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06.01.2015

Romania - EUR 7 bln paid as aid to farmers in 2014

The Agency for Rural Investment Financing (AFIR) has paid nearly EUR 7 billion up to the middle of december last year to the beneficiaries of the 2007-2013 National Programme for Rural Development (PNDR). The amount is equivalent to a usage rate of 78 percent of the European funds directed to agriculture and rural development, according to AFIR information.Since the beginning of PNDR in 2014, AFIR received and checked 149,016 financing applications worth EUR 18.3 bln. By mid-december, 96,569 projects had been selected for grants in total of EUR 7.2 billion.More than 75,000 farmers were supported by the programme, including 12,982 under the age of 40 years. Financing went to 2,702 farms, 1,042 processing units, and 3,600 kilometres of agricultural and forest roads used to collect the products.The Year in Review: AgricultureThe most important event for the local agriculture sector this year by far has been the negotiation and coming into force of the National Program for Rural Development (NPRD) for the period 2014-2020, which regulates how local farmers can gain access to the EUR 8 billion of EU funds available for investment projects until 2020.Increasing agricultural production through higher productivity and investments in the production of value-added goods are the main two objectives the Romanian authorities had in mind in drafting the NPRD for 2014-2020, according to ministry representatives.Source - http://www.blackseagrain.net/

06.01.2015

USA - Farm Bill brings new crop programs

With the passing of the 2014 Farm Bill, producers and land owners have some important decisions to make regarding their involvement in the federal government's crop programs. A major change was the integration between the use of crop insurance and the bill's programs. The new bill eliminates the old DCP and ACRE programs, allows land owners to update their yields and reallocate base acres and gives producers the power to decide which of new programs they want to participate in."This is much more based on risk management where the old programs were price support programs, that's the main difference," said University of Minnesota Extension Educator Robert Holcomb. He was among the presenters at a seminar held at Southwest Minnesota State University Monday that aimed to explain the options and strategies farmers could use to navigate the new crop programs."(Land owners) need to update their yields and then they need to choose whether they want to keep their old base acres or update it to say what they are planting," Holcomb said. "There's some people that may not have updated yields since the 1980s. In my mind, there is no reason why you don't go in there and update your yields because they're going to benefit from that moving forward."After land owners make their decisions, producers will need to elect which new program to enroll in that are offered in the 2014 Farm Bill. Agricultural Risk Coverage (ARC) offers revenue protection at either the county level (ARC-CO) or individual farm level (ARC-IC) where payments are made when the actual revenue is less than the ARC guarantee. The other program, Price Loss Coverage (or PLC) offers price protection where payments are made when the effective price is less than the reference price for a covered commodity. With either option, farmers will need to decide which program best fits them and their farmland and the type of risk management they want."What the producers really need to decide this year is what is important to them." Holcomb said. "If protection against catastrophic losses is very important, then they need to pick PLC. If they're concerned about yield loss and revenue protection, then they need to go with ARC-CO."Land owners will need to decide if they will update their yields and base acres by the end of February, and producers will need to elect which program to choose by end of March. Recent price drops and unpredictable weather don't make their decisions any easier."Nobody knows that the future is going to bring, let alone four years out," Holcomb said. "That's what makes these decisions difficult."Source - http://www.marshallindependent.com/

06.01.2015

USA - Area farmers receive $5.6 million for 2012 crop damages

Local farmers are already benefiting from programs in the 2014 Farm Bill, including one that allowed them to retroactively collect insurance on the 2012 crop.Cherry farmers suffered severe losses in 2012, when freezing weather followed an unseasonably warm stretch in March. Michigan growers lost 97 percent of the tart cherry crop that year, but still had to maintain the unproductive trees like they would in any other year.A new program allowed 221 producers in Antrim, Leelanau, Benzie and Grand Traverse counties to collect more than $5.6 million retroactively, according to data from the Farm Programs division of the Farm Service Agency."We had really taken a terrible loss in 2012 and then we got a nice check that will help us to mitigate the losses from 2012," said John King, co-owner of King Orchards in Antrim County'sCentral Lake.King said the money will go toward repaying loans from the state."The insurance allows us to knock down a little bit of that," King said. "We still lost money in the end."The frost and freeze relief program, part of the 2014 Farm Bill, allowed uninsured farmers who lost their crop to disasters in 2012 to make up for up to 65 percent of their losses. They had to apply for the funds in the fall and the amount was capped at $125,000 per producer.The program targeted cherry farmers in particular, although some other fruit farmers also were eligible.Jim Bardenhagen, the owner of Bardenhagen Farms in Suttons Bay, had been in touch with U.S. Sen. Debbie Stabenow about the program."It was a retroactive thing, which you don't get really often," Bardenhagen said. "It was a real godsend to the fruit growers because they'd incurred those losses in 2012 and it was September 2014 before we could apply for that."Farmers also are looking forward to another provision in the 2014 Farm Bill that will allow them to insure up to 65 percent yield protection for their crop.Old rules used to allow farmers to protect up to 50 percent of their crop yield and get 55 percent of the price back. Now, farmers can receive 100 percent of the price back on 65 percent of the yield. They have until Jan. 14 to sign up through their local Farm Service Agency."It's a tool that's available to increase their means of managing their risk," said Kathy Kozlowski, Farm Service Agency county executive director for Antrim, Otsego, Grand Traverse, Kalkaska and Leelanau counties.Source - http://insurancenewsnet.com/

