State support for financial risk management schemes has been introduced in numerous agricultural policies to enhance farming system resilience in response to increased income fluctuations and partially reduced producer support levels in the agricultural sector. In order to better understand how financialisation of risks can contribute to an actual improvement of specific farming systems’ resilience, this study investigates its effects with regards to dairy farming. Based on an in-depth case study of a dairy system in Northwest Germany, multilayered challenges faced by the farm system are identified, resilience strategies investigated and the role of financial risk management evaluated. In doing so, the resilience assessment framework developed by Meuwissen et al. (2019) is applied in order to analyse the systems’ capacity to resist, adapt or transform in response to external challenges threatening the provision of system’ functions. The results indicate a high relevance of insurances and savings with regards to the system’s robustness against short-term shocks. However, to address the various long-term pressures, resilience-enhancing attributes that increase the system’s capacity to adapt and transform would need to be strengthened. In particular, more cooperation and knowledge transfer beyond system boundaries could contribute to a holistic risk management allowing for improved farming system resilience.

No abstract

This study analyses policy convergence in agricultural policies and shows that the predominant policy paradigm of a country can be a major barrier that impedes policy convergence. To provide empirical evidence for the link, this research studies risk management support in agricultural policies in the framework of historical institutionalism by using a mixed methods approach. The comparative policy analysis of agricultural risk governance in OECD countries suggests a high path dependency of established institutions and instruments of the underlying policy paradigm that frequently prevent major support for risk management tools and do not lead to a clear policy convergence.

No abstract