Agriculture plays an important role in the economic development of the country. It produces not only food and raw material but also a large portion of the workforce is engaged in this field (more than 50% in Georgia) . Agriculture is characterized by the presence of risk factors, and hence it is very important to know how to deal with these hazards. Risk factors can be not only biological or climatic variability, as well as fluctuations in prices. Unlike other manufacturers, for farmers and also for privet companies which are involved in agriculture it is difficult to predict the revenues and therefore profits from their activities.
Therefore, insurance in agriculture is regarded as the one of the most important and effective way of rick management. It’s very interesting to look through the frameworks of insurance systems in developed countries and also study the experience of developing countries. As well the discussions about tendencies and problems related to insurance in developing countries.
As it seems half of the worldwide agriculture insurance comes for US, and less than one-third comes for Western European states. Only three percent comes for Central and Eastern European countries of the world's agricultural insurance. Downstairs on the table we can see the availability of agricultural insurance around the world.
In developed countries, there are different types of insurance systems. One of them is the privet insurance system in case of which the insurance companies provide the total compensation for losses and there is no government subsidy for premiums. This kind of insurance system works in Finland, in Germany and in France and in a few other developed countries. Private companies typically insure only certain risks...
... middle of paper ...
... as the reinsurer and they forming entire system and working with it. In this case state should have the role organizer and should put the first capital in this type of insurance companies.
The main founders of this system should be the farmers, agricultural cooperatives and peasantry, and also the farmers who have the status of an independent legal entity. I think, taking into account the situation of are in Georgia in this field, I mean, considering natural climate risks, at least in the first stage of all crops and agricultural sectors to be insured should be mandatory for government. Also, it will be interesting to divide Georgia as western and eastern parts and create the self-insurance funds or communities in these two regions. It will be more risk averse for farmers and it will diversify the risks. I will work to make deep this idea and apply to Georgia.
Increase in Animal Agriculture Affect Economics? The growth of the world’s population has led to a growth in animal agriculture, because as population grows, the need for food does as well. Animal agriculture is the use of animal farms to produce animal products that are then consumed by the general public. As agribusiness expands, issues such as the need for farm insurance and animal rights have received more awareness. Modern day industrialism is being applied to animal agriculture in developed nations
and economic conditions all greatly changed American agriculture at the expense of the farmers. New farming machinery had a large role in the late 19th century, giving farmers the opportunity to produce a surplus of crops. The railroads also had a large influence on agriculture. Although they were able to quickly transport goods, the railroads were also used to charge the farmers large fees. The booming industry also changed American agriculture, creating a multitude of monopolies which the farmers
Agriculture: Food for Life In Genesis 1:29, God said, “I give you every seed-bearing plant on the face of the whole earth and every tree that has fruit with seed in it. They will be yours for food.” From the beginning God has given us food for life. Plants, meats, trees, and fruits are offered to us as a means of sustenance from the very same God who made them long ago. Farmers work hard every day to help sustain the lives of billions of people across the world by producing meats, fruits, vegetables
Evolution of Agriculture The average person gives little thought to where the food they eat comes from. One would even say that the subject of anything other than consuming food is on the lack luster side of a conversation. The vast majority of people know nothing about growing and raising food, and most would not care to know, because it isn’t “sexy” or overly controversial. One could say that even less care about how we got to this point and where we have been in history. The human race has come
2012). More particularly, there has been a significant increase in the Gross Domestic Product agriculture contribution from 1.4% in 1996 (Muriel et al, 1996) to 7.1 % of GDP during 2011 (CCRA, 2012). This demonstrates how important the role of agriculture and forestry in the economy is. Due to flooding from rivers and the sea, substantial quantities of land can potentially be unsuitable for any agriculture activity (Gill, 2012). Heavy rainfall causes floods and potentially soil erosion. It also encourages
Introduction Organic agriculture is one of the most dynamic and rapidly growing sectors of the global food industry. ‘Organic foods are grown with a commitment to respect biological and ecological processes’ (Kortbech-Olesen, 1998). There are many organic agricultural products such as tea, coffee, cocoa, rice, spice, vegetables, tropical fruit and citrus fruit. Before that this market only was a small market focusing on small group of customer or very niche market and became a billion market sectors
Being the largest country in Eastern Africa, Tanzania occupies an area of approximately 945, 234 km squared and is comprised of the mainland and three coastal islands (Devisscher, 2010). Indeed, the nation possesses a multitude of differing ecosystems that support not only the local people but also the wider economy (Devisscher, 2010). For many LEDCs, in the modern world agricultural practices are a key activity in not only sustaining life, but also contributing to and maintaining a healthy economy
Impact of marketing on Agricultural Products Introduction Agriculture is the backbone of Pakistan’s economy because it fulfills the basic necessities of life also it provides the employment opportunities and livelihood to 62% of population. It contributes 21% to total GDP and 80% products that are being exported are agro based. (Agri Punjab). Pakistan has plenty of natural resources so people of rural areas put their whole efforts in exploring these and producing the agricultural products from those
below poverty line and over one-half of these people depend on agriculture. These rural households may not be directly involved in the agricultural labor but their income sources are linked with the success of the agricultural production. They may be exposed to the financial risks following natural disasters or climate change, which affect the products of agriculture. 1. Agriculture in India and Major Risks 1.1. A review of Agriculture in India This section covers the significant government policies
global food production by 70 percent to meet the global goal (http://www.populationinstitute.org/resources/populationonline/issue/1/8/). However, current food production methods are not sustainable and the amount of arable lands is decreasing. The agriculture industry experiences different challenges ranging from global to technological aspects. The global aspect is the most prominent challenges experienced and influenced by different factors such as dramatic economic growth in developing nations and
Subsistence agriculture is the cultivation of crops or raising of animals in order to sustain the life of the farmer and their family; it is not commercial agriculture, as the farmer does not intend to sell their crops or animals. The farmer and their family eats the crop that they harvest, consumes the food produced by their animals, or utilizes parts of their animals to help sustain their lives. Subsistence agriculture takes place in less developed countries. About half of the population in those
Agriculture is the lynchpin in the economy of Pakistan and 67% population of this country is living in rural areas with more than 60% earning their bread and butter directly or indirectly through this sector. Pakistan is also blessed with integrated and largest irrigation system of Pakistan serving approximately 18 million hectare of cultivated land. The water of the Indus River and its principal tributaries (Kabul, Swat, and Kunar from the West, Jehlum, Chanab, from the East) feed this system. Thus
life and its subsequent societies was the emergence of agriculture. This practice includes the cultivation and domestication of animals and plants for the benefit of human societies in a way which significantly varied to that of the Palaeolithic era. The development of these human societies was also influenced by the farming of domesticated species which led to a goods increase, ultimately boosting their economies. The history of agriculture precedes thousands of years with the first emergence dating
hunting wild animals to the growing of crops and taming of animals. Many people agree agriculture was one of the best developments that happened in history for many reasons; however, there has been strong evidence that shows that may not be completely accurate. Although agriculture brought some positive advancements, it also brought social and gender inequality, spread of diseases, and malnutrition that led agriculture to become the worst mistake in history. With the
Agriculture in Africa In the 1970’s, Africa was responsible for 8% of the world's total agricultural exports. Today, that number has dropped to 2% resulting in Africa being strictly dependent on food imports. Agriculture in this region should not be a problem due to the tropical climate, booming younger generation, and the huge area. However, agriculture in Africa is suffering due to the lack of fertilizer, technology, funds, and experience. Without a well producing crop, the people of Africa lack