Algeria: New insurance product launched for potato producers
The National Agricultural Insurance Fund (CNMA) is set to launch a new insurance policy in Algeria protecting against yield losses for potato producers, La Tribune newspaper reports.The National Agricultural Insurance Fund (CNMA) is set to launch a new insurance policy in Algeria protecting against yield losses for potato producers, La Tribune newspaper reports.
This policy, which will be introduced in January 2012, will allow farmers to be compensated in the event of a decrease in production yield, with a base line set between the two parties.
It guaranties between 50 and 70 percent of the yield forecast depending on the nature and the region of the harvest.
"The 'yield loss potato' gives the producer, who counts on short term financing ,
and the financier, who loans, according to yield forecast, the certainty that the revenue estimated on which the loans are based will be realised in big part," said CNMA's General Secretary Chérif Benhabilès, quoted by APS news agency.
He added that with this insurance, cover provided by the CNMA is extending to products where insurable interest is the revenue flow.
In Algeria, agriculture contributed an average of 12.5 percent per year to wealth creation over the period 1989-2000, according to the National Office for Statistics. The active agricultural population was 13.1 percent in 2009.