Let 's look at common agricultural risks across countries:
- natural risks: risks of low and long payback of investments, short-receptions arrived; risks of rapid deterioration of fixed assets due to negative impact of climate factor;
- risks of self-reproduction;
- risks of seasonality of agricultural production: risks of physiological properties of animals; risks of climatic characteristics of regions with significant differentiation by natural zones;
- risks of uneven turnover of agribusiness working capital due to seasonality of production (risks of non-debt financing);
- risks of less efficient agricultural production than other sectors of the economy;
- risks of low competitiveness of agricultural production and risks of inability for agribusiness enterprises to participate on equal terms in intersectoral and international competition;
- risks of slower science and technology innovation than industry;
- risks of inadequate, slow, conservative response to changing market conditions, transformation of demand for products: risks of natural limited agricultural land when it is necessary to increase output; Risks of reproduction cycle duration;
- the risks of price differences between the value of agricultural products and the value of the resources needed to produce them;
- risks of limited attractiveness of agricultural production to investors.
Specific agricultural risks of the agricultural industry are identified, for example, for country, characterizing its crisis state:
- risks of reduced sown areas and soil fertility;
- natural and climatic risks, which are expressed in the fact that most of the territory of country is in the zone of risky farming;
- risks of limiting the rise in agricultural prices, which are enhanced by the supply of cheaper imports to the market;
- risks to the international competitiveness of country agricultural production;
- risks of low availability of fixed assets, agricultural machinery, reduction of production and technical capacity;
- risks of financial insolvency of agribusiness enterprises;
- risks of insufficient State budget support;
- the social risks of the population in the country village related to the low level of wages with late payments, lack of rural infrastructure, degradation of rural areas, migration of the most able-bodied and qualified part of it.
The main difficulty in providing insurance protection to agribusiness enterprises is the agricultural risk, which is due to a number of objective and subjective factors that distinguish it from other insurance risks.
Objective factors include the catastrophic distribution of risk over time, expressed in the alternation of crop and crop years and its cumulative nature.
Subjective factors are factors that reduce the efficiency of work in the agricultural sector: the level of training of rural producers, the ability to adapt to an aggressive economic environment, the ability to find its "economic niche," within which it is possible to unlock all the available potential of agricultural enterprises.
Subjective factors are poorly formalized in assessing agricultural risk.