Despite El Nino Panel Advice, No Crop Insurance This Year in State
It is learnt that the recommendation was more in the nature of a generalised suggestion, and was not necessarily meant for immediate implementation.
Hyderabad:Farmers who may have had a sliver of hope of some form of crop insurance option coming into effect this Kharif crop season amidst continuing concerns over how the rest of the monsoon season is likely to play out, may have to wait another year.
Though a committee of experts, led by the Planning Board vice-chairman G. Chinna Reddy in its ‘Report of the Expert Committee on El Nino Preparedness and Mitigation’ recommended that a comprehensive crop insurance scheme be introduced to safeguard farmers against adverse weather conditions and crop losses, it is learnt that the proposal is unlikely to be implemented this year.
It is learnt that the recommendation was more in the nature of a generalised suggestion, and was not necessarily meant for immediate implementation.
“If attempts are made to implement crop insurance now, given the vagaries associated with El Nino hit monsoon, the premia will be sky high. This same condition is expected to be in place even for the next Rabi crop season. This means if the next year’s monsoon is expected to be normal, then the government may consider going ahead with a plan to introduce crop insurance,” sources familiar with discussions surrounding the issue in the government said.
Typically, when the government goes ahead with such a plan, then it calls for tenders for two years or so with interested insurance agencies expected to respond. “This is not the right time to float any such tender as the agriculture sector is expected to face a crisis, unless something about the rains changes. And the government has been made aware of this,” the sources said.
