The government will subsidize between 30% and 60% of the total cost of insurance premiums for crop losses due to bad weather.
Rice, beans, corn, potatoes, onions, bananas and tropical roots (cassava, cocoyam, yam and taro) are the crops that will benefit.
Agriculture Minister Javier Flores informed Nacion.com: "We are already working with the INS, the Treasury Department and international agencies on a parametric insurance system based on historical rainfall rates and weather conditions. These premiums would be much more accessible for producers."
Climate problems in 2010 left $ 78.3 million in losses.
Data from the Ministry of Agriculture, Livestock and Food reported damage to 80.262 hectares of crops and 567 hectares of forest.
"Out of the total losses, $ 65 million were crops, $ 7.8 million in destruction of irrigation infrastructure, $ 3.2 million in the livestock sector, $ 760,000 in forestry and $ 1.5 million in hydro-biological," reports Prensalibre.com.
The Ministry of Agriculture forecasts $3.2 million worth of losses, mainly in crops of white corn.
The heavy rains that have been falling since 28 August have flattened 4,852 hectares of corn, which represents a loss of $2.6 million.
The Minister for Agriculture, Juan Alfonso De León, explained that while around 300,000 hundred weight of grain will no longer enter the market due to the rain, production is still expected to exceed 29 million sacks in the current harvest, according to Prensalibre.com. "We do not expect to have to resort to an import contingency plan," he said.
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