Agroinsurance

Philippines - Insurance program helps farmers cope with Climate change

Negrense rice farmers are coping with climate change through the Negros First Universal Crop Insurance Program of the provincial government.NFUCIP, on its third year was primarily created to mitigate the adverse effects of climate change to Negrense farmers whose crops are affected by the changing climate.The Provincial Government recently released insurance claims amounting to P1,080,174 to farmer beneficiaries, a release from the Provincial Information Office said.Records of the Office of the Provincial Agriculturist showed that in 2011, the provincial government has provided an initial fund of P4.5Million to cover rice crops of farmers.To date, about 9,917 farmers have been insured by the program with 9,370.224 hectares covered.A total of 3,920 farmers had already received indemnity claims amounting to P15,526,118 for 4,145 hectares damaged rice crops.Source - http://news.pia.gov.ph/

New Zealand - Orchardists kept busy with frosts

Fruit growers in the Teviot Valley, at Alexandra and at Cromwell were a bit jaded yesterday after spending their second successive night frost-fighting.Manager of 45 South orchard at Cromwell Tim Jones said the overnight temperature dropped to -3degC so it was ''a pretty good frost.'''Some other places around here recorded -6 though. That's quite a hard frost for this time of year,'' he said.The crop on any flowering fruit trees was at risk from the frost, as was the tender young fruit forming after blossoming finished.''The apricots are particularly vulnerable right now and I think the apricot people [growers] have been having a busy time of it, with one I heard of up for 20 nights in a row frost-fighting,'' Mr Jones said.Wayne McIntosh, of McIntosh Orchard at Earnscleugh, said the temperature dropped to -2.4 on Sunday night, placing all the fruit grown on the property at risk.''With the heat during the days, the blossom's coming out fast,'' he said.Summerfruit New Zealand chairman Gary Bennetts said although the mercury plummeted at his Roxburgh orchard on Sunday night ''it didn't quite hit the danger zone''.Central Otago orchardists could expect to be frost-fighting any time from the end of August to November, he said.Cherries were coming into flower, nectarines were blooming and apricots had young fruit on them and were at their most susceptible to frost.Source - http://www.freshplaza.com/

Nepal - MoAD proposes Rs 487m additional compensation to farmers

The Ministry of Agricultural Development (MoAD) has proposed a compensation plan worth Rs 487 million to farmers for the damages caused by floods and landslides this year to crops, livestock and birds.In a report forwarded to the Agriculture and Water Resources Committee (AWRC) of legislature-parliament on Wednesday, MOAD has proposed a compensation of Rs 298 million for the damages caused to crops in 21 flood and landslide-affected districts. Likewise, it has proposed Rs 189 million in compensation for damages to livestock and birds in several districts.Earlier, MoAD had assessed total damages to crops by landslide and floods at Rs 2 billion. Last year, total production of rice stood at 4.5 million tons worth Rs 100 billion. Paddy is the main contributor to the agricultural gross domestic product (AGDP) and also a major component of the country´s economic growth.According to MoAD, Rs 4.35 billion worth of crops and Rs 148 million worth of livestock and birds were damaged by flood and landslides this year.Following submission of the report, AWRC had directed MoAD to come up with a plan for providing compensation to farmers. “We have only Rs 36 million allocated for distributing compensation to farmers. So we have asked the finance ministry to provide the remaining amount to compensate the farmers,” said Udaya Chandra Thakur, spokesperson for MoAD. Thakur also informed that they have so far only released Rs 500,000 to compensate for the damages by floods in Bardiya.Figures compiled by MoAD from the affected 17 districts says the floods and landslides have damaged standing paddy and vegetables planted in 35,804 hectares of land. Of the 17 affected districts, eight are in Tarai, including Banke, Bardiya, Kailali, Kanchanpur, Siraha, Rautahat and Dang. The rest, including Sindhupalchok, Ramechhap, Achham, Bajhang, Darchula, Baitadi, Lamjung, Gorkha and Kaski, are in the hills.Failing to encourage farmers to purchase insurance policy for crops and livestock with the provision of 50 percent subsidy in insurance premium, the government has announced 75 percent subsidy in insurance premiums this fiscal year. In the last fiscal year, only Rs 17 million was paid as the insurance premium subsidy out of total Rs 130 million earmarked for the purpose.“Taking a leaf from the last year´s experience the budget has been reduced to Rs 60 million for the insurance premium subsidy and with the percentage increment in subsidy it is likely that the amount will be spent,” said Sunil K Singh, section officer at MoAD.Source - http://www.myrepublica.com/

