NEWS
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News
02.03.2015

Georgia - Ministry of Agriculture is working on the concept of agro insurance

Otar Danelia, Minister of Agriculture met with Michael Kortenbush, representative of BFC Consulting. The company carries out a survey of agro insurance potential and opportunities in Georgia. BFC Consulting will represent the first phase of research results for agro insurance potential and opportunities on 13 March 2015; Therefore the second stage priorities will be also defined."Agro insurance is one of the most important components for agriculture sector development. The work sheets for final document together with BFC consulting will be completed by the end of May. The document will define what sort of insurance policy or long-term vision to choose as well as the role of Government in policy making and implementation", - said Mr. Danelia.Nodar Kereselidze, First Deputy Minister said that next stage includes all sides responsible for further implementation of the concept to be involved in the working process. The above mentioned sides will be the Ministry of Agriculture, Agricultural Committee, the Insurance Association, Insurance Companies and Financial Institutions."We have already gained a certain kind of experience on the basis of agro insurance pilot program carried out in 2014. I think it is important to take into account the results of the above mentioned pilot program in the final stage of the drafting process of the agro insurance concept" - said Mariana Morgoshia.Source - http://moa.gov.ge/

02.03.2015

Georgia - IFAD Launches USD 18 Million Climate-Smart Project

The International Fund for Agricultural Development (IFAD) announced the “Agricultural Modernization, Market Access and Resilience” (AMMAR) project – worth more than USD 30 million – designed to help small scale famers increase incomes and resilience to climate change. The project will be implemented from 2015 to 2019.Georgia’s agriculture sector is highly vulnerable to climate change, leading to serious production losses and threats to food security. Increasing aridity is threatening to devastate already semi-arid eastern Georgia by the end of the century, according to IFAD. The program aims to mainstream climate-smart agricultural value chains driven by the needs of small-scale farmers, while simultaneously supporting other elements of the value-chain – such as agro-business, cooperatives, and extension and input service providers. The objective is to increase small-scale famers’ income by 20% in more than 10,000 households.Since 1997, IFAD has invested a total of USD 52 million in Georgia, leveraging an additional USD 72 million in co-financing for five programmes and projects benefitting approximately 93,000 rural families.Source - www.ifad.org

02.03.2015

Australia - Agency moves into WA grain market

Crop insurers Insurance Facilitators is to enter the multi-peril crop insurance market in WA.Lloyd’s, with Catlin as lead syndicate, will underwrite the agency's Cropsure product for this year’s growing season.“Cropsure is designed to cover the production costs of farmers from a multitude of perils,” told Insurance Facilitators Development Manager Julian Day.“We have focused on developing a multi-peril product during the past few years following extensive consultation with the farming community, peak bodies and industry groups.“We feel the time is right to enter the market.”Mr Day says Insurance Facilitators has focused on getting the underwriting model right, so the product is priced appropriately for farmers.“We have to attract the mid-tier farmers, and that will be a challenge. But farmers and their banks are understanding the advantages of multi-peril insurance better.”The product will be offered through Insurance Facilitators’ network of authorised brokers.Insurance Facilitators has offered broadacre fire and hail cover to the market since 2003. It hopes to roll out the multi-peril crop cover nationally next year, Mr Day says.Source - http://insurancenews.com.au/

02.03.2015

Australia - Allianz drops Latevo to launch own crop cover

Allianz has severed its multi-peril crop insurance underwriting agreement with Latevo International.“We have a new underwriter but we cannot name [it] at this point,” told Latevo CEO Andrew Trotter.“We will be naming it in the coming weeks.”The move comes as Allianz-owned Primacy Underwriting Management launches its own multi-peril crop insurance.Its PrimeGuard product offers limited-release cover for broadacre farmers in non-drought-affected areas. It covers perils beyond the standard fire and hail risks.Primacy MD Bernie Mayers told it offers a comprehensive and affordable product underwritten by Allianz.“Broadacre farmers are facing increased risks from variability in climatic conditions,” he said. “PrimeGuard provides growers with a degree of certainty in an ever-changing environment.”Mr Mayers says insured perils include drought, excessive rainfall, frost, wind and wildlife damage.“Following two years of extensive consultation with our brokers and policyholders, we are confident PrimeGuard will provide broadacre growers with the protection they need, and when they need it most,” he said.Source - http://insurancenews.com.au/

