GEORGETOWN, Guyana, CCMC – The Caribbean Group (CARICOM) Assistant Secretary-Normal Joseph Cox described Friday as “a big milestone in our regional growth” the launch of a regional financial, agricultural insurance coverage program (REAP).
Addressing the initiative’s launch, Cox mentioned it additionally marked the introduction of a personal sector-driven agriculture insurance coverage initiative for the area.
He applauded Barbados, Dominica, Guyana, St. Kitts and Nevis, St. Lucia, St. Vincent, and the Grenadines for pioneering participation within the preliminary section. He praised the Ministerial Taskforce on Meals and Vitamin Safety for its dedication to figuring out appropriate agricultural insurance coverage schemes, a vital goal of the 25 p.c by 2025 Initiative.
Cox mentioned {that a} important deliverable of the Particular Ministerial Taskforce on Meals Manufacturing and Meals Safety (MTF) is to help with de-risking the sector by offering agricultural insurance coverage for farmers throughout the CARICOM area.
“The lengthy however rewarding efforts of all concerned within the course of that has led us to the place we’re at the moment are actually outstanding. This can be a important milestone in our regional growth.
CARICOM member states are among the many most susceptible Small Island Creating States (SIDS) whose agriculture sectors stay extremely uncovered to the consequences of local weather change,” Cox added.
He mentioned adjustments in climate patterns, heavier rainfall, and harsher dry seasons, amongst different issues, proceed to have disastrous results on the agriculture sector’s output and productiveness.
“If the arrival of Hurricane Beryl has taught us something, it’s that we will need to have restoration and resilience plans in place that may reply to the pure disasters and counterbalance GDP (Gross Home Product) losses and the apparent damaging impression on the financial livelihood of the individuals of our area.
“One can solely reference the devastation precipitated to Dominica by Hurricane Maria, when the nation misplaced 290 p.c of its whole GDP in a single day.
“On this regard, agriculture insurance coverage performs an important position for the Caribbean Group member states by defending in opposition to local weather change’s unpredictable and devastating impacts on agriculture.
“Because the Caribbean faces extra frequent and extreme weather-related occasions, the significance of agriculture insurance coverage in safeguarding farmers’ livelihoods and guaranteeing meals safety for the individuals of the area grows considerably,” Cox mentioned.
The REAP presents insurance coverage merchandise with direct payouts to cowl manufacturing prices and enterprise interruptions. REAP’s goal is to make sure monetary resilience, bolster meals safety, and promote more healthy dietary habits throughout the area, which align with the important thing deliverables of the CARICOM’s Particular Ministerial Job Pressure on Meals Manufacturing and Meals Safety.”
Barbados-based Lynch Caribbean Brokers launched the initiative. Ali mentioned it was vital for regional nations to assist it with analysis and growth and knowledge availability to scale back the instrument’s price.
Cox informed the launch {that a} latest report from the Meals and Agriculture Group (FAO) highlighted the numerous monetary losses skilled by creating nations because of crop and livestock manufacturing harm.
“Recognizing the extreme results of pure disasters and local weather change, the area’s initiative goals to boost meals sovereignty and financial resilience by adapting to and mitigating these impacts.
“Agriculture insurance coverage packages are important in enabling farmers to spend money on sustainable and resilient practices, mitigating climate-related dangers, and facilitating fast restoration from pure disasters.”
He mentioned agriculture insurance coverage is a important element of CARICOM’s technique to fight the opposed results of local weather change on agriculture and work in direction of the 25 p.c by 2025 Initiative targets.
He mentioned past mitigating dangers, agriculture insurance coverage programmes can stimulate non-public sector involvement and cross-border investments within the agricultural sector. By decreasing these dangers, these packages entice investments, promote innovation, and assist progress within the business.
Cox mentioned the launch of this program exemplifies the collective dedication of CARICOM member states to sustainable growth and resilience within the face of environmental challenges. He mentioned different member states are inspired to affix the initiative to maximise its advantages all through the Group.
“As we proceed to peel away the varied layers of impediments to regional meals and diet safety, this is likely one of the many successes and revolutionary achievements to come back as we march in direction of the belief of Imaginative and prescient 25 by 2025.
“As I mentioned, this can be a substantial effort and a giant deal for agriculture and regional meals safety. The success of the REAP product will act as a catalyst in de-risking the agriculture sector and create the atmosphere for realizing an much more investor-friendly ecosystem for regional meals and diet safety,” Cox added.
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