India - Banks Finally Give ‘Debt Relief’ to AP Government

In a much-awaited relief to the cash-starved Andhra Pradesh government, the State Level Bankers’ Committee (SLBC) on Tuesday reportedly agreed to accept its offer of upfront payment of 20 per cent outstanding crop loans of eligible farmers.The SLBC has constituted a sub-committee to look into proposals made by the Andhra Pradesh government on the modalities of crop loan waiver scheme and after a thorough discussion, finally conveyed its nod this evening.The AP government had on September 29 offered to pay `5000-7000 crore of the total outstanding crop loans to banks through the proposed Farmers’ Empowerment Corporation. Now, with the bankers giving the green signal, farmers can apply for fresh loans.Finance Minister Yanamala Ramakrishnudu said the SLBC decision would be discussed at Wednesday’s cabinet meeting and a final decision taken on the loan waiver scheme. He said it was not a waiver and the whole commitment of the government was aimed at providing debt relief to farmers.Earlier, at the SLBC meeting, the AP government told the banks it was only asking for “restructuring and rescheduling to clear outstanding crop loans in an incremental way in four-five years.”However, the bankers asked it to put in place revenue recovery system with regard to the agriculture sector. The farmers were continuing to demonstrate their reluctance to repay crop loans and other agricultural term loans following the debt waiver scheme announced by the government, complained Andhra Bank executive director SK Kalra.“Reluctance was observed even in case of high value loan accounts and from term loan borrowers,” he said.He said since the government was contemplating payment of 20 per cent of the eligible amount as immediate relief to the farmers, the need of the hour was to educate them on timely repayment and renewal of loans, he suggested.“The bankers strongly believe agriculture should be a profitable business and farmers should not be made to look at waivers. Instead, they may be provided with necessary inputs, forward and backward linkages, to make agriculture profitable,” he asserted.He asked the AP government to set up a second Debts Recovery Tribunal to speed up recovery process in high volume loans and clear pending cases. “The banks will not come into the picture either in the government’s debt waiver scheme or in the issuance of bonds as both measures are a matter between the government and the farmer,” said a senior bank official.While expressing displeasure over disbursal of kharif loans, the Finance Minister said as per the data available with the government, disbursal of kharif loans stood at 38 per cent of the target in the first quarter which is the lowest ever.He said the proposed corporation would repay existing loans of farmers to the banks and ensure that the credit line remains open.Meanwhile, the SLBC has urged insurance companies to extend crop insurance for kharif season till October 31. SLBC convenor C Doraswamy said as the kharif season was delayed for one month due to delayed monsoon, the companies should extend the deadline for one more month. However, insurance companies rejected their request.AP Agriculture Minister P Pulla Rao, Chief Secretary IYR Krishna Rao, Union Finance Director N Srinivas Rao, RBI regional director KR Das and NABARD chief general manager Jiji Memman were present.Source - http://www.newindianexpress.com/

Another tough season ahead for South African stonefruit?

