Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, Indonesia
Over the past decade, smallholder rubber farming experienced significant issues related to risks of rainy season, rubber diseases, and price decreases. The risk exposure will reduce agricultural productivity, income, and sustainability. Farmers are expected to mitigate various risks by adopting the...
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Format: | Article |
Language: | English |
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De Gruyter
2023-05-01
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Series: | Open Agriculture |
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Online Access: | https://doi.org/10.1515/opag-2022-0196 |
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author | Imelda Imelda Mulyo Jangkung Handoyo Suryantini Any Masyhuri Masyhuri |
author_facet | Imelda Imelda Mulyo Jangkung Handoyo Suryantini Any Masyhuri Masyhuri |
author_sort | Imelda Imelda |
collection | DOAJ |
description | Over the past decade, smallholder rubber farming experienced significant issues related to risks of rainy season, rubber diseases, and price decreases. The risk exposure will reduce agricultural productivity, income, and sustainability. Farmers are expected to mitigate various risks by adopting the appropriate risk strategy. Efforts to support the risk strategy adoption are constrained by the lack of scientific research in rubber farming, especially for simultaneous risk strategy adoption. This study aims to identify the risk strategy adoption in rubber farming and analyse the determinant factors by considering farmers’ socioeconomic, rubber farm characteristics, and risk perception. The data were collected from 200 rubber farmers in West Kalimantan, Indonesia, and analysed using a multinomial logit model. The study results show that the most selected strategy was income diversification. The multinomial logit model indicates that farmers’ age, family members, rubber age, rubber clones, and rainy season risk perception positively affect the adoption of risk strategy. In contrast, experience, farm area, and farm distance have a negative effect. The results also indicate that family members, farm area, and farm distance variables significantly affect all choices of risk strategy adoption. The results of this study suggest several implications for government and policymakers in providing assistance and counselling, capital assistance, input access, and improving transportation, road access, and communication. |
first_indexed | 2024-03-13T08:22:29Z |
format | Article |
id | doaj.art-41d521bd480d452c8b2e3207d65c8c61 |
institution | Directory Open Access Journal |
issn | 2391-9531 |
language | English |
last_indexed | 2024-03-13T08:22:29Z |
publishDate | 2023-05-01 |
publisher | De Gruyter |
record_format | Article |
series | Open Agriculture |
spelling | doaj.art-41d521bd480d452c8b2e3207d65c8c612023-05-31T06:56:00ZengDe GruyterOpen Agriculture2391-95312023-05-01813273810.1515/opag-2022-0196Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, IndonesiaImelda Imelda0Mulyo Jangkung Handoyo1Suryantini Any2Masyhuri Masyhuri3Department of Agricultural Socioeconomics, Faculty of Agriculture, Universitas Tanjungpura, West Kalimantan, IndonesiaDepartment of Agricultural Socioeconomics, Faculty of Agriculture, Universitas Gadjah Mada, Yogyakarta, IndonesiaDepartment of Agricultural Socioeconomics, Faculty of Agriculture, Universitas Gadjah Mada, Yogyakarta, IndonesiaDepartment of Agricultural Socioeconomics, Faculty of Agriculture, Universitas Gadjah Mada, Yogyakarta, IndonesiaOver the past decade, smallholder rubber farming experienced significant issues related to risks of rainy season, rubber diseases, and price decreases. The risk exposure will reduce agricultural productivity, income, and sustainability. Farmers are expected to mitigate various risks by adopting the appropriate risk strategy. Efforts to support the risk strategy adoption are constrained by the lack of scientific research in rubber farming, especially for simultaneous risk strategy adoption. This study aims to identify the risk strategy adoption in rubber farming and analyse the determinant factors by considering farmers’ socioeconomic, rubber farm characteristics, and risk perception. The data were collected from 200 rubber farmers in West Kalimantan, Indonesia, and analysed using a multinomial logit model. The study results show that the most selected strategy was income diversification. The multinomial logit model indicates that farmers’ age, family members, rubber age, rubber clones, and rainy season risk perception positively affect the adoption of risk strategy. In contrast, experience, farm area, and farm distance have a negative effect. The results also indicate that family members, farm area, and farm distance variables significantly affect all choices of risk strategy adoption. The results of this study suggest several implications for government and policymakers in providing assistance and counselling, capital assistance, input access, and improving transportation, road access, and communication.https://doi.org/10.1515/opag-2022-0196multinomial logit modelrisk perceptionrisk strategy adoptionrubber farmers |
spellingShingle | Imelda Imelda Mulyo Jangkung Handoyo Suryantini Any Masyhuri Masyhuri Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, Indonesia Open Agriculture multinomial logit model risk perception risk strategy adoption rubber farmers |
title | Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, Indonesia |
title_full | Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, Indonesia |
title_fullStr | Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, Indonesia |
title_full_unstemmed | Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, Indonesia |
title_short | Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, Indonesia |
title_sort | assessing the determinant factors of risk strategy adoption to mitigate various risks an experience from smallholder rubber farmers in west kalimantan province indonesia |
topic | multinomial logit model risk perception risk strategy adoption rubber farmers |
url | https://doi.org/10.1515/opag-2022-0196 |
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