Effects of Natural and Market Risks Management on Results of Steppe Breeding System in Algeria

Fatna Belkhiri, Mohamed Ouali, Komi Abdou Atchemdi

Abstract


This paper aimed to evaluate impacts of risk management (RM) on sheep production. It is based on Solvsamp Modeling, to analyze empirical data (2003-2011) obtained in two marketplaces. Results proved that RM was sometimes ineffective against natural agent severity or market prices fundamental elements (supply, demand) which would have caused strongly risks within season independently of one another. With government policies producers based their RM tools on the use of concentrated animal feed input and herd size management, either this last or herd mobility (nomadic, transhumant) and animal feed diversification, but the RM strategies and returns for individual farmer looked like at a point in time. RM ensured for producers the margin profit rate of 15 percent in winter to 33 percent (summer) and conversely high seasonal coefficient (1.25) in winter, low (0.86) in summer. RM must consider the seasonal, economic or policy factors and specificity of each breeding system to be more efficient.

Keywords


Agricultural Risk, Risk Management, Agricultural Marketing, Economic Modeling, Performance Indicator

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