Risk Management in Pasture and Hay Production

Ed Rayburn, Extension Specialist

Farming has risk that why farmers know they are gamblers. Each producer has their own level of risk aversion or risk taking and have different methods of avoiding or off setting risk. Enterprise diversity like portfolio diversity in investments is one method. Purchasing crop and livestock insurance is another method.

For USDA Risk Management Agency information go to the following pages:

Risk Management
Risk Management Fact Sheets
Livestock Risk Protection

For ideas on reducing risk see the following pages:

Animal stocking rate determines risk to drought.
Using enterprise budgets as a management tool.
Stochastic budgets to measure production risk.
Risk perception and management among Appalachian Cattle Producers.
West Virginia snow-cover risk and history
Virginia snow-cover risk and history.