06.01.2015

USA - California citrus escapes frost damage

California citrus emerged from freezing temperatures that arrived New Year’s Eve largely unharmed as forecast lows did not materialize.For six straight nights starting Dec. 31, citrus growers ran water and wind machines six to 10 hours as temperatures sank to 26 degrees in the coldest areas for brief periods. Overnight lows in unprotected areas fluctuated between 27 and 29 for one to eight hours through the Central San Joaquin Valley, home to 65% of the state’s citrus acreage.The arrival of the freeze — after about 25% of navel oranges had been harvested — spared the industry from anything remotely comparable to the early December 2013 freeze that wiped out $441 million worth of fruit.Fruit still on the trees was better able to insulate itself from the cold due to its greater maturity and higher sugar content. There could be damage to exposed citrus on the margins of groves, but any losses to the remaining 75% of the navel crop and 70% of the mandarin crop are expected to be minimal.“Wind machines have been very effective in holding temperatures inside groves above critical levels, maintaining safe conditions and protecting both oranges and mandarins from damage,” Bob Blakely, vice president for Exeter-based California Citrus Mutual, said Jan. 5 in a news release. “I do not expect to see any impact from this cold event on fruit supply or price.”Mandarin producers and lemon growers, on average, ran their equipment at least 10 hours each night. Navel orange growers ran it for six to eight hours. The citrus industry spent more than $16.5 million on frost protection over six nights.Water and wind machines raised grove temperatures on average three to four degrees, adequate to protect navels, lemons and mandarins.In the first week of January, temperatures were expected to gradually rise.The navel orange crop is estimated at 78 million cartons in the San Joaquin Valley and another 5 million cartons in Southern California.This year’s mandarin crop is estimated at 50 million 5-pound cartons. Most lemon tonnage is in Ventura County; all of that remains on the tree. The San Joaquin Valley has an estimated 10 million carton lemon crop, with about 80% still to be harvested. The entire lemon crop is estimated at 45 million cartons.Source - http://www.thepacker.com/

05.01.2015

Australia - Ag needs better insurance

Australian farmers would get access to as much as $8 billion a year more bank finance to spend on lifting crop and livestock productivity if the industry was better insured, says risk management strategist Jay Horton.The world is apparently awash with insurance industry capital looking for a home in more diverse markets, such the southern hemisphere's agricultural sector.But while Australia badly needs better opportunities to protect farmers from seasonal setbacks and encourage productivity confidence, Mr Horton said the local insurance industry and governments had been remarkably unmotivated about developing innovative risk solutions which worked for producers or tapped into global funds."Every season there's about $20 billion of broadacre agricultural commodity income risk on the line in Australia, yet only a small portion of that is insured by the outside specialists," Mr Horton said."In general, farmers are left alone to take on most of the risk themselves."If crop and livestock incomes were better insured, the flow-on benefits to ag sector confidence would unlock a further $8 billion in extra bank finance to support farmer investment and productivity initiatives."Chasing the ambulanceMr Horton, the managing director management consultancy Strategis Partners, has spent two decades assessing agribusiness risk and providing guidance to companies in the sector.Strategis was also an organising force behind a recent Sydney symposium on the future of farm insurance, particularly multi-peril crop insurance and drought preparedness, from which recommendations were submitted to the federal government's agriculture strategy green paper."There's a huge market for insurers and re-insurers which remains virtually untapped, and the money is available," he said."But despite the real potential benefits available and 30 years of talking about the need for a better, broader insurance system, there are still not enough products, not enough producers insured and not enough commodities covered."Mr Horton said not only were agricultural seasons and profitability getting riskier and needing well planned safety net policies, speakers at the symposium highlighted how much more productive farmers and rural service industries were if they could make decisions knowing there was at least compensation coverage for their input costs when the season turned too dry, too frosty or excessively wet.He described the federal government's $5 billion outlay on drought assistance was akin to "chasing the ambulance to the hospital".Federal drought funding could be more productively spent promoting industry-wide agricultural insurance incentives and business planning strategies.He said surprisingly millions of taxpayer dollars provided government "backstop funding" to the health insurance sector, as well as the workers' compensation, social security, superannuation, home mortgage or motor vehicle industries, but our governments had not encouraged insurers with similar incentives or regulations to promote drought preparedness safety nets in agriculture.Nudging producersJohn Thomson, symposium speaker and Western Australian accountant with RSM Bird Cameron, recommended governments strengthen the foundations for farm risk management with tax refunds on drought insurance premiums, and perhaps $5000 drought preparedness grants to "nudge" producers to take insurance cover.He also suggested a drought aid policy of concessional loans to growers taking "100 per cent no plant" crop insurance coverage policies.The symposium noted how governments could also play a lead role in building better early warning weather systems and data information to help insurers and farmers anticipate and deal with agricultural production risks, including climatic variability.New insurance market entrants CelsiusPro and Latevo were already demonstrating better use of climate data and farm business records could underpin innovative new drought insurance products which may be easily expanded industry-wide.Re-insurance specialist Brian Stamper, from international firm Willis Re, said plenty of reinsurance capital was available to the Australian market, which Mr Horton said was as "an attractive diversification option in a global insurer's portfolio"."While our agricultural market and its seasonal conditions can be volatile, volatility is something insurers understand - parts of the US are pretty volatile, too," he said."If an insurance model to manage agricultural risk is spread across enough regions, farm commodities and perils, you'll get a lot of customers who are not making claims, even if some are."National Australia Bank credit capability specialist Garry Gale said reducing a farmer's risk exposure also made the client more appealing as borrower.Banks liked the idea of farm clients being better informed and more confident when making productivity planning decisions.With multi-peril crop insurance protection or similar drought management coverage they may be eligible for more funds, or more generous lending terms.Source - http://www.queenslandcountrylife.com.au/

