Uncertainty and risk are characteristics inherent in agricultural activities, and one of the main sources of risk is weather. Because agriculture depends heavily on rainfall, it is sensitive to weather changes. Agriculture is also vulnerable to extreme weather events; floods, droughts, and frosts cause both production and capital losses. Approximately 98 percent of the catastrophic risk to agriculture in Mexico stems from two types of weather events: droughts (accounting for 80 percent) and cyclones (accounting for 18 percent). Low-income rural populations are highly vulnerable to the harmful effects of weather, yet their access to insurance programs is almost nonexistent.
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About IFPRI
The International Food Policy Research Institute (IFPRI) provides research-based policy solutions to sustainably reduce poverty and end hunger and malnutrition in developing countries. Established in 1975, IFPRI currently has more than 500 employees working in over 50 countries. It is a research center of theCGIAR Consortium, a worldwide partnership engaged in agricultural research for development.
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About IFPRI
The International Food Policy Research Institute (IFPRI) provides research-based policy solutions to sustainably reduce poverty and end hunger and malnutrition in developing countries. Established in 1975, IFPRI currently has more than 500 employees working in over 50 countries. It is a research center of theCGIAR Consortium, a worldwide partnership engaged in agricultural research for development.