New law on agricultural insurance in Azerbaijan may be adopted before end of 2018
Baku, Azerbaijan, June 20
By Anvar Mammadov - Trend:
A new draft law on the promotion of agricultural insurance can be adopted before the end of the year, Executive Director of the Financial Markets Supervision Chamber of Azerbaijan Ibrahim Alyshov said on June 20 during his speech at the conference "Insurance in Azerbaijan: New Prospects".
He noted that, the draft law has already been prepared and sent to the government.
"The draft law is fully ready and is under consideration. I hope very much that the Parliament of the country will approve the new law before the end of 2018," Alyshov said.
At present, the law "on assistance to and development of agriculture in Azerbaijan" in force in Azerbaijan regulates state financing of agricultural insurance premiums. In addition to wheat, the list of crops insured at the expense of the state budget, includes barley, corn, sunflower, potatoes, sugar beet, etc.
The average tariff for agricultural insurance in Azerbaijan is about 1,500 manats per year (five percent per hectare), despite the fact that the average profit per hectare of land is about 25,000 manats per year.
The Financial Markets Supervision Chamber of Azerbaijan announced that, in 1Q2018, fees on the agricultural insurance market amounted to 1.56 million manats, with payments of 282,900 manats. A large part of the fees and charges in this area fell on the insurance of livestock - 947,700 manats.