05.01.2015

USA - Drought will cost state’s farmers $1.5b

A new study estimates the drought will cost California’s agriculture industry $1.5 billion and untold wages for thousands of farmworkers.With an estimated 420,000 to 700,000 acres of irrigated cropland removed from production this summer, the state expects losses of $810 million in crop revenue and $203 million in dairy and livestock value, and $453 million in added costs due to additional well-pumping, based on NASA space satellite imagery and an economic analysis by Josue Medellin-Azuara and colleagues at the University of California at Davis Center for Watershed Sciences.Although that lost acreage is only 5% of the state’s total agriculture, it hits hard in the towns in Tulare Lake Basin — among the poorest in the state. “There are pockets of real pain and suffering,” said the report’s lead author Richard Howitt, a UC Davis professor emeritus of agricultural and resource economics.The loss of farm jobs swamped overall gains in San Joaquin Valley jobs in nonfarm industry sectors, including transportation, utilities, education and health services, counties report.Even skilled workers — who manage crews, lay irrigation pipes, fix tractors, spray and prune — are working fewer hours.Pilots of fixed-wing aircraft and helicopters, who plant rice fields, said their business was cut by half.The state’s almond production is off by 15%, which means three weeks less work for those who hull and shell at Stanislaus County’s Stewart & Jasper Orchards, said Jim Jasper, a leader in the state’s almond business. Workers who clean, size and box almonds will lose four to five weeks of employment, he said.There are fewer boxes of navel oranges to fill at packing plants — not only because of reduced yield, but also because fruit is smaller, said Bob Blakely of Exeter-based California Citrus Mutual, a trade association of the state’s 2,200 growers. An estimated 78 million boxes of navel oranges will be packed this year, down from 85 million last year.“It affects the whole economy,” said Les Wright, agricultural commissioner for Fresno County, the nation’s top agricultural county, where, compared with last year, acreage planted for lettuce is down 50%; barley, 74%; wheat, 38%; garlic, 34%; onion, 30%; cotton, 22%; and processed tomatoes, 16%.“Not only the field worker, but the truck driver, the fertilizer supplier are affected,” said Wright. “The local cafe. The landlords.”“The drought is like throwing a pebble in the lake,” said John Lehn, chief executive of Kings County Economic Development. “You don’t know where rings stop.”Shawn Stevenson uprooted 400 acres of his 1,200 acres of lemon, orange, almond, pistachio and olive trees at Harlan Ranch in Clovis, farmed by his family since the 1940s. With an unprecedented zero allocation of federal water, there was no way to keep the trees alive, he said.But the toughest decision involved people, not the trees. With yields and revenue plummeting, he was forced to cut four jobs, offering early retirement through incentives in the ranch’s profit-sharing plan to men in their 60s and early 70s.“Of all the decisions you have to make, that is the worst one. The absolute worst,” he said. “These are men I’ve known since I was a little boy. They’re skilled men — they’ve been here 30, 40 years. It’s a tearful thing, for everybody.”At Bettencourt Farms in Hanford, third-generation farmer Aubrey Bettencourt gathered her workers around a table. Some have worked at the ranch almost her entire life. But with no federal water, 800 of 1,000 acres of her family’s farm was fallowed.“We sat down and said: ‘We don’t have the work for you to do to survive. You need to go somewhere where you can. You have skills — it is necessary to go where work is available,’ ” Bettencourt said.“They understand. But it is a big loss for us because there is such depth of knowledge and experience — about the soils. About the crops. The water. The equipment. The computer. And they have contacts on other farms; if there’s a piece of broken equipment, they know who can fix it.“They’re leaving us and the community, taking that knowledge with them,” she said. “They’re picking up and moving.”Source - http://www.fresnobee.com/

