Date:20/12/2008 URL: http://www.thehindu.com/2008/12/20/stories/2008122055500500.htm

Tamil Nadu - Chennai

7.22 lakh farmers covered by farm insurance in State

S. Vydhianathan

Insurance scheme comes to the rescue of ryots affected by rain

CHENNAI: With recent rains causing heavy damage to standing paddy crops in Cauvery delta districts, agricultural insurance has come to the rescue of affected farmers.

After a successful harvest of kuruvai this year, delta farmers were confident of a bumper harvest of samba paddy also as everything went on well for them. But to the farmers’ dismay, heavy rains that lashed the State in the third week of November dashed their hopes of getting good samba yield.

The farmers would have lost heavily but for the crop insurance scheme. Though the last date for applying crop insurance was December 15, the Agriculture Insurance Company foreclosed the scheme on November 30 itself after heavy rains lashed the State. The company did not want to insure the crops as it felt that there was no point in insuring the crops after they were completely washed away by rains. But during a field visit by insurance company officials along with Agriculture Minister and Agriculture Secretary it was found that the excepting in some pockets, the damage was less than 60 per cent. The officials felt that it was not proper to foreclose the scheme and decided to restore the original last date of December 15.

According to an Agricultural Department official nearly 90 per cent of farmers in the delta districts were able to insure their crops after the last date was restored to December 15. So far 7.22 lakh farmers had been covered in the State and a majority of them from the delta districts. A premium amount of Rs 8.24 crore had been collected from farmers as their share with the State government contributing an equal amount (Rs 8.24 crore) on behalf of the farmers. In the delta districts so far Rs 4.18 crore had been collected as premium from the farmers as their share.

Farmers who had lost their crop fully will get a compensation of Rs 10,000 per acre. They will get the compensation by April next year as the damage had to be assessed before paying the compensation.