02.03.2015

Climate Insurance Fund signs up BlueOrchard & CelsiusPro

The Climate Insurance Fund, an initiative set up by German Development Bank KfW, aiming to improve access to and the use of weather and climate insurance in developing countries, has signed up BlueOrchard partnered with weather index insurance specialists CelsiusPro, to manage the fund.The Climate Insurance Fund is designed to be a thematic fund aiming to reduce the vulnerability of micro, small and medium enterprises as well as low-income households to weather-related threats by investing in insurance related businesses. As an impact investing opportunity, it will enable access to a social investment opportunity, with the allocation of capital being used to help to expand the development of and access to weather and climate insurance products.The fund has been looking for a manager and BlueOrchard, an experienced investment manager in the microfinance space, in a partnership with CelsiusPro has won the rigorous international tender process, to be appointed as Fund Manager. The partnership brings together BlueOrchard’s leading track record in microfinance and strong network in the field, with CelsiusPro’s in-depth expertise in climate, weather and catastrophe insurance products, from structuring to origination, and its proprietary pricing platform.Patrick Scheurle, BlueOrchard’s Chief Operating Officer, stated; “The Climate Insurance Fund is a perfect fit for our portfolio of investment solutions and perpetuates BlueOrchard’s long tradition of empowering the most vulnerable in our global community.”Mark Rueegg, Celsius Pro’s Founder and Chief Executive Officer, added; “The Climate Insurance Fund is a unique solution to an increasingly urgent global issue and we appreciate the opportunity to provide our expertise in climate insurance to such an initiative.”The objective of the Climate Insurance Fund is to contribute to the adaptation to climate change by improving access to and the use of insurance in developing countries and emerging markets. The Climate Insurance Fund provides financing to qualified insurance companies and intermediaries based in developing countries that offer insurance solutions against extreme weather events and natural catastrophes and/or agricultural insurance.As a result the Climate Insurance Fund will be strongly biased towards helping parametric and weather index linked insurance products to develop, advancing these growing markets. CelsiusPro’s expertise in creating, measuring, structuring and pricing weather index and weather derivative products will prove invaluable to the fund manager’s activities and likely be used to help financed initiatives to get off the ground.Source - http://wrma.org/

27.02.2015

Bulgaria - Growers to receive 18 million Euro in subsidies

For the third consecutive year, producers of quality fruit and vegetables will receive subsidies from the national budget. This year the amount is the highest ever, 35.2 million Lev (approximately 18 million Euro). The funds will go to over 2,000 producers who have applied under the scheme and have received the necessary certification for their products.In the previous two years, the funding was of 15 million Lev (7.67 million Euro). The funding applies to ten types of fruit and vegetables, including tomatoes, cucumbers, peppers, apples, cherries and peaches. The subsidy per tonne of production is of 160.38 lev (€ 82), according to the order of the Minister of Agriculture, Desislava Taneva, which was published on Tuesday.Not only the amount of funding has increased, but also the number of companies that benefited, which will reach 1,500, compared to the 400 that received money in the first campaign.The funds will support the production of nearly 220,000 tonnes of products, with about three-quarters of them going to cherry, peach and pepper producers, who were the most affected by rainfall and hail storms last season.Source - http://www.freshplaza.com/

27.02.2015

Georgia - New state program of 15m lari to be lauched to promote targeted usage of agricultural land

In order to promote targeted usage of agricultural land, new state program “Introduce Future” with budget of 15 million lari will be launched. The program will be implemented during 2 years in all municipalities of the country (except Tbilisi, Rustavi, Batumi and Poti).“The government will assist with co-financing principle to entrepreneurs in financing costs of gardens’ cultivation and creation of nursery farms”, said Georgia’s Prime Minister Irakli Garibashvili in his speech on the project’s presentation.As the Premier declared, he hopes that implementation of the project “will promote agriculture development, opening of new enterprises, growth of export potential of agricultural products of the country, enabling farmers and entrepreneurs to produce high-quality products”.“The project envisages two components: one is cultivation of perennial gardens, while another – arrangement of nursery farms”, Garibashvili noted and added: “beneficiaries of new project will receive qualified assistance, which will be provided by Scientific Research Center, established with support of the government”.Source - http://www.sarke.com/

