Assessment of Risks Influencing Agribusiness in Imo State

Abstract

This study was conducted in Imo State, Nigeria, to examine the risks affecting
agribusiness activities in the study area. A descriptive research design that was cross-
sectional in nature was adopted. A quantitative method of data collection via a semi-
structured questionnaire was utilized. The respondents are mainly agribusiness
operators in the urban and rural areas of Imo State. A multi-stage sampling technique
was used to select 180 respondents, and the data was analyzed using simple
descriptive statistics such as frequency distribution, percentage, mean, and bar chart.
The result shows that the majority (76.1%) of the respondents strongly agree that
production risks affect their agribusiness. Similarly, the majority (77.5%) of the
respondents opined that (financial risk affects their agribusiness. The majority (60%)
of the respondents strongly agree that natural disasters like fire outbreaks are one of
the risks affecting their business. Agribusiness operators in Imo used diseases and pest
control, improved variety, proper and timely medication and vaccination, credit
markets, informal borrowing and selling of assets, and improved storage facilities as
risk management whenever they faced risk in their agribusiness. The study, therefore,
recommends that the government should provide credit and loan facilities to
agribusiness owners, provide power supply, and provide and subsidize fertilizers,
pesticides, herbicides, and veterinary drugs to agribusiness owners