Agroinsurance

Georgia - Small farmers to receive GEL 60 million in support through cards scheme in 2015

Minister of Agriculture Otar Danelia said 800,000 small farmers will benefit from GEL 60 million allocated to agricultural activity support and the agriculture card scheme in 2015. GEL 140 per hectare is to be allocated to plowing.This will bring the 3 year support program for small farmers to an end, said Danelia, adding that 400,000 hectares have been cultivated through the program.In the meantime, the Minister envisages a taxation scheme to encourage sowing of uncultivated land, currently totaling some 350,000 ha. The taxation scheme, used effectively in many European countries, lowers taxes for cultivated agricultural land while increasing taxes for uncultivated agricultural land, according to Danelia. The taxation scheme does not apply to farmers with land up smaller than 5 hectares, he added.Source - http://sarke.com

Georgia - “Agro Guide” to benefit farmers and investors

Georgia’s Ministry of Agriculture has started working on the first agricultural industry information guide to benefit investors, farmers and others who are interested in Georgia’s agricultural sector.The guide will be officially published in two months and provide detailed information about Georgia’s agricultural industry as well as offer a more comprehensive look at specific topics, such as soil analysis and the variety of crops that can be cultivated in Georgia.The guide will also describe the sector’s infrastructure, such as roads, gas pipelines, electricity lines and irrigation systems.Georgia’s Deputy Minister of Agriculture Gocha Tsopurashvili said Georgia could produce 90 percent of the world’s agricultural crops and the country was going to use its innate resource more effectively to benefit those in the agricultural sector and the economy as a whole."Such a document has never existed in Georgia until now. We aspire to create conditions beneficial for investors and farmers so they have all the information they need about Georgia’s agricultural sector,”- he said.The information guide will be provided on the Ministry’s webpage.Source - http://www.interpressnews.ge/

Armenia - Government to subsidize agricultural loans

The Government of the Republic of Armenia in 2015 will subsidize the agricultural loans by 6%.The Minister of Agriculture of the Republic of Armenia Sergo Karapetyan reminded that since April 2011 the agricultural loans were provided with accessible interest rate (14%) and the 4¬6% of which were subsidized for 255 needy communities.“It is expected that with the adoption of the project, the level of the agricultural loan accessibility will rise and preconditions will be created for economic stability, increase of the competitiveness of local products and the volume growth”,- said Sergo Karapetyan.Source - http://armenpress.am/

USA - Apple, peach crops threatened

The March snow and cold has some southern Illinois farmers fearing it could kill their crops.Ren Sirles, owner of Rendleman Orchards in Alto Pass, Ill. said late winter storms like what are appearing this year have killed entire apple and peach crops in the past."We lost them all in 2007," Sirles said.Eight years ago a mid march warm up combined with an early April freeze killed the crops.“The buds are only made once a year," Sirles said. "So once you lose them, you're done for that year.”The recent ups and downs in temperatures could cause the crops to bloom to early.“We'll have to cross that bridge when we get through this could spell. And hopefully we've got a crop to worry about,” he said.If the fruits bloom early and temperatures take a dive, there's a risk crops could suffer.Source - http://www.freshplaza.com/

Peru - Potato crops affected by the rain

The Department of Agriculture reported that more than 1,300 hectares of potatoes had been affected in the last month by the hail and the diseases caused by this season’s rains.The reports of damage correspond to the provinces of Yarowilca, Dos de Mayo, Huamalíes, Huacaybamba, Lauricocha and Ambo.23 of the 51 reports of damages occurring between January 15 and February 15, took place in potato crops in the province of Yarowilca. According to the specialist of the Department of Agriculture, Teófilo Vidal, during the last month the incidence of accidents at the regional level soared, especially in the highlands, in Yarowilca.He noted that 98 percent of the potato crops had been affected, which is why the Ministry of Agriculture is submitting reports of the incident, through the insurer, to pay the farmers their respective compensation.Vidal also said there had been problems in wheat, quinoa, and vegetable crops but that, unfortunately, these crops weren’t covered by the agricultural insurance against catastrophes.Recently about 400 farmers in the town of Jarpo, district of Chavinillo, who were also affected by the rains, have asked the Ministry to help them via the agricultural insurance against catastrophes for the damages to their potato crops.In that community alone, 400 acres of potato have been affected by the late blight.Farmers, led by the president of the community, Nivardo Santos Gomez, have asked the regional government to help them.Source - http://www.freshplaza.com/