27.02.2015

Georgia - Budget of agroinsurance program for 2015 in doubled

Budget of agroinsurance program for 2015 will make up 10 million lari, the Agriculture Ministry reported. To compare, pilot agroinsurance program, being implemented in 2014 (was launched on September 1), had involved 5 insurance companies (GPI Holding, Aldagi, IC Group, Irao and Cartu), while its budget made up 5 million lari. This year, 6 companies expressed desire to take part (GPI Holding, Aldagi, IC Group, Irao, Ardi Group and Unison).The program will be implemented by the Agriculture Project Management Agency again. To note, eligible beneficiary of the program (private individual or legal entity) should have agricultural land plot of no more than 5 ha (in case of a wheat crop – no more than 15 ha) in property, in use or in factual ownership. These restrictions do not apply for registered cooperatives.The state subsidizing will be 60% in this year. The franchise will be calculated according to real productivity (in 2014, it was calculated according to insurance limit).In addition, common method of damage assessment according to each crop is envisaged (did not exist before). The companies will be allowed to issue policies only according to agricultural terms, while Agriculture Project Management Agency will provide subsidizing after policies’ verification. This year, agroinsurance program will last until December 11.Source - http://www.sarke.com/

27.02.2015

Georgia - Agroinsurance program to be continued

The government’s administration reported that program on harvest insurance will be carried out in this year as well. Draft of the corresponding order was approved at the government’s meeting today. According to the draft, “upper margin of insurance tariff will be defined. At that, the government will cover 60% of insurance’s tariff, while 40% will be paid by the insurer”, the government said.For the first time, the similar program was carried out as a pilot one in 2014. As the government reported, the program was launched on September 1 and in 2 months, 15,622 policies were issued, resulting in insurance of harvest of 143.698 million lari. In total, according to the Agriculture Ministry, over 21,000 policies were issued in 2014, through which 34 different crops on total area of 19,000 ha, having total value of over 150 million lari, were insured.As the Minister Otar Danelia noted, within the agreement between the Ministry and German development bank (KfW), first phase of study is completed and certain recommendations on agroinsurance model were provided by BFC Consulting. “At this stage, we have envisaged all objective and important recommendations”, he declared.The government said that some amendments were made in the new program, in particular, conditions for reimbursement were specified, as well as procedures and terms of insurance contract and terms of insurance premium’s subsidizing.Source - http://www.sarke.com/

27.02.2015

Ukraine - Winter grains harvest failure to reach 8%

In Ukraine the areas of winter grains harvest failure will total nearly 8% , declared Tatiana Adamenko, Head of the department of agrometeorology of the Ukrainian hydrometeorological center, on February 26 during her report "Current condition of winter crops and prospects for the harvest-2015" at the round table discussion "Prospects for the harvest-2015: condition of winter crops and spring crops planting forecasts".According to the forecast of the hydrometeorological center, in the beginning of spring the planted areas of winter crops in poor condition will reach 12-15%. At the same time, the complete crop failure is expected throughout 8% of the areas. The remaining crop areas of 4-7% will be just weak and thinned.The expert stressed that most planted areas of winter crops in poor condition (over 20%) are located in Odessa, Kirovohrad, Luhansk and Chernihiv oblasts.Source - http://finchannel.com/