First estimates for South African stonefruit will be released next month, but it seems that regardless of the volumes it will be an other tough season for the South African growers and exporters.Last year stonefruit was hit by hail and unseasonable rain which reduced the volumes considerably from certain regions, but overall volumes were helped by new plantings coming onto productivity. Chile, South Africa's main competitor also suffered from frost damage early in the season which added to supply pressure."If Chile comes back with normal crop and we have a normal crop it will already be a challenging season," said Jacques du Preez from Hortgro, "But if we both have a big crop it will be a difficult season. We will have to look at alternatives, but we are still limited mainly to Hong Kong, Malyasia and Singapore in the East, with a chunk of our stone fruit exports also going to the Middle East."Source - http://www.freshplaza.com/

Australia - Heavy August rain forces growers to dump tonnes of fruit

Strawberry growers are hoping the run of fine weather continues until the end of the season after some lost most of their crop during a peak period in August.Plants were carrying plenty of fruit but rain on August 22 and 23, and the following weekend, caused many to become waterlogged and split.Strawberries Australia president Luigi Coco said the rain caused more damage than anyone remembered.“We threw away tonnes and tonnes of fruit,” Mr Coco said. “I know farms that lost 90 per cent, I know farms that picked everything and threw it away. Over two weeks you have people that lost anywhere from 60 to 90 to 100 per cent.”Wamuran grower Bill Sharpe said the season had been perfect until the rain.“We got 3.5 inches the first weekend, we looked at the fruit and went ‘nah, this is not good enough to send’, so we threw the whole lot away,” Mr Sharpe said. “That was very expensive ... we got four inches the second weekend, and we looked at the fruit and there was a little bit we were able to save.”He said the difference may have been the winds on the second weekend drying out the fruit.Mr Sharpe said plants had produced good fruit since.“Long term it did us good,” he said. “We did need the rain, but beside that point, the market was getting totally glutted and prices were rock bottom.”The local season ends about mid-October.Source - http://www.freshplaza.com/

USA - Economists estimate $220M in rain damage to crops

August's record rainfall damaged an estimated $220 million of crops, according to a University of Idaho Extension report.The estimate is preliminary and incomplete because more hay will be harvested. However, the losses so far are staggering.Paul Patterson, an agricultural economist at the U. of I. Extension in Idaho Falls estimates hay losses of $85 million in south-central Idaho and eastern Idaho."Nobody ever likes to complain about getting rain, but the timing left something to be desired this year," said Patterson. "It's certainly had a negative impact on agriculture, and agriculture is certainly the lifeblood of Eastern Idaho.He and two colleagues believe Magic Valley's farmers took a $52 million hit, while Eastern Idaho's missed out on $33 million."Hay is not the only crop to be severely impacted," said Patterson. "The grain crop was just being harvested when the rain started."Between wheat and barley, eastern Idaho had an estimated loss of $100 million to $107 million, while Magic Valley's losses are believed to be between $32 million and $36 million."Whether it's grain trucks going down the road at harvest, or potato trucks pulling out of the field, you know, people tend to look at the crops that are in those," said Patterson. "What they ought to be thinking about is those trucks full of dollars, and those dollars get distributed through the economy of eastern Idaho."Patterson says losses for farms ran into the hundreds of thousands of dollars, and even more than a million for some of the larger farms.Source - http://www.localnews8.com/

Australia - Canola farmers must decide whether to wait for rain or cut their losses and opt for quality hay instead

