A RISK ANALYSIS OF SMALLHOLDER RUBBER PRODUCTION IN QUANG BINH PROVINCE

Abstract

Smalholder rubber farm has been adopted and rapidly developed in Quang Binh Province, playing a very important role in the economic development of the locality such as creating jobs, increasing income for rural laborers, contributing to hungereradication and poverty reduction. However, this model has been facing risks due to the impact of factors such as the volatile prices in the domestic and foreign markets, the vagaries of weather and climate; the increase in natural disasters, epidemics increases costs, reduces production efficiency and the competitiveness of products in the domestic and foreign markets.Under this context, this study assessed the development of smallholder rubber model in Quang Binh in terms of scale, economic efficiency, and productivity; and base on these findings the study analysis the risks caused by natural disasters, pest damage, varieties, farming techniques, market and financial risks; also analysis the relationship between risks and economic performance to evaluate status of smallholder rubber model in Quang Binh and how it would be in risky condition, through which specific analysis of economic efficiency in terms of price risk, interest rate risk. On the other hand, the study also analyses the current use of measures to minimize the risks to consider, evaluate the risk management of thesmalholder rubber farmers in Quang Binh.