The Karnataka Agriculture Price Commission (KAPC) is exploring the possibility of expanding the scope of crop insurance scheme as well as strengthening it to get more farmers under coverage to ensure adequate protection against crop loss.

This is being done as only 13 per cent of the 78 lakh farming families in the State have opted for the scheme despite efforts by authorities to bring more farmers under insurance coverage.

According to KAPC chairman T.N. Prakash Kammaradi, farmers are showing a lukewarm response towards the existing crop insurance scheme as they are not completely confident about it. Of course, the statistics too support such concerns: only 32 per cent of those under the scheme have benefitted, says a study by the commission.

At present, farmers who have enrolled themselves are those who have taken loans as the banks insist on insurance. But, a majority of them do not have access to loans and only a small portion of such farmers have enrolled in the scheme, Dr. Kammaradi said. Another area of concern is that nearly 30 per cent of farmers are cultivating lands that are on tenancy and the present scheme does not cover tenant farmers.

Following this, the commission has decided to get the scheme reworked to suit the State’s specific needs. “Though the crop insurance scheme has been brought out by the Centre, the State can alter it as agriculture is a State subject. Also, it is the State that implements the crop insurance scheme,” Dr. Kammaradi said. The commission has asked the Agricultural Development and Rural Transformation Centre of the ISEC and Centre for Multi-Disciplinary Research to come out with a study on strengthening the scheme. The institutes have been given six months to submit their report to the commission.

The KAPC wants to ensure that at least 50 per cent of farmers are covered. Also, it is looking at a group insurance scheme, and a package that combines crop insurance with regular life insurance.

Source - http://www.thehindu.com