27.02.2015

UK - ‘Warrior’ fungus could wipe out a quarter of wheat crop

An aggressive fungus could wipe out a quarter of British wheat crops this harvest season, scientists have warned.The virulent ‘Warrior’ strain of yellow rust has been found in many crops in the UK and experts warn it could present a serious threat to wheat production.The National Farmers Union warned that around a quarter of British crops could be affected and said that European pesticide bans were making it more difficult to control.Yellow Rust can cause significant reductions in quality and yield, and in some cases, lead to the loss of the entire harvest.Farmers have been urged to spray crops thoroughly but scientists say they are unsure if regular fungicides will be affective against the new strain. Many more powerful chemicals have been banned by Europe.Guy Gagen, Chief Arable Advisor at the NFU, said: “Naturally farmers and the NFU are concerned about new strains of disease adaptation to UK conditions.“Yellow rusts are more prevalent in the East of the country and can impact yields significantly, up to 25 per cent for individual crops when conditions are right. But this is potentially even more serious.“If one quarter of the crop grows then that is very serious for farmers and they may not be able to make a profit.”The new fungus strain has adapted to warmer temperatures and overcome many of the major defensive genes in wheat. It appears to have come from abroad and could have travelled in the air or attached to clothing, experts believe.Researchers from the John Innes Centre, The Sainsbury Laboratory, The Genome Analysis Centre and the National Institute of Agricultural Botany sequenced genetic material from 39 infected samples of wheat collected from 17 UK counties.Of the samples, 11 were genetically similar to a strain called “Warrior” strain which emerged in 2011 as a serious threat to European wheat production.The samples showed that the fungus had enhanced its ability to overcome disease resistance in wheat.Lead author Diane Saunders of the John Innes Centre and The Genome Analysis Centre (TGAC), UK, said: “Our research shows that in the UK we have a newly emerging population of wheat rust fungus that could be the result of an influx of more exotic and aggressive strains that are displacing the previous population.“Yellow rust is always a serious problem and this is a more virulent strain. We don’t really know how things will pan out, but it’s in every area that we grow wheat.“ We don’t know until the summer if it has taken hold and how far fungicides have worked.”Source - http://www.telegraph.co.uk/

27.02.2015

Canada - Crop insurance coverage rises, hemp added

an is increasing crop insurance coverage to its second-highest level ever, and adding hemp to its list of insurable crops.On average, coverage levels are increasing to $183 per acre, up from $162 per acre in 2014. Premiums are going down to an average of $7.06 per acre from $7.47 in 2014. Coverage was even higher - $194 per acre - back in 2013, reflecting higher prices.As well, the province's crop insurance corporation said it will separate out the premium on unseeded acreage so producers get a clearer idea of what they're paying for.Announcing the changes, Agriculture Minister Lyle Stewart said he's confident the Saskatchewan Crop Insurance Corp. (SCIC) was charging the right amount for unseeded acreage, but added, "we were unsure we were getting it from the right people." No longer will a producer be able to insure a small amount of their crop while receiving unseeded acreage coverage across all of their land, he said.So while some producers' premiums will grow, about 80 per cent of producers insuring unseeded acres will see premiums fall, added Stewart, who said the principle behind this is that "the greater the risk, obviously, the greater the premium will be.""This is about equity and fairness for the program," said the minister, who added coverage will be available at levels of $50, $70, $85 or $100 per acre, depending on individual needs.Responding to this change, the Agricultural Producers Association of Saskatchewan said it made the crop insurance program more complex. President Norm Hall said APAS instead had been looking for changes that would better address risk associated with excess moisture, and added that existing multi-peril crop insurance "is starting to be eroded."Stewart said the addition of hemp reflects its growth - from just under 25,000 seeded acres in 2013 to over 40,000 last summer - and noted that other crops' coverage has been successfully launched on even smaller areas. Reviewing the year's operations, Stewart said SCIC insured 27 million of the province's 35 million acres of farmland, a "strong reflection" of the value producers put on the joint federal-provincial crop insurance program.He said 2013 was "challenging" with many producers facing wet conditions during seeding, then flooding later. In all, SCIC provided coverage of $193 million, including $58 million for quality losses.The altered coverage for unseeded acreage allows producers to pick the level of coverage that suits them, noting last year's wet weather saw SCIC pay out $78 million in coverage on 1.4 million acres that couldn't be seeded because of excess moisture.Encouraging producers to sign up for crop insurance, Stewart said the government is "not interested" in ad hoc programs for weather-related disasters for 2015 "or, for that matter, for any other years."He also reminded livestock producers of the SCIC's participation in the new western livestock price insurance program, noting it attracted coverage for 15 per cent of the 2014 calf crop, with "another good response" expected this year.Source - http://www.thestarphoenix.com/

