Ha Noi—Agricultural insurance regulations need to be revised to encourage more farmers to buy agricultural insurance, said the provincial authority of Dong Nai.

The request was made after implementing the pilot programme for animal husbandry insurance in the province. The authority said some insurance regulations on animal husbandry were not relevant and needed to be adjusted.

Dong Nai currently has 1.2 million pigs (the largest number in the country) and 9 million chickens.

The local authority has asked the ministry of finance to adjust the insurance premium rates for different types of pigs and chickens, which it said were too high.

It also said the preventive injection compulsory taking out of agricultural insurance added to farmers' costs.

The authority also said there needed to be clearer regulations on the announcement of epidemics. Officials said that farmers should be compensated if livestock died from disease before an official announcement had been made.

Nguyen Tri Cong, chairman of Dong Nai livestock breeding association, said many farmers were unsure about the regulations governing agricultural insurance.

According to Dong Nai People's Committee, about 1.4 million of cows, buffalos, pigs, chickens and ducks in the province had been bought insurance by last April.

A survey conducted by the province also showed that livestock farms were not interested in buying agricultural insurance due to the cost.

The pilot programme covers rice, animal husbandry and aquaculture - which are worst affected by natural disasters and disease.

Paddy fields are covered by insurance in An Giang, Dong Thap, Binh Thuan, Ha Tinh, Nghe An, Nam Dinh and Thai Binh provinces.

Meanwhile, tiger and white leg shrimp producers are insured in Tra Vinh, Ben Tre, Bac Lieu, Ca Mau and Soc Trang provinces.

The breeding of cows, buffalos, pigs, chickens and ducks are insured in Dong Nai, Binh Duong, Binh Dinh, Nghe An, Thanh Hoa, Bac Ninh, Hai Phong, Vinh Phuc provinces and Ha Noi. Each province selects three districts and each district selects three communes or villages to run the pilot programme.

The State funds 100 per cent of the insurance premium for those living below the poverty line, 80 per cent for poor households and 60 per cent for households with an average income. Production units buying agricultural insurance are reimbursed 20 per cent of the amount by the insurance company, under the plan.

The pilot programme on agricultural insurance for the 2011-2013 period aims to help farmers cope with the consequences of natural disasters and epidemics.--VNS