It's crunch time for canola farmers in southern Australia.They need to decide whether to hold out for rain to ensure a decent grain crop, or cut their losses and opt for hay, or silage instead.A lack of rainfall is the most immediate concern, but many have also struggled with frost and Beet Western Yellows Virus.There haven’t been many winners.Some farmers, including most in the south east of South Australia, avoided the canola virus, but only because they missed out on rain earlier in the season.The dry start to Spring has therefore hit them much harder.Others started a perfect season with plenty of rain in February and March followed by a warm May; conditions that also enabled pests and disease to flourish.Throw frost and poor prices into the equation and it’s no wonder the Australian Oilseed Federation (AOF) predicts a 20 per cent decrease in the amount of canola planted in 2015.Cutting for hay and silage provided some relief for canola farmers during the 2006/ 07 drought, with many using it as an alternative to expensive feed sources.AOF vice-president Trent Potter says farmers need to figure out whether a below average grain crop will be worth more than high quality hay."It’s the time people would need to be making a decision," he said."As the crops just get to the end of flowering the quality for hay or silage decreases, you get less protein [and] lower digestibility."In the south east one reasonable rain would help change things around so I think it’s probably a pretty difficult decision for people to make at the moment."Mr Potter says up to 85 per cent of plants in mid-north SA were affected in some way by Beet Western Yellows Virus."It’s had a huge effect," he said of the virus."All those crops, the guys were letting them sit there at the moment and hopefully finish off."It was going to be a matter of how much damage winds did on Saturday and Sunday but I think most are being left to be harvested for grain."Source - http://www.abc.net.au/

USA - Eddy County flooding worries continue as crops rot

Farms in southern New Mexico are still under water after recent massive flooding and that has farmers worried their popular crops could be wiped out. After weeks of rain, some farms in Eddy County saw nearly 26 inches of rain. Woods Houghton, with Eddy County, said the pinto bean crops in their area have been wiped out.Houghton said the county’s largest crop, which is cotton, is looking like its headed that way too.Now farmers are having to wait for the water to recede before they know for sure which crops can be saved and which are going to be a total lost.“The pecos valley its not looking pretty good,” Houghton said. “We’re going to have a significant crop loss justdue to the disease.”Hougton said Eddy County is the seventh largest agricultural county in New Mexico. Their fields produce cotton, pumpkins, pinto beans and even chile. With a good portion of farms there are still under water the majority of crops in the county could be jeopardy.“Our chile crop doesn’t look too good either,” Hougton said.Houghton said their chile is sold across the state. He said while a lot of the state has already picked, roasted and sold bags of its green chile, the Pecos Valley was just getting started.“We had just started picking our green chile. We are a little behind the Rio Grande Valley,” Houghton said.He said he’s received emails showing that some plants are starting to rot and looked diseased.An agricultural expert from New Mexico State University said flooded fields can led to diseased plants and bring on root and crown rots. Once one plant has it, it can spread to the entire crop.The only way to save some chile pods or pumpkins is to harvest it. However, Houghton said that’s been a challenge.“We’re just now getting a look at the chile picked and so we’ll see what it looks like for the next couple of weeks,” Houghton said. “Right now, we cant walk on the fields.”Houghton said until they can get onto the fields there is no telling how much will be saved and can be sold. That could mean a smaller chile crop for New Mexicans.Houghton said this is the last thing they expected to be dealing with.“We went through two years of severe drought; farmers were planting less than 10% of their crop because they didn’t have enough water,” Houghton said. “This year we finally got enough water to plant your full farm and you get wiped out by a flood.”Eddy County was recently declared a disaster because of the drought.Source - http://krqe.com/

