3 weeks ago
No Crop Insurance This Year Despite El Nino Panel Advice
Farmers in the state grow crops in a season called Kharif.
This year, the rains may be unpredictable because of a weather pattern called El Nino.
Many farmers hoped the government would offer crop insurance to protect them if their crops failed.
A group of experts told the government that offering insurance was a good idea.
But the government says it will not start crop insurance this year.
The reason is that insurance would be very expensive when the weather is so uncertain.
The experts' advice was more of a general suggestion, not a plan to start right away.
The government might think about insurance again next year if the rains are normal.
Until then, farmers will need to wait and hope for good weather.
No crop insurance will be introduced this Kharif season in the state despite the expert panel's recommendation.
The Expert Committee on El Nino Preparedness and Mitigation, led by Planning Board vice-chairman G. Chinna Reddy, recommended a comprehensive crop insurance scheme.
The recommendation was reportedly a generalised suggestion, not meant for immediate implementation.
Sky-high insurance premia expected during the El Nino-hit monsoon are cited as the reason for the delay.
The government may consider introducing crop insurance next year if the monsoon is normal, with tenders typically spanning two years.
- Who
- Farmers in the state, the Expert Committee on El Nino Preparedness and Mitigation led by G. Chinna Reddy, and the state government
- What
- A comprehensive crop insurance scheme recommended by an expert panel will not be implemented this Kharif season
- Where
- Hyderabad, India
- When
- This year's Kharif crop season
- Why
- El Nino-hit monsoon conditions are expected to make insurance premia sky high, so the government says now is not the right time
Immediate insurance protection
Wait for a normal monsoon
Timing of a crop insurance scheme
Immediate insurance protection
The expert committee recommended introducing a comprehensive crop insurance scheme to safeguard farmers against adverse weather and crop losses during El Nino conditions.
Wait for a normal monsoon
Government sources say implementing insurance now would mean sky-high premia due to El Nino vagaries, so it is not the right time to float tenders; the scheme may come next year if the monsoon is normal.
Key facts
- Subject
- Crop insurance for the Kharif season
- Status
- Not implemented this year
- Recommending body
- Expert Committee on El Nino Preparedness and Mitigation
- Committee head
- G. Chinna Reddy, Planning Board vice-chairman
- Reason for delay
- Sky-high premia expected during El Nino-hit monsoon
- Possible timeline
- Next year, if the monsoon is normal
- Tender process
- Typically two years when tenders are floated
- Location
- Hyderabad
Sources
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