26.02.2015

Spain - Presence of Trioza erytreae in Galicia confirmed

The Government of Galicia has confirmed the presence of the Trioza erytreae, a small African insect called psyllid, which causes the deterioration of citrus, and has been detected in part of the coastline of southern Galicia. The authorities have also explained the measures needed to combat it. Kiwis, mandarins, lemons, grapefruit and oranges are the main products that can be damaged by the pest.The Galician government has asked citrus plantation owners to check their trees and, if found to be affected (symptoms are very clear, with clearly visible blisters on the leaves), to report it immediately to the authorities of the Rural Environment Council. They are also demanding citrus farms to implement the mandatory phytosanitary measures.Environmental agents also asked all traders selling plants of the Rutaceae family, both ornamental and for fruit production, to ensure that the plant includes the necessary phytosanitary certificate, and in case the pest is detected, for it to be notified urgently to the provincial plant health services.The Government of Galicia also notes that the presence of the psyllid is quite focused on two points of the Galician geography, although it doesn't rule out the possibility of it having gone unnoticed in other areas, since citrus plantations in Galicia are generally not very large.The African psyllid was first described in 1918, but up until now, the insect had never been detected in Europe.Source - http://www.freshplaza.com/

26.02.2015

USA - USDA proposes new rule to expand crop insurance for fruits, vegetables

USDA is proposing changes that could lead to the expansion of crop insurance to additional crops, including many fruit and vegetables.The proposed rule addresses changes required under the 2014 farm bill - supported by Debbie Stabenow, D-Mich., the ranking member of the Senate Agriculture Committee and other panel members -- that will reform USDA's process for developing new crop insurance policies.“For too long the federal crop insurance program hasn't fully included our nation's fruit and vegetable growers,” said Stabenow. “That's why we fought for reforms in the farm bill to put these producers on equal footing with traditional commodities.”In addition, Stabenow said, “We should be encouraging the production of fruits and vegetables with the same level of commitment that we support row crops and traditional commodities.”The proposed rule is aimed at improving the submission process for insurance policies to the Federal Crop Insurance Corp.The Federal Crop Insurance Act allows private individuals and groups with crops or livestock to develop insurance products for consideration and approval by the FCIC board of directors.The proposed rule requires the board to first consider underserved and uninsured commodities. The second consideration must be policies for commodities that have inadequate coverage or low levels of participation under existing insurance products. Policies that do not fit into the first two categories may then be considered, according to USDA's Risk Management Agency (RMA).The board also would have the authority to approve an advance payment of an additional 25 percent, above the current 50 percent, of estimated research and development costs of products that the board determines provide coverage for underserved regions or crops, including specialty crops.In addition, the proposed rule includes funding for a pilot program for a new type of insurance that targets previously uninsured producers.“These improvements will help expand and improve crop insurance to underserved crops,” RMA Administrator Brandon Willis in a release. “We are continuing our work to ensure that a wider variety of producers have access to sound risk management tools to keep themselves protected from disaster.”Source - http://www.agri-pulse.com/

26.02.2015

USA - Late February freezes damage Georgia blueberries

Estimates vary on how many blueberries were damaged during a series of late February south Georgia freezes.The freezes hit Feb. 17-20 and during the early morning hours of Feb. 20, temperatures fell into the low 20s for several hours in the Alma, Ga., Baxley, Ga., and Homerville, Ga., blueberry growing regions, damaging the early part of the southern highbush crop.Damage estimates are 10%-30%, said Lee Cobb, vice president of business development for North American blueberries for Salinas, Calif.-based Colorful Harvest LLC.Georgia harvests two crops.The southern highbush typically starts in mid- to late April while the rabbit eye crop usually begins in late May.Temperatures were so cold that some growers ran frost protection until the morning of Feb. 21 and the ice damaged many limbs, he said.“The net result is Georgia is going to start later because their very earliest fruit was what they lost,” Cobb said Feb. 24. “They may not pick until late April, which means Florida will be more out of the picture than normal when Georgia starts picking.”South and central Florida usually finish in early May with north Florida harvesting through late May.Losses were higher for growers that didn’t irrigate, said Stacy Spivey, the Vidalia, Ga.-based North American berry program director for Alpine Fresh in Miami.“We took a hit with the cold and wind,” he said Feb. 24. “I’ve visited a lot of fields. The growers that didn’t run water, it looks like they may have lost as much as 30%-40% of the early crop. The growers that ran frost protection only lost 10%-15%.”Spivey said he expects harvesting to begin on-time and said buyers should expect high quality fruit in volumes similar to industry projections.Last year, Georgia growers harvested 56 million pounds of fresh berries, higher than the 32 million they harvested in 2013.Eric Crawford, president of Sunrise, Fla.-based Fresh Results LLC, said damage is likely minimal and shouldn’t affect the deal’s overall production.“They certainly lost 10%-15%,” he said in late February. “Some lost more than others but they’re upbeat and feel they haven’t really lost a lot. I think we got through it better than anyone expected.”Because of the region’s many microclimates, Crawford said it’s difficult to make blanket damage statements and said larger growers experienced higher percentage of losses because of bigger and more open fields.Homerville, which normally starts April 10 with an early variety, likely won’t begin until April 20 with Alma and Baxley set to begin closer to May 1, said Teddy Koukoulis, director of blueberry operations for Plant City, Fla.-based Wish Farms.“A lot were hoping to be early this year but that won’t happen,” he said Feb. 25. “Instead of starting the first week of April, they’re now looking at the third week of April.”In north Florida, temperatures also fell into the low-mid 20s while south Florida vegetable growers saw temperatures around 30 degrees.Florida grower-shippers of blueberries, tomatoes and other vegetables report minimal damage.Source - http://www.thepacker.com/

