Risk Perception and Management Strategies in Dairy Farming: A Case of Adana Province of Turkey

Abstract

This study aims to determine and analyse farmers’ risk perceptions and risk management strategies in dairy farming. Data were obtained in 2014 (December) and 2015 (February and March) from face-to-face interviews with 96 dairy farmers in Yüregir and Saricam district of Adana province of Turkey. Factor analysis was used in data reduction to identify a small number of factors related to risk sources and risk strategies in this study. Then, multiple regression model was used to evaluate the influence of socio-economic characteristics and communication behaviour on the farmers’ risk perceptions and risk management strategies using factor loadings. The results of this study show that the most important risk source that the farmers' perceive is variability in feed prices and risk management strategy that the farmers' perceive is take precautions to prevent disease. The results of factor analysis show that the risk scale consists of 8 factors explaining 70.24% of total variance. The internal consistency coefficient Cronbach Alfa of the scale is 0.808 and KMO is 0.732. The risk management scale consists of 6 factors explaining 67.78% of total variance. The internal consistency coefficient Cronbach Alfa of the scale is 0.775 and KMO is 0.746. According to the results, perceptions were farmer-specific, a number of socio-economic variables and communication behaviour are found to be related to risk and risk management. To improve risk management strategies is useful for farmers as well and might help them to avoid many risks and reduce losses.