Climate Uncertainty and Agricultural Soil Conservation Investment Decisions

Ouattara, Pierre D.; Kouassi, Eugène; Egbendewe, Aklesso Y.G.; Akinkugbe, Oluyele

doi:10.1142/s2010007818500045

Cited by 2 publications

(1 citation statement)

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“…Fluktuatif permintaan pasar mengakibatkan kecenderungan penurunan tingkat produksi dari pangan organik (Saragi et al, 2021). Faktorfaktor tersebut akan mempengaruhi keberlangsungan kegiatan pertanian dari segi pendapatan hingga kesejahteraan petani (Ouattara et al, 2018).…”

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Strategi Mitigasi Risiko Pada Produksi Sayuran Organik Dari Aspek Ekonomi

Putri

2022

ATJ

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Awareness of healthy food consumption has pushed the organic farming supply chain to further increase its productivity. This is not in line with the dynamic conditions of the organic farming supply chain. Dynamic conditions such as climate uncertainty, pest intervention to fluctuating market demand sometimes become obstacles for supply chain actors. In the organic farming supply chain, the production of organic vegetables poses the greatest risk and can disrupt the flow of products to consumers. These obstacles will directly cause losses for farmers. So to minimize these obstacles, a risk mitigation strategy design is needed. This study aims to design appropriate risk mitigation strategies in organic vegetable production. The research located in D.I Yogyakarta took respondent data consisting of farmers, CV owners, employees and experts in the field of organic agriculture. The focus of this research is the design of risk mitigation strategies from the economic aspect using the House of Risk (HOR) method on the production of organic vegetables from the organic farming supply chain. The results show that the source of risk that has the largest aggregate value is an uncertain climate with a value of 1701. And to minimize the potential for these risks, there are 12 mitigation strategies that can be applied. The risk mitigation strategy that has the highest rating with a value of 14850 is the existence of crop management that regulates the planting time between plants.

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Strategi Mitigasi Risiko Pada Produksi Sayuran Organik Dari Aspek Ekonomi

Putri

2022

ATJ

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Risk aversion and land allocation between annual and perennial crops in semisubsistence farming: a stochastic optimization approach

Ouattara

Kouassi

Egbendewe

et al. 2019

Agricultural Economics

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This article analyzes the effect of production uncertainty on farmland allocation decisions between perennial and annual crops, focusing on a representative farmer's attitude toward risk. A dynamic stochastic optimization model that considers net planting—the difference between new plantings and removals of perennial crops that achieve full production cycle—is used. The effect of uncertainty on the representative farmer's decisions to increase or decrease perennial crops’ acreage, on the optimal path, is examined. Our results reveal that the response of optimal path of net planting to uncertainty related to perennial crop production is highly affected by the farmer's attitude toward risk. A risk‐averse or a low‐risk loving farmer tends to reduce land allocation to perennial crops under uncertainty, while a high‐risk loving farmer will do exactly the opposite. Also, due to disutility of farming, the farmer tends to reduce land allocation to perennial crops when prices are high enough for him to attain a desired income level expectation. One implication of this research is the need for mechanization—in sub‐Saharan countries in particular—that increases per‐acreage yield and output in semisubsistence agriculture.

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Climate Uncertainty and Agricultural Soil Conservation Investment Decisions

Cited by 2 publications

References 13 publications

Strategi Mitigasi Risiko Pada Produksi Sayuran Organik Dari Aspek Ekonomi

Strategi Mitigasi Risiko Pada Produksi Sayuran Organik Dari Aspek Ekonomi

Risk aversion and land allocation between annual and perennial crops in semisubsistence farming: a stochastic optimization approach

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