After the heavy rains and hailstorms of recent days, farmers have seen their production be heavily impacted. Today, the question of the terms of crop insurance arises more than ever. A reform is planned for 2023 and provides for better care.
France faced a wave of bad weather this weekend. Once again, farmers have been hard hit. Some have lost the entire harvest due to hailstorms. Marc Fesneau, the Minister of Agriculture, promised yesterday a reduction in social charges, the staggering of the repayment of loans guaranteed by the State and the possibility of validating the agricultural disaster system in certain cases. But the real question is how to better ensure agricultural production? Only 31% of the plots are guaranteed. A reform is planned for 2023.
This new device, voted on March 2, provides for better support depending on the vagaries of the weather and should logically bring many farmers to find an interest in insuring their land. Until then, they consider the current solutions too complex, too expensive and too slow. This is why they are only a small third to be covered. This should change significantly with the reform, presented as a kind of agricultural social security by the majority.
A national solidarity mechanism?
A positive development for the president of the Bordeaux Wine Interprofessional Council. “From now on, there will be a three-player system. The operator, the agricultural company which takes out up to 20% deductible”, estimates Bernard Farges. “Then, the insurance scheme takes over between 20% and 50% risk and beyond 50%, which is still very rare for a company, it is national solidarity which is in charge.
Only downside, and size according to him, the compensation will be calculated with the so-called Olympic average system, that is to say on the performance of the operation of the last five years. The problem is that they have all been marked by severe weather.