Representatives of the Ministry of Agriculture of Uzbekistan held a working meeting with members of the Insurance Development Forum (IDF) to discuss the implementation stages and prospects of the project “Agricultural Insurance for Horticultural Farmers in Uzbekistan.”
The U.S. Department of Agriculture’sRisk Management Agency approved changes to improve insurance coverage for American livestock producers. These updates will take effect for theLivestock Risk Protection, Livestock Gross Margin, and Dairy Revenue Protection insurance programs beginning with the 2026 crop year.
The government cost shares funding for crop insurance; beef producers say livestock insurance options should get the same treatment.Livestock producers face a fundamental inequality when it comes to business risk management (BRM) programs in Canada — but industry groups are proposing a fix.One of the starkest differences is in government-based insurance programs. Crop producers enjoy coverage that’s typically subject to a 60/40 government/producer split, with provincial and federal governments picking up the largest part of the tab.Organizations such as the Canadian Cattle Association are calling on the feds and provinces to share the cost of pricey livestock price insurance (LPI) premiums with beef producers along the same lines, says Tyler Fulton, president of the CCA, who also serves as co-chair of the association’s foreign trade committee.That would bring some equivalency to these BRM programs, says Fulton. Crop insurance covers yield loss, the biggest risk for crop growers. Meanwhile, downward market shifts — which LPI insures by allowing cattle producers to set a minimum price floor — present the greatest risk for those farmers.Much of the new interest in LPI is in response to the threat of US tariffs, he says. Many LPI policy holders intend to use it as a tool to manage them should livestock and meat ever be targeted.“By virtue of the fact that we sell 50 per cent to export of what we produce here in Canada, we are very reliant on the export markets to help determine our price,” says Fulton.“And so when we see the tariff threats of 25 per cent it represents probably one of the biggest risks that we could experience, bar none. It’s just very significant because the U.S. represents such a large market for Canadian beef and live cattle.”An LPI cost-share agreement would also be a relative bargain compared to the government’s cost of supporting crop insurance premiums, he says. Crop insurance requires several billion dollars in government support while a similar model of support for LPI would be closer to $150 million to $200 million, said Fulton.Although he says the federal government is coming around to the idea of LPI cost-sharing, it has previously cited trade risk and prohibitive cost as reasons to not participate.Fulton doesn’t think those arguments hold water in an environment already brimming with trade risk from U.S. tariffs, especially with many beef producers still priced out of the LPI market.“It’s really frustrating that we can’t effectively cover the risk because the government says that it’s too risky in this environment.”Ultimately, beef and crop production are related but separate ag sectors with their own specific needs, says Fulton, and a perceived “one size fits all” philosophy driving government-funded BRMs isn’t cutting it.”I think that we need to move to a model that is more industry-specific. It’s really difficult, if not impossible, to design a safety net program or a risk management program that works well for all sectors of agriculture.”Brian English, a beef producer from Rivers, Man. who runs a cow-calf, feeder and backgrounding operation at nearby Bradwardine, took out an LPI for the first time this year. He also highlights the government’s treatment of crop growers compared to beef producers.“Why shouldn’t we get the same benefits as these guys that are putting in thousands of acres of cropland?” he said. “We should be on equal footing as them. The federal and provincial governments should do the same funding schedule for livestock price insurance as they do for crop insurance now.”English took out an LPI policy this year in response to the threat of U.S. tariffs.“Trump had put on the tariffs for two-and-a-half days (and) we heard the horror stories of the cattle crossing the line getting $1,000 tariffs on each animal. And then (the U.S.) stopped that for a brief period of time and there was a chance that it was going to come back on right away.”LPI has historically been a hard sell to beef producers due to policy cost. Fulton estimates a high rate of $50-$60 per calf for a calf policy (the program has three cattle policies available: calf, feeder and fed) on a 10-year margin.However, thanks to high prices in all cattle categories in recent years, margins are much better today. That offers extra incentive to take out an LPI policy because beef producers will have more to lose once the bull market (in investment terms) goes bearish, he says.“$50 to $60 in today’s market is not as significant. It’s not as big a barrier, but it’s still a large barrier when talking about an individual animal (and) having to pay $50 or $60 just to be able to cover it.“If you get 60 per cent of the cost of your insurance policy covered, it really changes the motivation and the desire to actually cover off that risk because you’re not using up a bunch of your profit margin just to insure it.”Beef cattle graze in a pasture in Saskatchewan. Photo: Michael RobinOther LPI changes neededFulton would also like to see a widening of LPI’s application window. Although applications for feeder and fed policies are accepted year-round, calf policies are only available from February to June each year. However, risk exposure continues long past June.“So for most of the year the tool is not accessible.”English has a technology-based suggestion for improving the program. He says the application website needs to be more user-friendly for cell phone users and especially those who live in areas with limited internet bandwidth.“It’s just a little daunting the first time that you’re (applying) … It’s kind of clunky. It’s not iPhone friendly and I do everything on my phone.