The agricultural industry of a country plays a paramount role in the economic development of a country. However, the industry continues to face multiple problems. The risks associated with the agricultural industry are beyond human control and are always contingent in nature. The underlying problem faced by the industry is a long-time lag between input investment and profit realization. There are problems and risks on both ends, i.e., the supply-end (where investors face various risks in providing credit to farmers) and demand-end (where farmers face uncontrollable risks and hesitate to obtain financial support that is necessary to increase their production). Let’s have a look at such problems, solutions to the problems, and practical challenges relating to the same by covering the following three main topics:
