diversify their farming operations through a diversification process where the farmers produce several products rather than cassava, a single product. The use of improved cassava varieties should be encouraged. Additionally, farmers should increase their involvement in more income-generating activities to plummet the risk among cassava producers.