The damage caused by the hail will be reimbursed for beneficiaries benefiting from the Agroinsurance program

The damage incurred to Kakheti region by the hail will be reimbursed to the beneficiaries benefiting from the Agroinsurance Program. Over 1200 reports are received at this stage. Damages are being actively calculated. Mrs. Natalia Kharatishvili, the Manager of the program Agroinsurance of the Agricultural Projects Management Agency, Mr. Giorgi Erbotsonashvili, the Mayor of Sagarejo and representatives of the insurance company Ardi, in Sagarejo municipality met with injured Aleksi Malasidze and inspected the vineyard affected by the hail. As a result of hail, 30% of crops of Mr. Aleksi Malasidze, the resident of the Chailuri village, were destroyed. Insurance company Ardi will reimburse 10 800 GEL to the said beneficiary. For purchase of insurance policy the beneficiary got 50% of co-financing from state and sum paid by him for insurance of 3.5 ha area amounted to 2295 GEL.

This year, a share of government in purchasing an insurance policy is 70% for all crops and 50% - for vine. A natural person or a legal entity may participate in the agro-insurance project provided that they possess, use or factually own no more than 5 ha of agricultural land (for wheat crops no more than 30 ha). Also, any beneficiaries owning more areas of agricultural lands, when insuring 5 ha, may enjoy governmental co-financing.

According to data of May 2019, in Georgia, 6,737 policies were issued under the agro-insurance project; 3,582 beneficiaries were included in the project; a governmental subsidy of the insurance premium amounted to 3,568,646 GEL. The land of 6,982 ha in total was insured and a cost of the crops was 71,978,204 GEL. The Governments financial support gave an additional stimulus to entrepreneurs to develop and extend their production. The Agriculture Project Management Agency is implementing a unified agro-project that is designed for long-term development and aims at establishing an environment that will promote competitiveness in the industry, stable growth of quality production and introduction of international standards of food safety.

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