Horti-Business Management

2. Types of uncertainty in Agriculture

a. Price uncertainty: Prices of products / inputs are not known to the farmers with certainty
b. Yield uncertainty : Farmers may not able to predict the yield of crops with certainty because of weather conditions, incidence of pests and
disease, etc.
c. Technological uncertainty: farmers may not be aware of the exact impact of new technology on the quantity and quality of yield.
d. Institutional uncertainty: Conditions of tenure, functioning of credit agencies are examples for institutional uncertainties.