05.01.2015

Nepal - Baitadi farmers unaware of crop, livestock insurance scheme

Farmers of Baitadi have not insured their crops and livestock. Most of them do not have any information about crops livestock insurance scheme launched by the government two years ago.Under the scheme, the government provides subsidy on insurance premium for encouraging farmers to insure their crops and livestock. It provides 75 percent subsidy on premium for insurance of crops and livestock. Once insured, farmers will get compensation if their livestock dies or crops get damaged.Unaware of these benefits, farmers of the district are yet to insure their crops and livestock.Insurance companies, who are supposed to attract farmers by publicizing their insurance schemes, are not interested to tell farmers about their insurance policies. Officials say it is one of the reasons why the scheme has failed to attract local farmers.Officials of District Agricultural Office (DAO) said farmers must insure their crops within 15 days of sowing of seeds. Toyanath Joshi, plant protection officer, has promised to start a campaign to make farmers aware of the benefits of insuring their crops and livestock.By paying 25 percent of the premium fee, farmers can get up to 90 percent of the loss as compensation.Source - http://www.myrepublica.com/

05.01.2015

USA - Feds launch ag insurance program to help specialty farmers

Cucumbers, cherry tomatoes, and kale are among the most popular products at Vermont farmers’ markets. But until recently, these specialty crops have not been fully covered by the national crop insurance program.And when Tropical Storm Irene spelled disaster for dozens of farms across the state in 2011, many fruit and vegetable farmers lost their entire harvest that year, and they had no way of recovering the losses.Sen. Patrick Leahy, D-Vt., and Rep. Peter Welch, I-Vt., inserted language in the 2014 Farm Bill that enhances the federal agricultural insurance program known as the Noninsured Crop Disaster Program (NAP) and allows farmers who grow fruits, vegetables and other specialty crops to receive higher levels of insurance for their crops.For some specialty products like berries, squash, or maple syrup, farmers were able to purchase plans through the NAP. But the program only covered catastrophic losses; it kicked in after more than half of the crop was destroyed. At that point, the program covered 55 percent of what was lost.According to Adrienne Wojciechowski and Tom Berry, staffers in Leahy’s office, the shortcomings of the NAP became clear in the aftermath of Tropical Storm Irene in 2011, when floodwaters inundated farm fields at the peak of harvest season.Many farmers did not have insurance. Those that did have coverage under the NAP received modest payments, but they were not compensated for the full value of their crop losses.Leahy and Welch began working on including language in the Farm Bill to provide aid to specialty crops in 2012. The NAP Buy Up program was adopted as part of the 2014 Farm Bill.To illustrate the practical impact of the new program, Wojciechowski offered the example of a hypothetical farm that loses an eight-acre patch of tomatoes, valued at $169,009. Under standard NAP coverage, if the entire crop is destroyed, the farmer would receive a payment of $46,477. Under the NAP Buy-Up provision, the farmer would receive $109,856.In a significant departure from traditional NAP coverage, the Buy-Up provision will help farmers recover from less significant losses. In addition to protecting farms in the event of storm damage, the program will help farmers recover when a bug infestation or an early frost takes a toll on the harvest.The provision also offers fee waivers and premium reductions for farmers with limited resources. The reduced rates are part of an effort to ensure that farms are not wiped out by one bad weather event.Source - http://vtdigger.org/

05.01.2015

Global and China Agricultural Insurance Industry

In 2007-2013, the risk guarantee offered by China’s agricultural insurance rose from RMB112.6 billion to RMB1.4 trillion; a total of RMB76 billion was paid to 143 million peasant households as compensation. In 2013, China recorded agricultural insurance premium income of RMB30.66 billion and paid RMB20.86 billion to 31.77 million affected farmers; 1.1 billion mu of main crops were covered (mu, Chinese unit of area, 1 mu = 1/15 of a hectare), accounting for 45% of the country’s main crops sowing area.Since the implementation of the trial agricultural insurance (mainly crop farming insurance) premium subsidy policy in 2007, central and local governments have subsidized agricultural insurance more and more. In 2013, the central and local financial subsidies were equivalent to nearly 80% of China's agricultural insurance premium.In H1 2013, China’s crop farming agricultural insurance premium income reached RMB15.458 billion, accounting for 79.89% of the total agricultural insurance premium income. Among it, the premium income from rice, wheat, corn and cotton amounted to RMB12.63 billion; a total area of 600 million mu was covered.In 2013, 25 ones of 64 Chinese property and casualty insurance companies offered agricultural insurance services, contributing 4.73% (up 0.38 percentage point from 2012) to the total premium income. During the first three quarters of 2013, China Life Property & Casualty Insurance, Ping An, and Sunshine Property and Casualty Insurance witnessed the strongest growth momentum with the respective growth rate of more than 500%. The People's Insurance Company (Group) of China (PICC) was still a main agricultural insurance operator and enjoyed 54.01% market share.China's first specialized agricultural insurance company – Anxin Agricultural Insurance is engaged in traditional crop farming and aquaculture insurance. In 2013, it earned agricultural insurance premium income of RMB276 million, accounting for 33.2% of the total premium income with a loss ratio of 52.9%.As the only mutual agricultural insurance company in China, Sunlight Agriculture Mutual Insurance mainly offers crop farming insurance, aquaculture insurance and other agriculture-related insurance. In 2013, the company’s agricultural insurance premium income hit RMB2.354 billion, occupying 91.5% of the total premium income.As the first foreign property insurance company that provides agricultural insurance services in China, Groupama set up a joint venture – Groupama AVIC Insurance with Aviation Industry Corporation of China (AVIC) in 2012. During the first three quarters of 2013, the company achieved agricultural insurance premium income of RMB613 million, up 87.8% year on year. At the end of September 2013, the establishment of Groupama AVIC Insurance Heilongjiang Branch was approved.Source - http://www.marketresearchreports.biz/

