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Risk Sharing In Poultry Contracts

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  • Hegde, S. Aaron

Abstract

Previous literature has found that 84% of risk in poultry grow-out farms is transferred to the integrator. One of the main reasons behind this is the absence of a market price variable in determining compensation. We do not find this to be the case with more recent contracts, which include a market price clause. We also use VaR methodology to look at the risk inherent in the new contracts.

Suggested Citation

  • Hegde, S. Aaron, 2001. "Risk Sharing In Poultry Contracts," 2001 Annual meeting, August 5-8, Chicago, IL 20486, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea01:20486
    DOI: 10.22004/ag.econ.20486
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    Keywords

    Livestock Production/Industries;

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