Risk Management Policy

There are risks involved in farming. The risks in farming are faced and endured by our smallholder farmers every day. Also, this is where the core business of iFarmer comes in, we take and make pragmatic steps and decisions to provide structures to reduce risks and increase profitability. Farmers limited resources and financial debts hinder them from opportunities to enhance their lifestyle. iFarmer plays a part in reducing these risks, to protect both the users and the farmers.

We at iFarmer have adopted and implemented the following strategies to mitigate our risks.

iFarmer does work with a larger farmer community where all farmers are been selected and verified with the assistance of the local government unit. Farmers are required to submit an application form and have to undergo an interview with iFarmer. Only those who pass the process will be allowed to join the program. Also, Farmers are required to sign an agreement for a specific timeline to manage the funded portfolio responsibly.
At iFarmer, we give our funders the option for choosing to fund in farms that are adequately covered by the insurance organizations rendering agricultural insurance services. Insurance Services are obtained usually to mitigate several unprecedented risks. Presently, we have a partnership with Green Delta Insurance Company, the country's largest agriculture insurance provider to provide insurance facility for the farms.
At iFarmer, we work with farmers and farmer groups who have had years of experience in the crop/fruit/livestock they grow. We ensure proper training for them on the best practices also at the selection process necessary measures are being taken to ensure that the risk involved is being reduced to a minimal level.
Partnership with end-market buyers helps us to mitigate the risk that we may face as a result of price fluctuations and getting a better price for the produce. This measure helps to mitigate the market risk that we are being faced with.
We ensure that quality agricultural inputs are purchased as this enables the crops/livestock to be of high yielding. Also, regular monitoring and guiding farmer enables iFarmer to mitigate risks and get a better price.
This usually occurs when farmers have very limited capital. With access to capital, pests can be prevented. Farmers are also provided with access to agriculturists to infuse best practices in pest prevention/mitigation. Crop insurance also covers damages from pests.
For high-value crops, prices are volatile and may drop and spike at different times, depending on the supply and demand in the market. This is managed by recommending diversification of crops for each farmer, and by clustering different farmers together to further distribute the risks.