Canada - Sask. crop insurance to treat unseeded acres separately

Saskatchewan Crop Insurance Corp. is changing the way it protects farmers against unseeded acreage losses. Producers who buy crop insurance this year will be required to pay a separate premium for unseeded acreage coverage. Unseeded acreage was previously included in the premiums for regular crop insurance but will now appear as a separate item on farmers’ insurance statements. The premium will be charged on all acres that a producer normally seeds, regardless of whether the land is seeded or insured for yield loss. Crop insurance president Shawn Jacques said the decision to charge a separate premium for unseeded acreage was not intended to generate more revenue for the corporation. In fact, most customers will see a reduction in overall insurance premiums, he added. The changes are aimed at ensuring a more equitable application of premiums. “Unseeded acreage is still a function of the program — we’re not taking anything away from producers,” Jaques said. Norm Hall, president of the Agricultural producers Association of Saskatchewan, said the decision to separate unseeded acreage premiums is concerning. “We’re concerned that this could be the edge of a slippery slope,” Hall said. “It’s almost like saying, ‘OK, now you guys are buying flood insurance and this is what it’s going to cost.’ But what’s next? Is frost coverage the next one? Is drought going to have a separate premium as well?” Under the changes, unseeded coverage will still be a mandatory component of multi-peril insurance coverage. Producers who buy multi-peril coverage can choose from four levels of unseeded acreage coverage, with the lowest coverage level set at $50 per acre and the highest set at $100. The average premium for unseeded acreage protection bought at the $50 per acre coverage level is expected to be 54 cents per acre. In low risk areas, the premium could be as low 19 cents. The move will eliminate a situation that allowed some producers to make claims on acres that were uninsured. When unseeded acreage premiums were included in regular premiums, crop insurance clients could buy multi-peril coverage on a small portion of their total land base and still be eligible to collect unseeded acreage payments on their entire farm. A payment for unseeded acres could be triggered on acres that were not insured under multi-peril programs. Under the new system, premiums for unseeded acreage will be applied universally to all acres that are normally seeded by crop insurance clients. Payments will be triggered on all acres that can normally be planted in spring but remain unseeded by June 20. “We were always collecting the right amount of premium, but because (the premium for unseeded acreage) was bundled, there were instances where people may have had a claim even though they didn’t pay a premium on all of those acres,” Jacques said. Hall acknowledged that total premium costs will decrease for most growers, and he said crop insurance’s coverage levels have improved significantly. However, the “decoupling of unseeded acreage from the multi-peril program represents a major change in crop insurance coverage,” he added. Crop insurance paid out $78 million on unseeded acreage claims last year. These claims have been around $820 million in Saskatchewan since 2010. Other crop insurance changes announced Feb. 26 include: - New programming for hemp producers, including $70 per acre establishment coverage. - Enhanced coverage for oat growers that will see the base grade for insured oat acres increased to No. 2 from No. 3. - Saskatchewan Oat Development Commission chair William Zuchkan said the base grade change is a huge announcement for the province’s oat growers. “There’s quite a substantial price difference between a No. 3 and a No. 2,” said Zuchkan, a farmer from Foam Lake, Sask. “Changing the base price … gives producers a little more insurance and a little more stability.” Jaques said the changes in oat coverage reflect the larger proportion of the province’s oat crop that is being sold into higher grades. The average oat producer will see his oat coverage increase by $20 per acre while paying lower premiums. “Even with the enhancement, the average premium per acre for oats will go from $7.55 per acre in 2014 to $7.15 per acre in 2015,” Jaques said. This year’s crop insurance budget is set at $154 million.  On average, coverage levels are increasing to $183 per acre, up from $162 per acre last year. Premiums are dropping to an average of $7.06 per acre from $7.47 last year.  The improved coverage is a result of better forecasted crop prices and higher long-term yields. Source - http://www.producer.com/

Ukraine - In 2015 winter wheat yield decreased by 8%

According to the Ukrainian Hydrometeorological Center, the average yield of winter wheat is expected to reach 3.3 t/ha, against 4 t/ha in 2014 (down 8%), declared Nikolai Kulbida, Director of the Hydrometeorological Center, on March 5.According to him, the winter grain harvest will total 21-22 mln tonnes (in 2014 - 24.3 mln tonnes) in terms of favorable weather conditions.N.Kulbida noted that despite the short-term but significant drop of air temperatures in the winter, the soil temperature at a depth of tillering node varied within 3-12°C below zero.But according to him, the planted areas of winter crops, which condition was estimated as unsatisfactory, totaled 1.2 mln ha, or 15% of the general planted areas.Source - http://finchannel.com/

