ASTANA, Kazakhstan, August 2. Kazakh farmers have signed a total of 111 contracts for index-based insurance against soil moisture deficits this year, Trend reports.
According to Kazakhstan's Ministry of Agriculture, this program for agricultural insurance has covered about 236,000 hectares of farmland spread out over eight different regions. Around 1.5 billion Kazakh tenge ($3.3 million) in premiums were paid for the insurance plans, with 1.2 billion tenge ($2.7 million) of that amount being largely subsidized.
The three-phase coverage approach is used by the index-based insurance for moisture deficit risks. From May 15 to June 14, the first phase is in effect. From June 15 to July 14, the second phase is in effect. And from July 15 to August 14, the third phase is in effect. Farmers are free to decide which phases they want to protect their land against when purchasing insurance. Based on the chosen phases, the size of the insurance coverage and subsequent payouts are decided. Additionally, the government provides support for the insurance products in the form of premium subsidies, which reduces the cost of insurance for farmers by 80 percent.
Several grains, including wheat, barley, oats, corn, buckwheat, millet, sorghum, and triticale, as well as legumes like peas, lentils, and chickpeas, and oilseeds, including sunflower, rapeseed, flax, soybeans, safflower, and mustard, are eligible crops for insurance coverage.
Farmers in the regions of Abai, Aktobe, Atyrau, East Kazakhstan, West Kazakhstan, Karaganda, Kostanay, Pavlodar, North Kazakhstan, and Ulytau can take advantage of this insurance option.
In Kazakhstan, agriculture insurance is managed by the Agrarian Credit Corporation. Through the Agroinsurance information system, which is available on the website www.kezekte.kz, farmers can enter into insurance contracts.