05.01.2015

Philippines - 1.48m fishers sign up for govt program

Some 1.48 million fishermen have signed up with the government’s, representing 92 percent of the intended roster of 1.6 million.According to the Bureau of Fisheries and Aquatic Resources (BFAR), the campaign is part of efforts to give small-scale fishers access to subsidized insurance through Philippine Crop Insurance Corp.As of the latest tally, some 116,000 fisherfolk in at least 42 provinces nationwide are eligible for free full insurance coverage for their calamity-stricken fishing assets.The number represents people who have been verified as actually depending on fisheries for their livelihood.BFAR Director Asis G. Perez earlier said the FishR program was meant to ensure that those who live below the poverty line would have access to insurance.“[For the rest of those who signed up,] we are still finalizing the list and cross-checking with nationwide lists of those who are poor,” Perez said.He was referring to the National Household Targeting System-Poverty Reduction (NHTS-PR) list of the Department of Social Work and Development, and the Registry System for the Basic Sector in Agriculture of the Department of Budget and Management.The NHTS-PR is used as basis to determine which households are qualified for the government’s conditional cash transfer program or the Pantawid Pamilyang Pilipino Program.Perez explained that when a FishR-listed person was also on the other lists, he would be given a PhilHealth number as well as personal and crop insurance coverage, which would apply to boats, seaweeds and other aquaculture stocks that may be lost due to calamities.He added that while fisherfolk who were not classified as poor had access to social benefits through channels like the Social Security System, those who were poor need their own means to ensure that they were covered.Source - http://business.inquirer.net/

31.12.2014

Indonesia - Floods ruin thousands of hectares of crops

Prolonged flooding in a number of farming areas in Sumatra and Java has triggered harvest failures and damage to farmland.The Jambi Agriculture Office revealed Tuesday that around 8,000 hectares of rice fields in the province were facing harvest failure as they were waterlogged.Office head Amrin Aziz said the floods in Jambi province, which hit Kerinci and Muaro Jambi regencies and Jambi City, had caused a 12,000-ton drop in rice production.“The harvest failure was attributed to waterlogged rice fields in a number of flooded regions. As many as 3,000 hectares of farmland are facing harvest failure in Merangin and Kerinci regencies and in Muaro Jambi regency and Jambi City,” said Amrin as quoted by Antara.Another 5,000 hectares of farmland, added Amrin, were inundated during the planting season. As a result, farmers were unable to continue maintenance prior to harvest, but a small swathe of farmland in Muaro Jambi was affected as rice seedlings there were just two weeks old.Amrin said that according to weather forecasts, rainfall would peak at the end of February. The situation would further influence crop production in 2015 because of a resulting shift in the planting season as farmers would replant the rice after the floods end.“We have provided seedlings in Merangin regency for an area of 500 hectares. The farmland there was damaged by flash floods and they are currently being restored. We will distribute the seedlings after the restoration work is completed,” he said.Regarding the loss of 12,000 tons of rice, according to Amrin, it could be covered by speeding up the harvest by expanding to 11,000 hectares of rice fields in East Tanjung Jabung and West Tanjung Jabung regencies.“West Tanjung Jabung was hit by drought in 2014, so farmers failed to cultivate rice. We could cover the losses from the expansion of the rice fields next year,” said Amrin.Besides that, to cover the losses, Amrin said his office would make efforts to provide seedlings so as to reach production targets to meet rice demands in the province.In Jember regency, East Java, around 1,500 hectares of farmland has also been engulfed by floods.“The affected farmland is located in Wuluhan, Tempurejo, Jenggawah, Gumukmas, Semboro and Balung districts,” said Jember Agriculture Office head Hari Wijayadi on Tuesday.According to him, the temporary data is gathered by field counselors and the extent of the damage could increase as floods have yet to subside in a number of areas.“Among the damaged commodities are rice, corn, watermelon and chili,” said Hari.The worst-hit district is Temporejo, where 729 hectares of farmland have been engulfed by floods.He added his office would provide seedlings to farmers whose fields were swamped by floods and make an inventory of farmland still waterlogged.“Hopefully, the floods affecting the farmland would not have an impact on rice production next year as the rice plants are still young and can be patched up again,” said Hari.Jember regency was isolated by flooding over the weekend, with thousands of homes and farms inundated in the affected districts of Semboro, Sumberbaru, Jenggawah, Ambulu, Wuluhan and Tempurejo.The floods were triggered by high rainfall, causing the Tanggul and Mayang rivers to overflow and engulf residential areas in seven districts.Jember regent MZA Djalal has declared a state of emergency in the regency. The regent ordered disaster mitigation personnel to focus on catering to refugees and evacuating trapped residents.As of Tuesday, the local disaster mitigation agency had recorded 1,520 families in Tempurejo district to have fled their homes, as well as 1,230 families in Sumberbaru, 487 families in Semboro, 230 in Wuluhan, 40 in Ambulu and 40 in Jenggawah.Source - http://www.thejakartapost.com/