India - Too early to estimate crop production loss due to rains

The Centre today said it is too early to estimate the production loss in Rabi crops caused by recent unseasonal rains and has asked the states to take measures to protect the standing crops."It is a temporary phenomena. There has been damage in areas where rains were 8-10 cms, while rains of 1 cm in some rainfed areas benefited late sown crops," Agriculture Minister Radha Mohan Singh told reporters outside Parliament.To check price rise, he said, the state governments have also been asked to send proposal to use funds under the Price Stabalisation Fund for procurement of potato and onion.Stating that the Centre is closely monitoring the situation, Singh said that the state governments have given initial estimate of damage of crops and they will submit their final figures after proper assessment.Asked if there would be any fall in Rabi production, the Minister said: "It is too early to estimate. We would be able to tell after the states submit their report."The ministry has issued advisories to help farmers drain out excess water from farm fields and reduce the impact of waterlogging in crops, he said.India's foodgrains production is estimated to fall by 3 per cent to 257.07 million tonnes in 2014-15 crop year on expected decline in output of rice, coarse cereals and pulses due to erratic rain.Wheat production is projected to drop slightly to 95.76 million tonnes in 2014-15 crop year (July-June) from 95.85 million tonnes in the previous year, the Agriculture Ministry had said in a statement while releasing the second estimates.Source - http://economictimes.indiatimes.com/

India - Unseasonal rain damages 80% oilseed, pulse crops

The unseasonal rain last week has wrecked havoc in the region, causing extensive damage to crops and farmers in tears, especially in the tehsils of Nawabganj and Aonla.According to reports, nearly 80% of oilseed and pulses crop have been damaged in these two tehsils. While revenue officials are yet to assess the exact loss to calculate compensation for farmers, officials at the agriculture department estimate that wheat crop suffered 30% losses.Wheat has been cultivated in a total area of two lakh hectare. They explained that the yield per hectare is 39 quintals on an average and ifone quintal per hectare crop suffers damage, it means that 60 lakh quintals of wheat crop alone has been destroyed in a single stroke.Officials attribute the huge loss to last week's hailstorm in the area. According to district agriculture officials, farmers suffered heavy losses, especially in Nawabganj.While agriculture department is still conducting a survey to assess the damage, a majority of farmers complained that officials concerned are yet to visit their fields.The crop damage is to be to calculated by bank officials, revenue teams along with district agriculture officers within 48 hours after state government declares compensation for affected farmers. However, none of the departments concerned has yet submitting their final reports.Talking to TOI, district agriculture officer Ramtej Yadav said, "Farmers in the district suffered heavy losses due to the hailstorm and heavy rain and high speed winds that lashed the region last week. Though our survey is still going on, reports reveal severe losses."Citing Nawabganj block as one of the worst-hit in district, Yadav said, "After the hailstorm, oil seeds, pulse and wheat crops were extensively damaged. Nawabganj block was the worst-hit as size of hail stones were comparatively larger in this area."Yadav said, "Completion of survey will take time due to lack of resources yet data complied so far shows that 30% of wheat and 80% of pulses and oilseed crops were damaged in district."Interacting with TOI, a leading farmer said, "The huge damage is due to the hailstorm followed by wind which first blew from east to west on the first day and from west to east on the second day. As a result, some wheat crop was flattened. Farmers who excessively used chemicals causing sodic soil situation in their fields are facing waterlogging. Crops in all such fields with sodic soil will be damaged as crops will turn yellow in the coming days."Source - http://timesofindia.indiatimes.com/

Spain - Surprise flood ruins 45,000 hectares of farmland

Floods in northern Spain have caused widespread destruction to crop and livestock farms totalling €50 million after continuous rain combined with an early thaw.Farmers in three northern regions rallied earlier this week to save around 20,000 head of livestock after the River Ebro burst its banks over the weekend.Spanish producer organisation COAG has calculated the losses, stating 45,000 hectares of land has been decimated, 60 per cent of which is cereals and fodder crops and 15 per cent spring drilled arable.The brunt of the flooding has occurred in La Rioja, Aragon and Navarra. Government analysts estimate €3.6 million in farm damage in La Rioja alone.On Monday, Spanish agriculture minister Minister Isabel Garcia Tejerina said suffering continued due to the rains being so huge.The government will wait until Friday to adopt a decree-law to mitigate the effects of the flood and define compensation.Minister Tejerina rejected media claims that water policy had been short sighted, telling the Spanish media that a thaw typical of April or May had combined with a continued rainfall period “nobody could foresee”.She insisted flood measures must be both short and long term to protect people and the environment.Ongoing water infrastructure projects in Aragon are worth €850 million, she added.She said: "We have to start preparing and managing water for today and tomorrow, because that is also protecting the environment, caring for people and safeguarding their interests."Meanwhile, COAG has requested that the River Ebro be dredged to reduce the chance of further flooding.It wants to see “realistic and concrete commitments” to economic support.In its suggestions to the government, COAG said: “It is important to understand river bank inhabitants form an essential part of the environment – measures should take into account people and the environment.”The Union called for immediate replacement of farm implements and livestock, an extension on the deadline for aid application and social security exemptions for flooded farmers.Source - http://www.thesheepsite.com/

