Fact Sheet #36 – March 2009
Dr. Nicole Dimos – Mallee Sustainable Farming Inc.
Risk is inherent in most farm businesses. It can be associated with a range of factors including production, markets and climate. In many cases, variations in these elements are beyond individual control but risk can be reduced, to a greater or lesser extent, by knowledge and informed management decisions.
Some farmers assess and manage risk with an informal or ‘gut feel’ approach. However, as the complexity of the farm enterprise increases with more diversified and intensive production systems, managing risk also becomes more complex. It is important to be as informed as possible.