USA - Heavy rains impacting some ag businesses

The plentiful late season rains while welcomed by many has created problems for some ag businesses including a dairy farmer who reported losing a few animals due to wet and muddy conditions.Triple G Dairy Vice President Brett Goolsby said Monday that the recent downpours have caused many problems on his family’s dairy farm.“With all this rain it makes it hard to harvest crops,” he said. “We couldn’t plant crops due to too much water in the fields.”They are also dealing with a lot of mud, Goolsby noted.“We are basically floating out here and I’ve got cows in fields that don’t have a dry place to lay down,” he said. The rainy weather has hampered efforts to build a new free-stall barn, which will get the cows out of the fields.The rainfall at the dairy farm on Arbuckle Creek Road has been significantly higher than the rainfall at his home on Lake Jackson, Goolsby said. From Sept. 19 through Sept. 26 he recorded more than 12 inches of rain at the dairy, while he believes about 5 to 6 inches fell at his home.A few of his animals have died from exhaustion after getting stuck in the mud, he said. “When you have a 1,200 pound animal sinking up past their knees up to their belly in mud trying to walk around, it’s rough on them.”Also, tractors have been getting stuck in the mud requiring extra work to extricate them, Goolsby said.The frequent storms have produced “fierce lightening,” but he hasn’t lost any animals to lightening strikes, he said.“We definitely need a little dry period out here,” Goolsby added.Wabasso Road Dairy owner Dennis Coulter said the rain has caused harvesting and planting problems so he has been buying more supplemental feed than usual.“It has been extremely wet,” he said. “Now we normally plant a fall crop [of corn], but it is in danger.”Coulter has not lost any animals due to the weather, but he believes there has been a little loss in milk production due to the high humidity, which stresses the cows.The rain has halted activity at the Duda Lake Placid Sod Farm on Old Parker Island Road.“Last week we didn’t do anything,” said Anita Gamez, the farm’s sod coordinator. “Basically, all the sod is underwater.”She couldn’t estimate when the sod fields will drain.So far it is not looking good this week, Gamez said. “We will just have to wait and see.”But, other sectors of agriculture in the county have not experienced serious problems from the wet weather.Highlands County Citrus Growers Association Executive Director Ray Royce said citrus has benefited from the recent rains.“There might be some flat-woods groves down off the ridge that are having to deal with the challenges of the rainfall levels we have had over the last several weeks,” he said. “But, for the most part, we are very appreciative to getting the rainfall that we are.”The rain can disrupt some of the production practices that are going on and it can help create fungal problems, but overall the growers appreciate the rainfall because it cannot be replicated with irrigation, Royce said.Don Bates of Bates Sons & Daughters Caladiums, Lake Placid, said the rains have been very helpful.“The caladiums in general look better than they have all year,” he said. “Too much rain could cause us some harm if it doesn’t drain off well.”Thus far there have not been any 4- or 5-inch rains on the caladium fields, Bates said. “As long as they stay in the half to one-and-a-half inch range, I think we are in great shape.”Harvesting will start around the first of November, he noted.Source - http://highlandstoday.com/