26.02.2015

Insecticide important for many crops

Concern about seed treatments like neonicotinoids and their possible damage to pollinators — especially bees — is a subject farmers should be aware of.Tom Kroll, seed treatment product manager for Nufarm Americas, Inc., spoke to farmers at the recent Corn/Soy Expo in Wisconsin Dells and mentioned that the concern about seed treatments and their possible impact on bees was largely based on laboratory data."That doesn't always translate to the field," he added.Farmers have a number of things on their minds besides their seed treatments, he said, but Kroll urged them to be aware of the issue. Concern about neonicotinoids among environmentalists and the general public has caused the product to be banned in several countries.Neonicotinoids make up the vast majority of seed treatments and are used on about 95 percent of seed corn and half of all soybeans.This class of insecticides was developed in the 1980s and 1990s and was quickly adopted because they are less toxic to animals and birds than the insecticides that were previously used.However, studies in recent years linked the chemical to honey bee colony collapse disorder (CCD) and led to the concern about neonicotinoid — a neuro-active insecticide similar to nicotine, hence the name.Kroll said studies in the field in Europe have found that CCD "has nothing to do with the insecticide" and is more about the varroa mite, a parasite of honey bees.It's important for agriculture to retain access to this class of seed treatments, he said. They are used on eight major crops including corn, soybeans, wheat, cotton, canola, sorghum, potatoes and tomatoes."These seed treatments allow the right amount of product to be applied at the right time. It's much better than foliar applications and it decreases the number of spray applications."The treatments, which are effective against soil insects, provide necessary protections for seeds, he said, so plants have a strong, healthy start.The use of these seed treatments also enables farmers to make better use of conservation tillage practices.Kroll told farmers that if neonicotinoids were not available 77 percent of the currently treated acres would switch to other insecticides.That would mean going back to older classes of chemicals and higher usage levels. Every one pound of neonicotinoid would very likely be replaced with about five pounds of an alternative chemical, he added.In addition, crop yield would very likely suffer, based on scientific trials."Neonicotinoids have become a popular media target," he added.The insecticide is "an easy target" but he maintains that the decline in honey been populations began in the 1950s – decades before use of neonicotinoids began. He blamed the declines on parasites like the varroa mite which transmits viruses among the bees.Other causes of the collapse of bee hive colonies could include weather patterns and loss of nutrition for bees."Can pesticides cause problem? Obviously they can. I'm talking about proper use of pesticides."He suggested farmers look at the website www.seed-treatment-guide.com which provides information about seed treatment stewardship. It is sponsored by the American Seed Trade Association and Crop Life America.Kroll urged farmers to be aware of conditions that could cause unwanted exposure to pesticides like wind direction and wind speed. He said they should be aware of hives and flowering habitats where bees make their homes and get their nutritionFarmers should also remember to properly dispose of materials and ensure that no treated seed gets into commodity channels, he said.Source - http://www.wisfarmer.com/

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