9 million GEL allocated to agricultural insurance program in 2018

The Government of Georgia is continuing to support agriculture activities and reduce risks facing local farmers by improving the agricultural insurance program.

Following the new initiative land registration in Georgia will become mandatory. Unlike previous years, the agriculture insurance program will now benefit only those farmers who have already registered their land.

Also, the agricultural land registration process will be simplified in Georgia.

This year, 9 million GEL (about $3.77m/€3.07m*) has been allocated from the state budget for the agricultural insurance program.

The agricultural insurance program was put into force on September 1, 2014 and is meant to develop the insurance market in the agricultural sector, promote agricultural activities, retain income for individuals who are employed in the agricultural sector and reduce risks associated therein.

Farmers can purchase insurance policies from five insurance companies operating in Georgia to avoid the following insurance risks: hail, flood, storm and autumn frost (only citrus crops) during the period spanning from September 1-November 30.

Each insurer of the land parcel will receive 70 percent - co-financing for each crop envisaged under the program and 50 percent in case of vine farming.

In 2014-2017 about 60,000 hectares and about 500 million GEL (about $209.65m/€170.77m*) worth of harvested produce was insured in Georgia.

*Currency conversions reflect National Bank of Georgia values as of today.