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Explain five ways in which farmers may overcome risks and uncertainties in farming business.
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Aug 24, 2021
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Agriculture Form 1
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anonymous
Explain five ways in which farmers may overcome risks and uncertainties in farming business.
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Aug 24, 2021
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Diversification: having various enterprise so that if one falls, the farmer has something to rely on.
Contract production: growing crops on contract with the consumer with assurance of the market.
Input rationing: use of inputs sparingly to avoid wastage/ incurring unnecessary expenses.
Flexibility in production: being able to make alternatives in farming schedules
Selecting more certain enterprises: embarking on enterprise with less risk.
Insurance: insuring the enterprise that in case
Adopting modern methods of farming i.e : irrigation crop rotation & animal husbandry practice.
Use of government price stabilization policies.
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