Cambios en la actividad económica y en la ocupación:

Literature on risk and risk management perceptions among farmers in developing countries, particularly Africa, is still scanty as compared to developed nations

(Gebreegziabher & Tadesse, 2014). This is particularly true for risk management among livestock farmers. These studies are however necessary in Africa due to differences in both risk exposure and perceptions of risk and risk management strategies that should be expected due to farming system, socio-economic and environmental/ geographical differences that exist within the world and within Africa (Gebreegziabher & Tadesse, 2014; Quinn, Huby, Kiwasila, & Lovett, 2003).

Although livestock is considered important in livelihoods and risk management among smallholder farmers in Africa (Ilri, Fao, et al., 2008; Tembo et al., 2014),

comprehensive studies on risk perceptions among smallholder livestock farmers who practice both arable and pastoral farming in Africa is scanty. The majority of literature on risk

management in African countries generally looks at identifying risk and risk management strategies among farmers with some being specific to a particular type of risk or risk management strategy, e.g. climate risk and diversification (Ayodapo, 2010; Little, Smith, Cellarius, Coppock, & Barrett, 2001). However, to have a more comprehensive

understanding of risk and therefore make more informed risk management policy recommendations, a holistic approach to understanding risk is required due to the multi- dimensionality of agricultural risk (Antón, 2009; Mubaya et al., 2012).

A recent study by Bishu (2014) found that general cattle farmers in Tigray, Ethiopia perceived production risk, particularly livestock disease risk, as the most common and severe source of risk. Livestock disease control and feed management were considered to be the most important risk management strategies by these farmers. When specified to dairy farmers

within the same area, Tigray, it was found that dairy farmers perceived a number of risk as the most important risk sources (Gebreegziabher & Tadesse, 2014) and these included technological, market, production, financial, human and institutional risks. They perceived reduction in diseases, diversification, financial management and improving market networks as the important risk management strategies. This was more evidence that perceptions of risk and therefore risk management strategies used are affected or differ with different farming systems. This study by Gebreegziabher and Tadesse concludes by echoing Meuwissen’s conclusion that perceptions of risk and risk management strategies are farmer specific (Gebreegziabher & Tadesse, 2014; Meuwissen et al., 2001).

Agricultural Risk in Zambia 2.5

Agriculture in Zambia, particularly among traditional farmers, is characterised by poor risk management (Taylor, Dougherty, & Munro, 2009). Research has been done characterising risk among Zambians in rural areas, with some specific to risk in agriculture (Kalinda, 2014; Lekprichakul, 2009; Tembo et al., 2014) and risk management strategies, but this knowledge on risk has not been explored nor communicated to farmers exhaustively. As a result of this poor communication between the farmers and researchers, risk management has been poor, which has in turn resulted in poor productivity and performance. There is poor implementation of risk management strategies among the traditional farmers (Taylor et al., 2009). As a result of this poor risk management, it is difficult for the traditional farmers to access finance through lending institutions, such as banks, that consider them to be highly risky borrowers with poorly managed risk (Taylor et al., 2009).

2.5.1 Sources of Agricultural Risk in Zambia

Traditional farmers in Zambia are known to be exposed to various sources of risk that can broadly be classified into production, environmental/ weather, price/ market risks and change in policies (Taylor et al., 2009). Mubaya et al. (2012) was more specific and identified agricultural risk in Monze district as variability in access to input, livestock diseases, access to finance, access to information on weather and variability in weather patterns. Except for financial risks, all the other risks identified by Mubaya fit into the classifications of sources of risks as identified by Taylor et al (2009)

examples of these various sources of risk. Environmental risk and Climate variability were found to be one of the important sources of risk among traditional farmers. Climate

variability was seen as responsible for increased poverty over the years. Climate varied with between seasons of high rainfall where there would be droughts to seasons of drought.

Production risk was also outlined and involves poor crop and livestock performance. Poor crop performance was mainly attributed to environmental risks, specifically droughts and floods coupled by climate variability in the form of erratic rainfall patterns. Crop diseases and limited access to inputs such as fertilizers are another source of crop production risk (Kalinda, 2014). In terms of livestock production risk, the major source of production risk was identified as livestock diseases that reduce livestock productivity in terms of numbers and in terms of performance. Livestock thefts were also identified as another source of production risk (Kalinda, 2014) among the traditional farmers who did not have as much security for their livestock as the commercial farmers.

Market risk has become more obvious to the traditional farmers due to the effects of market liberalization policies in Zambia (Kalinda, 2014). Prior to liberalization, farmers where assured of ready markets for their farm products through government institutions. However, market liberalization meant the private sector and the farmers were solely involved in setting prices and getting farm products to the market, this was more so for livestock markets than it was for selected crops (Humphrey, 2009; Mwanaumo, 1999). This exposed the farmers to exploitation and increased their transport and transaction costs without an assured market for their products (Kalinda, 2014).

Human resource risks identified were risk due to deaths, long term illnesses and marital disputes (Ansell, Robson, Hajdu, van Blerk, & Chipeta, 2009) and risks associated with crime . Diseases such as HIV/ AIDS were considered responsible for increasing poverty levels due to reduced productivity in the rural farming community.

Government laws and policies are another source of risk identified among the rural farmers in Mazabuka (Kalinda, 2014). One of the policies that changed the face of agriculture in Zambia is the liberalization policy which has seen farmers struggling to adjust and find market for their produce. Changing government policies and laws make the environment unstable for the farmers. Some of these government laws and regulations are not supportive

of farmers e.g. the complex process farmers have to go through to sell their cattle discourage some farmers from selling (World Bank, 2011b).