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Community Contingency Funds, an agricultural risk insurance for vulnerable households











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    Document
    Climate Change, Food Security and Insurance Systems for Family Farming
    Brazil case: Climate, income and price insurance programs.
    2016
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    Family Farming Insurance Disasters resulting from weather changes cause the greatest economic impacts on the region (70% of emergencies are weather-related). Annual costs of approximately 2.2% of the GDP (base year 2010) are estimated to face disasters, in lack of climate change adaptation actions. The global climate risk index estimated based on information from 1995 to 2014, indicates that 4 out of the 10 countries with the highest risk index are in Latin America and the Caribbean: Honduras, H aiti, Nicaragua and Guatemala. In the region, one third of the population lives in high risk zones due to exposure to geological and hydro-meteorological threats. Climate change is also increasing the dispersal area of plant and animal plagues and diseases, in addition to increasing the probability of outbreaks and intensified effects. Through the enactment of Law 5,969 of 1973, Brazil established the Agricultural and Livestock Activity Guarantee Program (PROAGRO) to protect farmers from rural loan obligations. In 2004, it created “PROAGRO Mais”, for producers associated to the National Program for the Strengthening of Family Farming (PRONAF). Currently, PROAGRO protects medium-sized farmers (PRONAMP), and PROAGRO Mais protects PRONAF beneficiaries. PROAGRO Mais guarantees, in cost operations, up to 80% of the expected gross income, covering financing and up to R$ 20 thousand of the estimated net income; and for investment operations, coverage limit is 95% of the expected gross inco me, deducting the coverage by cost operations. In cost operations, PRONAF beneficiary participation is mandatory, while in investment operations, it is optional. Harvest Guarantee In Latin America and the Caribbean, family farming is very important for the food security and nutrition of all population. Approximately 81% of agricultural endeavours correspond to family farmers and, depending on the country, they provide 27% to 67% of the food. Family farming generates 57% to 77% of agricultural j obs in the region, so its is a very important job-generation sector. To continue boosting food security and sustainable development, family farming has three important challenges: 1) to produce more assorted and nutritional foods, 2) to continue creating safer and more stable jobs, and 3) to favour the appropriate use of resources used in production. Harvest Guarantee is a program that supports family farmers below the poverty line, with emphasis on the Brazilian Semiarid Zone, where losses due to drought are frequent. It was established by Law 10,420, of April 10, 2002. Price Guarantee for Family Farming This is a Federal Government program that offers the family farmer with PRONAF loan, a protection against price reductions. Currently, 51 products have a guarantee price. Rural population in the region lives in an extremely precarious situation because the poorest population plus the population in economic vulnerability situation correspond to 80% of the total rural population. Many family farmers in this percentage have their livelihoods depending greatly on environmental factors and natural resources.
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    Project
    Critical Support to the Cold Wave and Locust Emergencies in Pakistan - TCP/PAK/3801 2023
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    Pakistan is prone to multiple natural hazards, including floods, droughts, earthquakes, landslides, snowfall, avalanches and cyclones Beginning in January 2020 unprecedented heavy snowfall and rain coupled with avalanches adversely affected livelihoods in many districts of Balochistan and Pakistan Administered Kashmir In Balochistan the Provincial Disaster Management Authority ( declared eleven districts of the province calamity hit In Pakistan Administered Kashmir, three districts were identified as the worst affected by the state government According to the National Disaster Management Authority ( 1 300 houses, mostly located in Balochistan 1 062 were damaged in snow/rainfall spells and 107 people died, with smallholder farmers the hardest hit Balochistan is home to 50 percent of Pakistan’s small ruminant population, with a high concentration of livestock in some of the affected districts As a result of the cold wave, an estimated 30 to 40 percent of the livestock population lacked feed and fodder, and animal health support Standing seasonal Rabi crops were also severely affected, with serious repercussions for the food security of the vulnerable population Because of the unavailability of financial and technical resources, the assistance provided by the government authorities was limited and a request was made to FAO to provide the affected population with fodder, medical treatment and crop inputs for the upcoming cropping season FAO technical assistance was also requested to build capacity at federal, provincial and district levels to eliminate Desert Locust, following the worst outbreak in over 25 years and the declaration of a national emergency in January 2020 The original project had three outputs aimed at safeguarding livelihoods and protecting the food security and nutrition of the most vulnerable farming households Output 1 would target the cold wave emergency in the worst affected districts of Kila Saifullah Balochistan and Neelum (Pakistan Administered Kashmir Output 2 would enhance coordination among FAO, the World Food Programme and the Food Security and Agriculture Working Group ( co led by the NDMA and PDMAs, while Output 3 would build the capacity of the departments of plant protection and agriculture to manage Desert Locust outbreaks.
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    Document
    Fonds Communautaires de Contingence: L’épargne comme instrument de résilience 2016
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    En prenant en compte les risques constants de catastrophes agro-climatiques dans le « corredor seco », les autorités locales et nationales du Guatemala et du Honduras ont travaillé sur un projet de renforcement des capacités des associations de producteurs agricoles. Ce projet, développé depuis 2011 avec la FAO puis avec le soutien de la Coopération Belge à partir de 2013, tend à l’amélioration des capacités de gestion des risques et au renforcement de la résilience à travers les Fonds Communaut aires de Contingence (FCC).

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