31.12.2014

USA - Looking ahead to what agriculture holds in 2015

2015 is setting up to be another interesting year in the agriculture industry, following a fairly profitable year in 2014 for many livestock producers, but a far less profitable year for most crop producers in the upper Midwest.2014 ended with may farm operators and land owners focusing on the choices associated with the various farm program options that are part of the new Farm Bill that was passed in 2014.Following are some items that are likely to be on the forefront in the agriculture industry for 2015.New farm program sign-up. Sign-up for the new farm program, which part of the new Farm Bill, is now underway at local USDA Farm Service Agency (FSA) offices. The new farm program will be in place for the 2014 to 2018 crop years for all eligible crops under the Commodity Title of the Farm Bill, including corn, soybeans, wheat, and other crops.There are several farm program analysis tools now available to producers and landowners, through various Land-Grant Universities, in cooperation with the Farm Service Agency. Local FSA offices are scheduling several informational meetings in the next couple of months, many of which are bring jointly conducted with the Land-Grant Universities.The sign-up process for the new farm program at local FSA offices will take place in a three-step process. Landowners have until Feb. 27, 2015 to make final decisions on updating FSA payment yields and reallocating crop base acres on each FSA farm unit.Producers have a deadline of March 31, 2015 to complete the farm program choice on each farm unit, and potentially on each eligible crop. Farm program choices include the Price Loss Coverage (PLC), Agricultural Risk Coverage-County (ARC-CO), or Agricultural Risk Coverage-Individual Coverage (ARC-IC) programs.All farm program payments will be made on the basis of crop base acres. Any potential 2014 farm program payments will not occur until October, 2015. Producers will still need to enroll in the 2014 and 2015 farm program on an annual basis at local FSA offices, which can be done simultaneously for the 2014 and 2015 crop years in late spring and early summer of 2015.Source - http://www.farmandranchguide.com/

31.12.2014

Tanzania - Agriculture insurance set to lift farmers’ welfare

Agriculture insurance could solve most of risks associated with farming, an economic undertaking that employ around 80 per cent of Tanzania’s population.It is well known that such uncertainties induce substantial income risks that can be detrimental to small or poor producers in developing countries.Such uncertainties have been blocking about 80 per cent of the population depending on farming from accessing lending houses.Finance and Economic Affairs Minister, Ms Saada Mkuya Salum, said in an interview that agriculture insurance has shown to be a way of increasing small farmers’ access to seasonal loans in many countries and may have similar role to play in the country.“I call upon the Tanzania Insurance Regulatory Authority (TIRA) to speed the process of formulating the regulations, guidelines for agriculture insurance to operate,” she said, adding that lenders have traditionally regarded agriculture as being too risky.Farming in developing countries is exposed to a variety of income uncertainties ranging from fluctuation of prices and unpredictable weather patterns, thus holding back efforts to lift people out of poverty.The absence of crop production credit is a bottleneck to access and adoption of improved farming technology, certified seeds, fertiliser and plant protection chemicals.The Commissioner for Insurance, Mr Israel Kamuzora, said agriculture insurance will be extended to cover losses of livestock, fisheries and forestry caused by vagaries of weather and other events beyond farmers’ control.With production risks like vagaries of weather and prices uncertainties for agricultural inputs and outputs and with the insurance sector shunning the sector, three­fifth of the farmers in the African continent still practice subsistence farming.“Crop and agriculture insurance is fundamental to the national economies as adverse weather events like drought, floods and storms that cause heavy losses to farmers pose a major threat to production and reduced farmers’ incomes,” he said.Furthermore, the Bank of Tanzania (BoT) and TIRA have been working on the formation of a special unit to oversee the establishment of an indemnity cover in crop and agricultural sector to ensure farmers are free from various risks particularly those related weather.In another development, the government has called upon the insurance companies to make timely compensations of the victims of motor vehicle accidents.Ms Mkuya made the plea at the launch of the TIRA workers council and the customer service charter. Although there should be concerted efforts from both state and non­state actors to curb the alarming rate of motor vehicle accidents, she said however, the same endeavour must be put by insurance firms to pay for the damages.“There are increased motor vehicle accidents but the pace with which the insurance companies are paying the claims has been very small,’ she said. The 2013 statistics show that losses due to motor vehicle accidents reached 3tri/­.Source - http://www.dailynews.co.tz/