India - Ailing saffron industry takes a Rs 700-crore hit

Already fighting a long, losing battle for survival, saffron trade in Kashmir has probably suffered the most damaging blow from the recent floods. The loss to the ‘golden crop’ is over Rs 700 crore, according sources in the saffron industry. Kashmir is one the major producers of the spice item globally.Shamas Irfan, a resident of Pampore town in south Kashmir, 13 km from Srinagar, said the damage to the crop is nearly forty percent, and all the saffron bulbs stored in low-lying areas have been inundated. Apart from Pampore town the crop is also grown in Budgam and Kishtwar districts, all of which are badly hit by the floods.“There would be a scarcity of saffron bulbs (used to grow saffron) in coming years as water has seeped in. When water gets inside the bulb it is completely destroyed,” Irfan told Firstpost.“If saffron prices skyrocket in India in the coming months don’t be surprised,” Mushtaq Ahmad Ganie, 35, a saffron farmer said. “Apart from destroying our homes, the insistent rains and subsequent floods have damaged our livelihood too. The loss to farmers would be Rs 700 crore,” Ganie said.Saffron production in Kashmir was already witnessing a steep decline, raising fears of unemployment among thousands of farmers dependent on the annual produce for their living. Kashmiri saffron was once famous for its finest quality, colour and flavor throughout the world. But counterfeiting by middlemen in recent years, farmers say, has dented its credibility even as the demand for Kashmiri saffron increased.Firaz Ahmad, a saffron farmer, said he was exploring the possibility of selling his agricultural land due to declining production and rising costs involved in processing the crop. Ahmad, 39, who lives in Lethpora, overlooking vast neatly trimmed saffron fields and sells his produce in a tiny shop, on Srinagar-Jammu National Highway which connects Kashmir with rest of India, said deteriorating soil health, poor irrigation system, shrinking of land, and neglect by the governments is reason for decline in saffron production.“It is disheartening,” Firaz said in Pampore, eleven kilometers from Srinagar the summer capital of the Kashmir region, “to even think of selling the land, where our ancestors have grown saffron, but continues loss makes one rethink.”Saffron farmers in Kashmir still use traditional method of processing, after plucking the flowers, its stigmas are separated by family labour, and then sun dried. Agricultural officers say the annual consumption of saffron in India is estimated at nearly 20 tons a year, the rising demand is meet by countries like Iran, Spain and China.“Nearly 4,000 kg of saffron produced in Kashmir get exported,” Shakeel Ahamd, a member of traders’ federation, said. “Locals consume only a fraction of the produce,” he added.Union Minister of Agriculture Radha Mohan Singh, had recently said that the production of prized spice has decreased, but said government would pump Rs. 400.11 crore to revive the saffron industry in Kashmir. “The production of saffron, which used to be 3.13 kg per hectares, has come down to 2.47 kg per-hectares in the last few years,” Singh said on August 23, while laying foundation stone of Rs 24.54 crore Saffron Park Project at Dussu, Pampore, part of Rs 3.76 billion National Saffron Mission launched in 2010, to boost saffron production in Kashmir.The Rs 3.76 billion programme was to cover drip irrigation, research, mechanisation, processing and marketing support to ease the crisis. Singh, however said, he was disappointed to know that land under the saffron cultivation has declined from about 5707 hectares in 1996 to just 3875 hectares in 2010-11.However, it’s not the saffron crop alone that has taken the brunt of the floods. The department of agriculture accepts extensive damage to other crops across the valley. The floods have also affected agricultural land as large chunks of land have been washed away. In many areas a large quantity of silt has got deposited on farm fields, an initial survey by the department says.According to an Assocham report the worst hit in the floods have been apple crop. “The floods have caused a damage of Rs 1,000 crore to the apple crop in Kashmir, threatening a collapse of the horticulture industry in the state,” a report prepared by Assocham says.Source - http://www.firstpost.com/

Should you add SCO coverage to crop insurance for wheat?

