Introduction of compulsory agricultural insurance in Armenia impossible, prime minister
20.06.2012,
23:50
Introduction of compulsory agricultural insurance in Armenia today is impossible, Prime Minister Tigran Sargsyan said at the extraordinary session of parliament on Wednesday.
YEREVAN, June 20. / ARKA /. Introduction of compulsory agricultural insurance in Armenia today is impossible, Prime Minister Tigran Sargsyan said at the extraordinary session of parliament on Wednesday.
"This type of insurance is impossible today, because farmers should be ready to pay to have their tomorrow's risks predictable. Our farmers are not ready for such expenses," he said, in response to a question from Samvel Balasanyan, a lawmaker from the Prosperous Armenia faction.
The prime minister said there are 340,000 farms, and the average farmland is only 1.2 hectares.
"It is clear that these small farms can not be effective, their performance may not be high. And it is clear that insurance costs will be for them too heavy a burden," he said.
Sargsyan pointed out that international experience also shows the inefficiency of insurance in agriculture, this is why the majority of countries favor implementation of risk reducing measures.
"We are not against agricultural insurance; those farms that are ready for it, can insure themselves against risks. However, we are opposed to compulsory insurance ", he said. -0-