30.12.2014

Asia - Agriculture and fisheries after the tsunami

Great progress has been achieved in rebuilding the lives of farmers in Aceh 10 years after the catastrophic Indian Ocean tsunami. The hardest hit province is also a fertile learning ground for governments and organizations to develop necessary plans for agricultural restoration after a big disaster.Numerous NGOs stepped in to help the recovery process and a total of US$7 billion in aid was generated for the affected countries. A decade later, have the farmers regained their livelihoods and has Aceh re-established its position as a rice-surplus province? What lessons can be learnt after the disaster in the agricultural and fisheries sector?On Dec. 26, 2004, the Indian Ocean tsunami swept through coastal regions in Southeast Asia, flattening villages and causing massive loss of life. The Food and Agricultural Organization (FAO) reported that the tsunami affected significant agricultural land, destroyed irrigation canals, affected 92,000 farms, displaced 60,000 farmers and robbed 330,000 people of their livelihoods in fishing and agriculture in the province.The tsunami littered the paddy fields with debris and sediments, destroyed irrigation infrastructure and washed the soil of organic matter. Flooding also resulted in an increase in soil salinity.Because of its proximity to the quake’s epicenter, land levels in Aceh were altered by 1-2 meters.The change in land structure reduced the effectiveness of irrigation canals and caused some coastal agricultural areas to be permanently inundated. Overnight, Aceh was transformed from a rice-surplus province to a rice-deficit province.Government sources show that follow-up tsunamis had flooded 30,000 to 50,000 hectares (ha) of irrigated rice fields concentrated in top production areas, namely East Aceh, North Aceh, West Aceh, Greater Aceh, Pidie and Bireuen.This equaled 120-200 thousands tons of paddy. The total paddy accumulated losses were estimated at 360,000 to 500,000 tons during 2004-2006, nearly the entire annual consumption of rice of the province.Statistical data suggest that marine and fisheries production fell from about 134,000 tons subsequently to 102,500 tons in 2004 and 81,100 tons in 2005 (or year-on-year subsequent losses of 31 percent and 26 percent in 2004 and 2005).Salinity was a major roadblock for crop production after the tsunamis. The silting of irrigation channels prevented the use of irrigation for flushing out salt from agricultural lands. Farmers planted seeds in soil with high salinity and used saline groundwater to irrigate their fields due to a lack of knowledge of salinity conditions.Some studies reported that the first harvest in 2005 was disappointing; only 10 percent of the rice crop in affected regions was harvested. Salinity caused yields to be reduced by 50 percent and in some areas no grain was formed in rice plants.The loss of organic matter in the soil also reduced yields. Low amounts of minerals such as calcium reduced crop growth. Such nutrient deficiencies can be replenished by mixing manure or compost in the soil.The presence of heavy metals also made the soil less fertile. Furthermore, the restoration process was largely focused on the construction of houses and roads. Paddy fields were left to the rain to flush the salt out of the soil.Local manpower was also diverted to construction projects instead of farming. The process to rebuild the livelihoods of farmers was slow and dependency on food aid grew.Yet overtime, soil conditions improved with rainfall and irrigation. The Asian Development Bank spent $20 million on rebuilding infrastructure for 50,000 ha of paddy fields. By the end of 2007, 70 percent of affected rice fields in West Aceh regained their normal yield.The introduction of new irrigation infrastructure and training of farmers also helped to increase yields in some areas above the pre-tsunami period.There have been criticisms against the post-disaster response from both international aid and national governments, including that the lack of coordination among groups or between the NGOs and the government prevented coordination in the rehabilitation of farmlands.The pooling of resources and technical expertise could have helped in research into salt-tolerant rice varieties, identification of new weeds and pests as well as methods to replenish lost organic matter in soils.Aid groups could work with the government to roll out plans for the large-scale adoption of tools to monitor salinity levels, the rapid construction of irrigation canals and distribution of seeds.Other criticism included the fact that the large amount of food and monetary aid after the disaster reduced incentives for farmers to return to their fields quickly. Poor infrastructure and poor harvests further demotivated farmers from returning to their fields.However, there have been some success stories. The most recent data suggests that in 2010 to 2013, Aceh’s agriculture returned to its normal rate. Since 2011, the total area being harvested and total production improved significantly to the level far above pre-2004.Part of the progress is particularly due to a higher paddy yield that has increased from around 4.2 ton per ha in the first half of the 2000s to 4.6 tons per ha since 2011. In most of the rice production centers, things are back to normal, with some notable land expansions. Only a few fractions of damaged rice land cannot be fully recovered.In marine and fisheries there have been positive developments. Households with brackish water ponds in Aceh have also continued to increase from 12,500 households in 2002/2003 to 24,800 in 2013.The number of households with fresh water ponds almost tripled from almost 5,000 in 2004 to about 14,600 in 2012. The total number of households with fish farms in their paddy has gradually recovered from the 2004 loss and increased during 2007-2009; however it may naturally go back to the pre-tsunami period if local and national governments fail to reinvest in the sector.However, the complete story of recovery in marine and fisheries is one of inconsistent progress. Cage and floating cage nets that had been significantly developed soon after the tsunamis during 2007-2010, have been reduced by 60 to 70 percent in the last two years.Furthermore, at least 1,500 fishing ships were either damaged or not functioning — from 9,250 vessels in 2009 to 8,200 in the last two years. Only the number of motorboats increased marginally very recently.There has been a significant increase in marine culture practices where prior to 2004, there was almost no data on such practices.In 2010 and 2011, it grew to almost 533. However, this has been associated with the legacy of post-tsunami aid. Recently, marine culturewas practiced in only 176 households in Lhokseumawe, Singkil and Simelue island.The data above suggests the shift to marine culture and larger fishing scales may not be sustainable if the incentives partly created by tsunami aid during 2005-2009 are entirely depleted.Both national and local governments should find ways to ensure continuity of growth in the sectors.Source - http://www.thejakartapost.com/

