Risk Management in Agriculture

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Global Risk Forum GRFDavos

Technologie Économie & finance

Marco Ferroni and Rose Goslinga Syngenta Foundation for Sustainable Agriculture 3 rd International Disaster and Risk Conference IDRC Davos 2010 Davos, Switzerland, 2 June 2010 Risk Management in Agriculture Conference Theme: Risk and Global Change – From Threats to Sustainable Opportunities

Risk management ,[object Object],[object Object],[object Object],Severe weather (drought, excess rain) Price/marketing risks (changes in supply or demand, loss of market access, etc.) Risks Technology (IPM, CP, varieties, ag practices, water & soil mgt) Solutions Insurance Market rationalization

Agricultural technology to manage production risk

Agricultural technology is risk management to protect yield k Yield potential Traits Seed treatments Sprays Agronomy & Extension: Ecosystem services Source: Syngenta Foundation Healthy farm population ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Fertilizers

CP contribution to crop yield potential Source: Oerke et al. 1994

[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Risk prospects

Source: Syngenta Crop enhancement chemistry: VIGOUR and WUE

Index insurance – the novel case of Kilimo Salama

Outline ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

What is weather index based insurance? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Example Agronomic model

Why do farmers need insurance: the case of Jane Simon ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Implementing index insurance: Kilimo Salama ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

How does Kilimo Salama work? ,[object Object],[object Object],[object Object],[object Object],[object Object]

Key challenges and success factors ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Key challenges and success factors cont’d Eunice Wamaitha, 1 Acre insured What did you think about insurance before the payout? I thought they might not pay, our friends told us after the training that we were being lied to

Next steps towards reaching scale ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Thank you for your attention ,[object Object],[object Object],[object Object]

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