India - Anantapur in clutches of drought

Farm sector is at stake as famine -like situation continues to prevail all over the Anantapur district for past three years. Unable to get returns on the investment made on the crops, the poor farmers of the district are looking for alternate avenues. The drought is not new to the district. It has been haunting people of the district since a decade.Approximately seven lakh farmers are into agriculture in 63 mandals. Nearly 10.5 lakh hectares were under cultivation.Groundnut used to be the major crop and cultivated in 6.5 lakh hectares. But the area of cultivation is diminishing day by day. It is evident that the area of cultivation has declined to half of it as the number of farmers reduced to 4 lakh by 2014.The situation became worse since three years. The district was severely hit by three consecutive droughts. The government did not extend any help to the farming community, driving many farmers to shift from their profession. The government declared 63 mandals as drought-hit for the year 2014-15. Even during previous year also 63 mandals were declared drought hit. But nothing has been done to mitigate the sufferings of the farmers. The official machinery should implement drought manual.Fodder should be supplied and agriculture loans must be waived off. Even farmers should be paid crop insurance. But nothing this sort seems to be taken place so far. It is alleged that government is wasting time on the pretext of studying the situation. Recent visit of Minister Kamineni Srinivas with BJP members to the drought-stricken Rayalaseema ended up with a mere lip service. Debt-ridden farmers are caught in a desperate situation. This is the high time for the government to take the matter seriously and extend necessary help to the vulnerable community.Source - http://www.thehansindia.com/

USA - Specialty coverages supplement basic crop insurance

CASCADESpecialty crop insurance supplemental options are available for beginning farmers, for food grade soybeans, to upgrade a multi-peril policy and even as rain insurance on defined special events, staff members at Premier Insurance Solutions LLC are reminding current and potential policyholders.What's new on that list for 2015 under the federal crop insurance program is a set of benefits for those who meet the definition of a "beginning farmer." This applies to anyone who has been engaged in farming for less than five years. The years before reaching age 18, spent in postsecondary education (up to five years) or on active military duty are not counted toward the total of five years.The benefits for the qualified beginning farmer are an additional 10 percent federal subsidy on all insurance plans, a yield adjustment of up to 80 percent of the applicable trend-adjusted yield compared to the 60 percent limit for other insured farmers, a waiving of the administrative fee of $30 per crop per county and no charge for a catastrophic insurance policy ($300 in other cases).Eligible farmers qualify for those benefits for up to five years provided they haven't already farmed for one or more years. Depending on how much eligibility remains, a farmer could also qualify for one, two, three or four years.To obtain the listed benefits, a separate Beginning Farmer application must be filed by the sales closing deadline (March 16). Documentation such as school transcripts, military records and a driver's license must also provided.Food grade soybeansFor food-grade soybeans, which have gained popularity in southern Wisconsin and northern Illinois and are in demand for the export market, there is a crop insurance addendum option based on the contracted price for the crop.The specialty soybeans that qualify for such optional coverage are those with low linolenic acid, high protein and low saturated fat. They could also be large- or small-seeded food-grade varieties.Other stipulations for obtaining such an addendum policy are having an actual production history unit and keeping the production separate from other soybeans.The coverage must be chosen by the mid-March deadline for obtaining a policy for annual crops.MPCI policy additionsTo cover items not included in the traditional multi-peril crop insurance policies (MPCI), the private insurance companies that engage in writing policies have developed several policy options or additions, but they come at an extra cost.One add-on allows the grower to select a month other than February for setting the basic price for crop revenue policies. Another add-on can boost the revenue by virtue of one's actual production history records.Some crop insurance companies are also offering add-ons to their hail policies for farmers who want to customize their coverage. They address lodging caused by wind, early replanting, late planting and damage caused by the harvesting equipment head.An add-on offered by the RCIS crop insurance company allows a buy-up on one's protected per-bushel price for corn or soybeans. The company also has add-on options to enhance both late planting and replanting coverage.Other company offersAmong the companies with which Premier is writing policies for 2015, Great American has policy add-on options to address price fluctuations; replant coverage for corn and soybeans; and for individual unit yield coverage within an Enterprise Plus coverage package.Under the name of John Deere Financial, which has sold its crop insurance division to Farmers Mutual and Hail, growers have a choice in 2015 of adding to the crop yield protected in a standard MPCI policy and of obtaining an endorsement for applying BASF crop products on at least 500 acres of insured crops.NAU crop insurance has a replant endorsement that does not require a minimum number of acres and an option of choosing up to four months other than February for setting the basic price for crops on an MPCI policy.ADM Crop Risk, with which Premier is working for the first time, has a group of endorsements bundled with hail coverage along with Enterprise Plus and net revenue supplements. Rain and Hail Insurance has endorsements for replanting corn, soybeans, dry beans and sugar beets; additional revenue coverage regardless of whether a payment is due to a price or yield loss; and a yield enhancement endorsement to an MPCI policy.Growers interested in one or more of those supplements, options or special endorsements can obtain details from their crop insurance agent. The deadline for initial enrollment or changes to an existing policy is March 16.Special event insuranceIn what is referred to as rain insurance for outdoor events, sponsors can obtain a site and time specific policy for activities on which there is a significant financial stake, such as a county fair, dairy breakfast, tractor pull, concert or similar event.In quarter-inch increments, sponsors will be asked to determine how much loss a certain amount of rain would cause for the event.The cost of such coverage is described as "pennies on the dollar" in most situations. Actual costs would be determined on a combination of the amount of revenue at stake, the covered period of time, the rainfall total that would trigger a loss and the location of the event.In addition to all the major grain and forage crops grown in Wisconsin and adjacent states, crop insurance coverage in available in some counties for such crops as mint, cabbage, apples, cranberries, lima beans, green beans, green peas, sweet corn, hybrid seed corn, potatoes and tobacco. Across the United States, crop insurance can be obtained for 128 different crops.Source - http://www.wisfarmer.com/