“We put all our records of our cattle on our phone, check on our weather. Everyone uses their phones more than a laptop and so I think if they made it so that it was a little easier to use on your phone, it’d be that much easier also.”Balanced outcomesThere could be some positive tradeoffs with other government BRMs if a cost-share arrangement for LPI is developed, says Fulton. For example, AgriStability payments wouldn’t trigger as easily if beef producers already had coverage through LPI.(AgriStability is a federal-provincial-territorial program meant to protect farmers from extreme market price declines that threaten the viability of their farms.)“Let’s say a 20 per cent tariff is implemented by President Trump and our prices here in Canada drop by 15 to 20 per cent. That would likely trigger a payment in AgriStability normally,” explains Fulton.“But if we had coverage with livestock price insurance, for those that had a policy it would result in a payment through livestock price insurance and therefore would not result in a drop in your farm income and consequently you wouldn’t need to trigger an AgriStability claim.”It’s a scenario Canadian crop producers already enjoy, he says.“Because people have crop insurance, they can experience a 40 per cent hit in their yield (and) they get a payment through their crop insurance policy. They don’t make an AgriStability claim because they’re already covered off through their insurance.”Government willing to talkThe beef industry is slowly but surely catching the ear of government on cost-shared LPI policies. Fulton says both the federal Conservative and Liberal parties — motivated in part by U.S. tariff threats — were interested in providing better risk management tools to farmers prior to the federal election.“This represents a cattle industry-developed program that works really well and so when we started to get exposed to the tariff issues, it really changed the conversation. It just made it very obvious that there was a deficiency here and they identified that.”Fulton has spoken with new federal Agriculture and Agri-Food Minister Heath MacDonald and hopes to meet with him soon to address the uncertainty and risk the industry is facing.He’s counting on the Prince Edward Island-dwelling MacDonald having an understanding of LPI, given Maritime producers have been eligible since last year.Countervail fearsAn attendee of Manitoba Ag’s Navigating Livestock Price Insurance webinar on May 8 asked if cost-shared premiums would trigger countervail action from the U.S. The answer is “unequivocally no,” says Fulton.“The industry is not at all concerned about a countervail duty related to livestock price insurance cost-shared premiums,” he says.“Our American counterparts have a very similar program that is cost-shared and it is really structured similarly to their crop insurance program, and so they’re addressing what they’ve identified to be a gap in risk management tools offered for farmers and inequity for livestock operations.”Source - Manitoba Cooperator
Heavy monsoon rains and excess water released by Indian dams have caused catastrophic floods in Punjab since last week. According to the Provincial Disaster Management Authority (PDMA), at least 41 people have been killed by the deluges in the last 10 days while over two million have been affected by the floods.
The hail that hit Ararat Province yesterday damaged crops in about 20 villages. A special commission has been created in connection with the consequences of the hail that hit Ararat Province. The main damage was caused to 7-8 villages, but overall damage was recorded in about 20 villages.
Land Bank Insurance Company has expanded its pilot “index insurance” product with the introduction of Area-Yield Index Insurance (AYII), designed to help farmers manage financial losses caused by large-scale climatic and environmental risks.
Government offers premium prices for staple of the national diet, but the private sector does the same for crops such as potatoes
Agra Asigurari, the national leader in agricultural insurance, is launching the new sales season for the 2025-2026 farming year. The announcement comes at a challenging time for Romanian farmers, marked by the intensification of extreme weather events, which are affecting crops earlier and earlier, causing considerable losses for farmers.
The pastoralist communities who purchased livestock insurance to safeguard their herds despite making payments have not received compensation for losses, saying, “The insurance we bought has not paid us.” Zonal and Oromia officials, however, maintain that payouts were implemented.
Livestock insurance remains an underutilised safety net for India’s rural households, despite its potential to protect millions of small and marginal farmers from unexpected losses. Limited awareness, low customisation, and rising climate risks continue to expose rural livelihoods to shocks.
Farmers across Turkey are warning that extreme weather events are pushing their crops and livelihoods to the brink. A series of devastating frosts, hailstorms, and record-breaking heatwaves has wiped out major portions of the country's citrus, apricot, and hazelnut harvests, threatening not just local incomes but global food supplies.
Frosts and droughts have caused severe damage to fruit and vegetable crops in Serbia this year, raising concerns for growers and traders. Farmers are requesting government support to help recover from losses
Agricultural insurance has helped boost China's agricultural economy, with each one-unit increase in insurance contribution linked to an 8.99% rise in agricultural development. The impact is especially strong in China’s eastern provinces.
In a landmark move to strengthen the resilience of Ethiopian agriculture, the Ethiopian Agricultural Insurance Consortium (AICE) was officially launched, pledging to extend insurance coverage to 3 million smallholder farmers by 2026. This initiative aims to shield farmers from climate-related risks and foster a more investment-friendly agricultural sector.
The National Institute of Disaster Management (NIDM) is exploring the use of GIS, artificial intelligence (AI), and machine learning for improving disaster risk assessment and crop insurance
The government’s current subsidy for the Philippine Crop Insurance Corporation (PCIC) is not keeping up with farmers’ needs. While 2.3 million farmers are presently covered – including 1.25 million rice producers – the existing P4.5 billion allocation limits coverage to a maximum of P20,000 per hectare, only a third of the estimated P60,000 cost of rice production.
