Abstract

Ethiopian farmers face a combination of risks in agricultural production during a single crop season. However, cumulative incidence assessment of the risks in the agriculture was not researched. Thus, this study aimed at assessing the cumulative incidence components in the production of the mung bean crop in the lowlands of South Ethiopia. A cross-sectional study was used with 384 mung bean farmers selected from lowlands of Gamo, Gofa and Wolaita zones. Thirteen original risk types were used to be categorized into a few factors through multiple factor analysis. Factor analysis identified latent variables with an Eigenvalues greater than one. The economic risk factor, the climate-related risk factor, and the systematic risk factor were the first three factors that explain 92.87 % of the inertia cumulatively. The rotated factor loading matrix indicated that under factor one, the encountered risks are an increase in the price of inputs, an increase in the price of food, and financial incidence, which accounted 50 % of the total variance. Under factor two extended dry spells, crop diseases, and wild animals’ damage and livestock diseases and deaths variables that accounted for 23.24 % of the total variance. The risk types categorized under systematic risks were social risks and political risks that accounted for 19.61 % of the total variance of risks encountered by mung bean farmers in the study area. Therefore, disentangling systematic risks is important by providing much-needed information to mung bean farmers and policymakers regarding systematic risk management priorities.

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