India - Centre assures help over farmers' crop loss

The central government on Wednesday assured the states of extending all help if required to support farmers who have suffered losses due to the recent rains.Responding to a discussion in the Rajya Sabha on the losses suffered by farmers due to the untimely rain, Agriculture Minister Radha Mohan Singh said: "The Centre is in touch with state governments continuously. The states have sufficient funds... if they need more, they can write to the central government."He said the states can release money to farmers from the state disaster relief funds.The minister informed the house that huge areas of agricultural land were affected because of the untimely rains in Uttar Pradesh, Maharashtra, Rajasthan, West Bengal and Punjab.He further added that the government plans to launch a new agricultural insurance scheme by the name of Krishi Amdani Beema Yojana to reduce the financial burden of the farmers, in case, their crops get destroyed.Source - http://www.newkerala.com/

China - Agricultural insurance up 6.2 pct in 2014

China's agricultural insurance pocketed 32.57 billion yuan (5.29 billion U.S. dollars) in 2014, an increase of 6.2 percent year on year, according to the China Insurance Regulatory Commission on Wednesday.The number of insured farms reached 247 million, up 15.71 percent year on year, according to a statement on the commission's website.Over 1.5 billion mu (100 million hectares) of crops were covered, accounting for 61.6 percent of the nation's total.Corn, rice and wheat recorded high insurance coverage rates of 69.5 percent, 68.7 percent and 49.3 percent respectively.Agriculture insurance in China has seen rapid growth since a subsidy program was piloted in 2007. Following the success of the project, the Ministry of Finance allocated 12.69 billion yuan to subsidize agricultural insurance in 2013.Initially on trial in six provincial regions, involving five planting species, the program was rolled out across the country from July 2014, and 15 plant species, as well as livestock breeding and the forestry sector are now covered.The China Insurance Regulatory Commission, and the ministries of finance and agriculture vowed to further improve agricultural insurance by increasing coverage and reviewing the items.Source - http://www.shanghaidaily.com/

France - €5.2 million financial aid following agricultural disaster

The French Interior Minister, Bernard Cazeneuve and Minister of Agriculture, Stéphane Le Foll announced the release of over €35 million of State assistance for collectives in areas in the South of France affected by the bad weather in July, September and October 2014, and over €5 million for farmers in this area, following an agricultural disaster.Between July and November 2014, the South of France was affected by a series of heavy rainfall followed by flooding, creating substantial damage.€5 million as aid following agricultural disasters will be released for farmers to compensate for their loss of uninsured harvest. €4.2 million of this sum will go to farmers in the Aveyron, Ardèche, Lozère, Hérault and Gard regions, and almost €1 million to those in the Pyrénées-Atlantiques.Source - http://www.freshplaza.com/