Multi-peril crop insurance (MCPI) has the potential to be the next big thing in agriculture according to the Western Australian Farmers Federation (WAFarmers).
Farmers, banks and other grain growing stakeholders were left inspired last week after attending a MCPI workshop hosted by WAFarmers and the Grains Research and Development Corporation (GRDC).
WAFarmers CEO Stephen Brown says the definition of risk has changed considerably over the last three decades.
“Western Australian weather can be incredibly varied and severe, and as global warming continues to impact the climate in our state, the importance of having insurance against weather events cannot be overstated,” Brown says.
“We believe this product, when fully matured and developed, has the potential to be the next big thing in agriculture, de-risking the operations of many farmers in highly volatile rainfall areas.”
Mr Brown said MPCI could also be extended to cover a variety of other crops for both the fruit and vegetable industries, with a recent case being the significant damage to fruit and potato crops in and around Manjimup as a result of recent heavy rain and resultant flooding.
Held at the South of Perth Yacht Club, the event included presentations from John Thompson of Hall Chadwick, Tammin farmer and WAFarmers Vice President Tony York and Peter Burtenshaw from Australian Reliance.
Attended by more than 80 people, the presentations discussed the benefits of MPCI, how it differed from other available policies, and the risk-averse benefits it could deliver farmers.