For wheat growers, choosing a crop insurance contract for 2015 just got more complicated with the addition of Supplemental Coverage Option, a county-level insurance program available through the 2014 farm bill.SCO will be available in select Nebraska counties for wheat in 2015 and more counties to come in early 2015 for spring-planted crops. SCO works in conjunction with a producer’s individual crop insurance policy and is purchased through crop insurance agents. Here are some important points to consider when determining whether SCO is a viable tool for Nebraska wheat growers, as well as linkages between SCO enrollment and individual insurance plan crop insurance coverage level.Late this year, or possibly in early 2015, landowners will be able to select the farm bill commodity program in which they participate. Landowners will choose if they want their whole farm to participate in a revenue program, Individual Agricultural Risk Coverage, or if they want to select County Agricultural Risk Coverage or Price Loss Coverage with SCO on a commodity-by-commodity basis. The sign-up deadline for 2015 SCO winter wheat coverage will occur in advance of other commodity program decisions, complicating the process.Landowners and tenants intending to plant wheat this fall who have a crop insurance policy and are interested in SCO (SCO enrollment limits other commodity program options to just PLC) need to sign up for 2015 SCO wheat coverage by Sept. 30. For 2015 wheat, because SCO enrollment is happening in advance of other commodity program decisions, farmers will be allowed to withdraw acres enrolled in SCO if they later decide to enroll in either ARC-CO or ARC-IC. SCO wheat enrollment will only matter on farm NUMBERs where wheat is intended to be planted.Withdrawals of acres from SCO will be allowed until the wheat insurance acreage reporting date, Nov. 15. After this date, producers may still be able to cancel SCO coverage upon choosing ARC-CO or ARC-IC, but can expect a penalty equal to a percentage (we expect 20 percent) of the SCO premium. Thirty-two counties in Nebraska will have SCO coverage for winter wheat in 2015 (see map). SCO will have a premium, which is subsidized 65 percent by the Federal government.Farm program commodity program choices will lead producers to different programs due to producer-specific circumstances. Consequently, it is vitally important to link your farm conditions to perceived program benefits. SCO benefits and costs will vary by producer.It appears SCO will be beneficial to producers with FSA farm numbers with certain characteristics. Wheat producers who are uncertain of the benefits from ARC, who have low base acres relative to planted acres, who are using optional units, who have a strong relationship to county yields, or whose APH yields are lower than expected yields will need to seriously consider the additional protection provided by SCO.Here are some factors to consider when evaluating the benefits of SCO on your own wheat acres.- Choosing to participate in PLC/SCO over ARC-CO or ARC-IC requires analyzing perceived benefits from all crops grown on that FSA farm number. That is, which program combination will provide the best risk coverage? While current conditions suggest that ARC- CO may look attractive to corn or soybean growers, this may not hold in the case of wheat. Landowners need to evaluate farm programs and insurance for each commodity on each FSA farm number to determine which combinations of insurance and commodity program protection works best.- SCO will be more attractive to producers whose planted acres are significantly larger than base acres. SCO benefits are based upon planted acres whereas ARC–CO, ARC-IC and PLC payments are based upon base acres. For producers with a large number of non-base acres, the PLC/SCO option may provide superior risk coverage.- The benefits of SCO will depend upon the relationship between county yields and farm yields. Because SCO is based on county-level payment triggers, the farm may suffer a loss when the county doesn’t, resulting in no SCO payments. However, the small (14 percent) SCO deductible makes this scenario less likely than one might initially believe. The 14 percent SCO deductible makes SCO coverage more sensitive to price and/or yield losses, thereby lowering the probability for a farm loss and no SCO payment. A second unusual outcome is that the farm may receive an SCO payment when the farm does not suffer a loss. While possible, this event is rare. SCO will use the same prices as found in your individual crop insurance policy (that is, the projected price and harvest price). A producer concerned with falling prices can thus obtain some price protection from SCO.- SCO premiums and liability increase as a producer’s individual crop insurance coverage level declines. SCO liability is equal to the difference between 86 percent and the producer-selected coverage level on their individual policy. For example, a grower who selects 75 percent coverage on their MPCI policy would have an 11 percent coverage band from SCO ( 86-75 percent). Lower individual coverage levels increase SCO liability, which naturally increases SCO premiums.- Producers should compare benefits and costs to different coverage levels with and without SCO. SCO could provide more coverage for producers who have historically selected a lower level of individual crop insurance coverage at a cheaper cost than increasing regular crop insurance coverage level. Higher levels of individual coverage may be most attractive if enterprise units are available. Also consider comparing costs and benefits for optional units with SCO costs at varying coverage levels.- Identify how much protection your regular crop insurance is offering you. To do this compare Actual Production History and your expected yield for next year for each field by FSA farm number. Differences in APH and expected yields could likely exist if a series of low yields or high yields were recently experienced or if transitional yields (i.e., county average yields) were recently used to determine APH. If your APH is quite a bit lower than your expected yield, then crop insurance is only covering a percentage of expected yield. A producer in this situation may consider participating in SCO to provide catastrophic coverage on revenue not protected under regular crop insurance. Catastrophic coverage protects against risks borne at the county level such as drought and heat. Price protection remains the same at both county and farm. If APH is higher than your expected yield, crop insurance may be providing adequate protection and SCO participation may not be needed. If APH is similar to expected yields the decision is not as clear.Source - http://www.starherald.com/

