Identification and Analysis of Different Risks Associated with Saffron Cultivation (Case Study: Kermanshah Province)

This research was conducted quantitatively to identify and analyze the sources of risks of saffron production in Kermanshah province. The statistical population consisted of 114 saffron farmers of the province, of whom data were collected by complete enumeration technique. The research instrument was a researcher-made questionnaire consisting of two sections including the demographic and occupational characteristics of the participants and items to measure risk. The data were analyzed by opinion polls and related formulas. The results of the multi virtual cluster analysis showed that most saffron farmers reported low production risk, price and financial costs, and moderate and high natural and human risks. According to saffron farmers, the most important risks include production risks (such as the lack of timely delivery of inputs), human risk (the shortage of available labor to harvest saffron, disease, and migration of young family members, and the theft of agricultural products and equipment), market risk (guaranteed sales, lack of equipment and facilities for packaging and bulk sales of the product, and arbitrary pricing), financial risks (lack of access to bank facilities, lack of liquidity, shortage of funds, lack of savings accounts to avoid selling the crop at a low price, and a short interval between receiving and repaying loans), natural risk (lack of government support and assistance for the sale and marketing of saffron at reasonable prices, absence of state-sponsored insurance, lack of communication network between saffron farmers at the local and regional level). The development of saffron production calls for efforts to eliminate the relevant risks.