The ScaleAgData project is pleased to invite you to our second stakeholder event. Building on the discussions and connections formed during our first webinar, this event will focus on fostering collaboration among stakeholders, providing updates on our project’s progress, and outlining future opportunities for engagement.
SEE ALLWith the latest satellite technologies, insurers can automate and enhance their monitoring, claims, and underwriting processes like never before. Join us for this exclusive 45-minute live webinar, co-hosted by industry leaders from SwissRe, AXA Climate, GreenTriangle, and Planet, to discover:
2024 AgroInsurance International Conference will take place on June 3-5, 2024 in Belgrade, Serbia, at the Hyatt Regency Hotel. Planet Labs (USA) and GAF AG (Germany) are sponsors of our conference. Agremo (Serbia) has been confirmed as the Organization Partner. More partners and sponsors to be announced in March 2024.
AgroInsurance Team is excited to announce the new dates and venue of the 2024 Agroinsurance International Conference. The event will be held on June 3-5, 2024 in Belgrade, Serbia. ‘Early Bird’ registration is already open.
The Australian horticultural sector faced challenges following Cyclone Alfred's impact in late February.
SEE ALLAgriculture in Austria is struggling with the effects of the severe drought in recent weeks and months. Due to the record number of hot days, the farmers are faced with arid fields. The damage to agriculture from the drought is estimated at 150 million euros.
Between the lack of rain and a severe frost event this week, South Australian farmers are feeling the pinch from the weather. Some farmers said they were not bothering to reap what they had sown, as their crops were in such a state that the cost of harvesting outweighed any possible return.
More than three weeks after the Cumbre Vieja volcano erupted, the lava that continues to flow from its interior continues to devastate everything in its path, destroying houses, infrastructure, and banana plantations. The production of Platanos de Canarias is the economic engine of the island, accounting for 50% of its GDP and 30% of the jobs on the island.
Agricultural production has historically been one of the high-risk sub-sectors of Uzbekistan’s national economy because the conditions and results of production and economic activity of agricultural enterprises are highly dependent on random, primarily weather-related factors. In this regard, the development of an agricultural insurance system as an element of sustainable agricultural production is relevant.
The frequency of hailstorms is generally low in small geographic areas. In other words, it may be very likely that hailstorm occurrences will vary between neighboring locations within a short period of time. Besides, a newly launched insurance scheme lacks the data. It is, therefore, difficult to sustain a sound insurance program under these circumstances, with premium rates based on meteorological data without a complimentary adjustment process.
Last year, Malta’s local vegetable produce dropped by 7% when compared to the previous year. The total vegetables produced in tonnes amounted to 58,178, down by 7% when compared to 2017. Their value too diminished as the total produce was valued at €30 million, down by 13% over the previous year. The most significant drop was in potatoes, down by 27% over the previous year. Tomatoes and onions were the only vegetables to have increased in volume, by 3% and 4% respectively but their value diminished by 9% and 24% respectively. The figures were published by the National Statistics Office on the event of World Food Day 2019, which will be celebrated on Wednesday. Cauliflower, cabbage and lettuce produce dropped by 10%, 3%, and 12% respectively. In the realm of local fruit, a drop of produce was registered here too apart from strawberries, which experienced a whopping increase of 58% over 2017. Total fruit produced in 2018 amounted to 13,057 tonnes, down by 1% when compared to 2017. The total produce was valued at €10 million, a 3% increase in value. Peaches produced were down by 35% and the 376 tonnes of peaches cultivated amounted to €0.5 million in value. Orange produce dropped by 10% and lemon produce dropped by 14%. There was no change in the amount of grapes produced and the 3,642 tonnes of grapes produced in 2018 were valued at €2.3 million. 70% of fruit and vegetables consumed in Malta is imported. The drop in local produce could be the result of deleterious or unsuitable weather patterns. Source - https://www.freshplaza.com
While Florida and California accounted for 76 percent of U.S. production of field-grown tomatoes in 2016, greenhouse production and use of other protected-culture technologies help extend the growing season and make production feasible in a wider variety of geographic locations. Some greenhouse production is clustered in traditional field-grown-tomato-producing States like California. However, high concentrations of greenhouses are also located in Nebraska, Minnesota, New York, and other States that are not traditional market leaders. Among the benefits that greenhouse tomato producers can realize are greater market access both in the off-season and in northern retail produce markets, better product consistency, and improved yields. These benefits make greenhouse tomato production an increasingly attractive alternative to field production despite higher production costs. In addition to domestic production, a significant share of U.S. consumption of greenhouse tomatoes is satisfied by imports. In 2004, U.S., Mexican, and Canadian growers each contributed about 300 million pounds of greenhouse tomatoes annually to the U.S. fresh tomato market. Since then, Mexico’s share of the greenhouse tomato market has grown sharply, accounting for almost 84 percent (1.8 billion pounds) of the greenhouse volume coming into the U.S. market. Source - https://www.freshplaza.com