Pakistan - Over 5,500 acres of mango orchards damaged by floods

Mango orchards spreading over 5,500 acres have been damaged in Muzaffargarh due to the river Chenab floods, leaving many stakeholders in financial crunch.Sardar Aun, a mango orchard owner in Doaba, told that he had sown Chaunsa which was scheduled to be picked by the end of September but water was still in the orchard. He said he had ‘sold’ the fruit for Rs3 million but the contractor paid him Rs500,000 in advance and fled after flooding. He said the growers were in for heavy financial loss.He regretted that the government had failed to provide compensation to the growers and other stakeholders so far. He said the government should facilitate the growers with provision of equipment and machinery to drain out water otherwise it would become a source of diseases.Agriculture official Iqbal Niazi said the department was at the stage of assessing the loss and would go for compensation after that.Source - http://www.freshplaza.com/

Ecuador - Broccoli is recovering after falling 30% in the first half of the year

The production of broccoli in Ecuador has been affected by unusual weather problems in the past two years. Heavy hailstorms in 2013 and a period of high clouds that lasted until the first half of 2014 caused a 30% drop in production until July this year.Ecuadorian broccoli production is concentrated in a relatively small mountainous area located some 3,000 meters above sea level."We don't have many insects because of the high altitude so we can use less pesticides. Another important factor is that, since we are located in the equatorial zone, we can produce all year and the sun is very strong which helps our product acquire a stronger green colour and a sweeter taste," said engineer Pedro José Guarderas of Ecofroz SA.Ecofroz SA is one of the largest exporters in the country and has nearly 600 acres devoted to the production of broccoli, mainly of the Avenger variety, as well as their own packing facility.The company exports about 24,000 tons of frozen broccoli per year. Ecofroz's main markets are Japan, where they ship 50% of their production, and Europe and the U.S. market where they send the remaining 50%.While Ecuador has the potential to open new markets for broccoli in markets such as Russia and the Middle East, the decline in production has forced the country to put that possibility on hold, as they must first meet their prior commitments."I don't think our product has a great potential in Russia because, unlike Japan, it is a market that is more concerned about price than quality," said Guarderas.According to the engineer, the production began to stabilize in July and the weather conditions are now normal, so there should be a recovery in volume by the end of 2014 and in 2015.Even though the company doesn't produces organic broccoli yet, they do have a kosher production and a pesticide-free product."Organic production without fertilizer use has a much lower productivity. It is far more expensive and only pays 30% more than the conventional production. In our opinion, there should be a 60% difference in value for it to be appealing," he said.Source - http://www.freshplaza.com/

Bulgaria - Potato yield to be 50% lower than last year

Interview with Ventsislav Kaymakanov - president of the National Association of potato growersMr Kaymakanov, is the potato crop in Bulgaria already harvested?Ventsislav Kaymakanov: No, we are in the very beginning of the harvest. As a result of the climate conditions, the rain, in particular, there was a delay in the harvest of the potatoes that were left in May.What are your expectations for this year’s crop compared with the previous year?Ventsislav Kaymakanov: Our expectations are highly negative. The harvest will be around 50% smaller compared with the previous year. It will be a huge achievement if we manage to produce between 80,000 and 100,000 tons.What is the state of the crop with regard to the unfavourable meteorological conditions in Bulgaria?Ventsislav Kaymakanov: It is very hard and complicated. The bad meteorological conditions bore a highly negative effect, starting at the very beginning, starting with the planting of potatoes. We reported a loss yet at this initial stage, acreages were lost because of the pouring rain and the floods that followed.After that, there was a draught, which also had a negative effect on the potatoes.Possible following rainfall will cause even bigger harm to the crops.Which regions in Bulgaria were most strongly affected?Ventsislav Kaymakanov: The situation is almost the same everywhere – Smolyan, Gotse Delchev, Samokov.Do you expect bankruptcies in the sector?Ventsislav Kaymakanov: Yes, we expect many bankruptcies, since I have already witnessed the pain in the eyes of the colleagues – they do not expect anything, they cannot keep their engagements to the distributors, they cannot pay off the grains.I hope that the next government will pay bigger attention to the agriculture. I hope that, if possible, there will be not only subsidies but also low-interest loans, so as to be able to start the next year.Source - http://www.freshplaza.com/