India - Bombay HC orders insurance company to compensate 3 lakhs farmers for crop loss

13.05.2022 142 views

The Bombay High Court's Aurangabad bench has ordered an insurance company to pay claims filed by 3,57,287 farmers in the Osmanabad district for post-harvest losses to soyabean crops caused by excessive rains in the 2020 Kharif season. Due to cyclonic retreating rains, the region experienced severe rainfall in October 2020.

The Maharashtra government would have to pay the money within 12 weeks if the company does not pay within six weeks, according to a bench comprising Justice RD Dhanuka and Justice SG Mehare. This ruling came in response to a number of farmer petitions requesting compensation from the state government and insurance company.

Farmers' advocate AS Wakure stated that the insurance company profited handsomely from the entire premium received from farmers, the state, and the central government.

According to the court, the insurance company (Bajaj Allianz General Insurance Co. Ltd.) collected nearly Rs 500 crore in premiums from farmers in Osmanabad, the state, and the central government under the Pradhan Mantri Fasal Beema Yojana (PMFBY).

However, the company only paid out Rs 87.83 crore to 72,325 farmers who applied within or immediately after 72 hours of crop loss, as the scheme required. The remaining farmers were not reimbursed.

According to the farmers, the company insured 3,61,010 hectares of soyabean crops, with roughly 2 lakh hectares damaged, accounting for more than 33% of the entire insured area.

In March of last year, the company and other authorities were told to approve farmers' claims, according to additional government pleader AR Kale representing the state government. The company, on the other hand, disobeyed such orders and rejected complaints from relevant authorities. The remaining insured farmers were likewise not paid.

The petitions were disputed by the insurance company's lawyer, Advocate SG Chapalgaonkar, who questioned their feasibility.

The farmers' attorney, on the other hand, informed the court that because the disaster was broad, no notification was necessary within 72 hours.

Farmers' counsel, Advocate AS Wakure, stated that the claims of agriculturists cannot be rejected on technical grounds.

Farmers did not individually contact the insurance company about losses, but several government bodies performed surveys, panchanamas, and told the insurance company about payment of such losses, according to Wakure.

Even if the telephone company's server was down during the relevant period, he noted, it was impossible to notify the insurance company within 72 hours of the date of such significant rainfall that caused loss and damage to the farmers. The farmers lacked access to Android phones.

After hearing from all sides, the bench decided that farmers were not compelled to inform the company within 72 hours, and that it was impractical because they couldn't move to their fields.

The company's argument that the petitioners sought relief that went beyond the scope of the Pradhan Mantri Fasal Bima Yojana was dismissed by the court.

Source -


Dry situation in much of Northern Europe leads to concerns about early potato crop

Overall, markets remain largely unchanged, with sales and consumption settling back to pre-Covid levels. Digging of early Home Guard and Premier varieties have commenced in the south east this week, with small quantities available in retailers.


Spain - The losses due to rains and cold in Valencian agriculture could amount to 150 million euro

After two and a half months of persistent rainfall, low temperatures, and lack of sunshine, the farmers of the Valencian Community are starting to see the real damage these weather events have had or will have on most of their crops.


China - Apple production is expected to drop by about 30% in 2022

On May 11, strong convective weather occurred in many apple-producing areas in Gansu, and some areas experienced heavy rainfall and hail. In addition, apple-producing areas in Shandong have experienced multiple rounds of frosty weather in the past few days.


Spain - We estimate that about 50,000 tons of fruit may have been lost on the island of La Palma

On December 13, 2021, the eruption of the Cumbre Vieja volcano in La Palma came to an end; undoubtedly long-awaited news that was widely celebrated, but an end that also meant the beginning of a challenging reconstruction process, necessary to recover from the damage caused by the 85 day long phenomenon.


Pakistan - Scant hope for relief as repeated heat waves scorch

In Pakistan’s north, rising levels of heat have accelerated glacial melting, triggering the collapse of a historic bridge in the Hunza Valley, bordering China. In the south, weakened flows to the Indus river have resulted in a nearly 38 percent water shortage in Punjab and Sindh – major crop-producing provinces.


USA - The disease killing millions of bats costs ag hundreds of millions of dollars a year

Bats play a big role in agriculture. They fertilize, pollinate and eat crop-loving insects. As the deadly white-nose syndrome kills millions of bats across the U.S., the loss is felt across the industry – and it comes with a price tag.


Mozambique - Over 244,000 hectares of crops damaged by heavy rains

Just over 244,000 hectares of various crops have been plagued by heavy rains, flooding, storms, and drought in the Mozambican 2021-2022 agricultural campaign.


Canada - Seeding in Saskatchewan still behind schedule due to spring rains

Rain continues to put a damper on seeding in Saskatchewan. According to the weekly crop report from the province’s Ministry of Agriculture, 33 per cent of the 2022 crop is in the ground, significantly behind the five-year average of 53 per cent for this time of year.