Potato Growers’ Risk Perception: A Case Study in Ar dabil Province of Iran

Abstract

The aim of this study was to examine potato growers ' perceptions of risk sources and risk management strategies and their risk managemen t behavior. A Survey research method was used in this study. The data originated from a sample of potato growers (n= 128) of Ardabil Province in the cropping year of 20 13. The respondents were divided into two groups of Less Risk-Averse (LRA) and More Risk- Averse (MRA). Results show that more than half of the respondents were MRA. In gene ral, potato price, marketing and yield were important sources of risk. The MRA farme rs perceived price, yield, input costs and subsidy elimination as highly important sources of risk. Change in farming practices times, sharing farm machinery and hedging were impo rtant perceived strategies. LRA farmers marked more importance to management strate gies than their counterparts. Except for a few strategies, there was consistency between the growers’ perception and management behavior. The results also show that the re were significant relationships between farmers’ perception of strategies and their application. The results have implications for agricultural policy makers, extens ion and advisory services on the brink of subsidy targeting policy in Iran. Keywords: Ardabil, Perception, Potato, Risk management