Risk management in precision farming

With the current technical, economic and social developments occurring in farming, there is a need to introduce a risk management approach to the business of agriculture. Government departments, other industries in the food chain and consumer bodies outside agriculture are looking at aspects of risk management associated with their needs. The application of precision farming techniques will help farmers to respond to the pressures exerted by these outside bodies and the economics of precision farming look attractive provided that yields are maintained. A risk management approach needs to be applied to this area to ensure that any management decision tools which are developed produce robust decision making processes. These must show consistency in physical and economic results within an uncertain climate both in terms of weather and financial conditions.