By Bisola Adeyemo
The manager of Nigeria Agricultural Insurance Corporation (NAIC) says the current negative impact of climate change has made the environment more vulnerable and unpredictable.
Manager of NAIC in Enugu State, Mr Andrew Uzomah, disclosed this on Wednesday in Enugu, the state capital.
Uzomah spoke on the sideline of a lecture on “The Need for Insurance for Smallholder Farmers’’ at the ongoing International Fund for Agricultural Development (IFAD) Financial Literacy for Farmers in Enugu.
According to him, Environews reported that the exposure to risk and losses in farming practice is more pronounced today than what we know in the history of the country.
“It is in the best and wise interest of farmers – whether big time, medium or smallholders farmers – to insure their crops within its duration on the farm.
“Those in the value chain or value addition aspect of farming can insure their work or processing equipment with payment of little premium.
“Insurance act as safeguard in case if things go bad and to ensure that the farmer is not totally kicked out of farming after a recorded loss due to natural devastation or other unforeseeable conditions,’’ he said.
“For instance, for a hectare of cassava farm, which is usually peg at between N200,000 and N240,000.
“The insurance premium to be paid by a smallholder farmer should be about N4,000 for six months duration of the cassava production.
“This low premium also goes for other crops within a hectare as far as small holder farms are concerned,’’ he added.