Azerbaijani President Adopts Measures on Insurance of Agricultural Production

Business Materials 26 August 2008 13:08 (UTC +04:00)

Azerbaijan, Baku, 26 August / Trend corr. U.Ismayilova / Within the framework of the State program on reliable food supply to Azerbaijani people for 2008-2015, President Ilham Aliyev adopted measures on insurance in agriculture, the official media reported.

These measures imply to introduce contemporary insurance at agricultural production, as well as to improve list of risks for financed agricultural property.

Insurance of agriculture in Azerbaijan is one of underdeveloped fields. In connection with it, in May the Azerbaijani Agriculture Minister applied to the Cabinet of Ministers to expand list of agricultural products insured by the state.

The list of the agricultural products, insured by the state budget, includes wheat, barley, maize, sunflower, potato plant, sugar beet, vegetables, greenery, as well as fruits, rice and leguminous plants.

In accordance with the supplements to the Law on support and development of agriculture in Azerbaijan, which was adopted in summer 2007, part of state financing premium in agricultural insurance was raised from 25% to 50%.

Average tariff on agricultural insurance in Azerbaijan constitutes about AZN 1,500 a year (5% for hectare) and average profit for 1 h land amounts to about AZN 25,000 a year.

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