30.12.2014

Pakistan - Dry & cold weather to continue for three weeks: standing crops may be adversely affected

Dry and cold weather conditions will continue for another three weeks in the country which may have a "very negative impact" on standing crops, according to agriculture and weather experts. Long dry and cold weather system in the country would leave negative impact on wheat, gram, potato and other minor Rabi crops. "The current weather system would badly affect the standing crops, especially in rain-fed areas," said Dr Aslam Gill, Crop Commissioner, Ministry of National Food Security and Research while talking to Business Recorder.He said that the sowing of wheat was almost completed in the country and wheat crop is presently in boosting stage which requires feed of water to survive. "Serious consequences may develop for wheat crop if the dry spell continues," he warned.He pointed out that the Federal Committee on Agriculture (FCA) had fixed wheat production at 26 million tons from an area of 8.91million hectares for 2014-15 and gram target of 0.72 million tons from an area of 0.99 million hectares.Another official of Ministry of National Food Security and Research on condition of anonymity said that if the current dry weather continues, the country would be unable to achieve 26 million ton of wheat target."Out of total sowing area of wheat crop, 10 percent is rain-fed in the country" he pointed out, adding the dry weather would mainly affect crop of rain-fed area due to which the country my face shortage of 2.6 million tons.Dr Ghulam Rasool, chief meteorologist, Meteorological Department (PMD), said that the prolonged dry spell would continue till the first half of January, and the country would face dry, cold and foggy weather.After third week of January, he said that the situation will start improving as the westerly wave will reach Afghanistan and Pakistan, which will bring snowfall on our mountains in February and rainfall in the agriculture plains of Pakistan and India.Deputy Director, Forecasting Division of PMD Aleem-ul-Hassan maintained that there was no chance of any significant rain till the end of second week of January.He said that very cold and dry weather is expected in most parts of the country. However, light rain (with light snowfall on the hills) is expected at isolated places in Malakand divisions and Gilgit-Baltistan in the next 48 hours.Dense foggy conditions would continue in Gujranwala, Lahore, Faisalabad, Multan, Bahawalpur and Sahiwal divisions, while fog would be prevalent in Sargodha, D.G.Khan, D I Khan and Sukkur divisions during night and morning hours, he said.The coldest places during the last 24 hours were Skardu (-)12.0°C, Astore -9.0°C, Kalat -8.0°C, Hunza, Gilgit (-)7.0°C, Parachinar, Gupis, Quetta (-)6.0°C, Kalam (-)4.0°C, Lower Dir, Dalbandin, Zhob, Dir (-)3.0°C, Malamjabba, Rawalakot, Bannu, Drosh -2.0°C, Chitral, Mirkhani, D I Khan, Murree, Saidu Sharif (-)1.0°C.Source - http://www.blackseagrain.net/

30.12.2014

USA - FSA announces new yield data for safety net calculations

The U.S. Department of Agriculture Farm Service Agency (FSA) Administrator Val Dolcini offered farmers new information to update program payment yields that will help them better select protections offered by the Agricultural Risk Coverage (ARC) and Price Loss Coverage (PLC) programs.The new programs, established by the 2014 Farm Bill, are cornerstones of the commodity farm safety, offering farmers protection when market forces cause substantial drops in crop prices and revenues.“The Farm Bill provided landowners with the option of updating their farm program payment yields. This is the first time that many producers have been able to update yields since 1986,” said Dolcini. “We’ve worked with the Risk Management Agency to make available certified yield data that producers can use to better calculate how the new safety net programs can offer the best protection against market swings.”Producers can check with their local FSA county office to see if data is available for them. This data belongs to the producer and only the producer associated with the crop insurance records will be provided this service. Updating yield history or reallocating base acres can occur until Feb. 27, 2015.FSA also issued a reminder that from Nov. 17, 2014, to March 31, 2015, producers will make a one-time election of either ARC or PLC for the 2014 through 2018 crop years. For more information, producers are encouraged to make an appointment to go into their local FSA county office. To find a local FSA county office, visit www.offices.usda.gov. Additional information on the new programs is available at www.fsa.usda.gov/arc-plc.Source - http://www.waxahachietx.com/

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