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    Shandong: Pilot Cotton Target Price Insurance Seed Cotton More Guarantee

    2019/7/19 10:42:00 2

    ShandongCottonTarget Price

    According to reports, Shandong Province issued the "2019" cotton The target price insurance plan has been launched in Pingyin County, Dongying Dongying District, Shouguang City, Yutai County, Xiajin County, Wucheng county and other 6 counties (districts) to launch a pilot project on cotton target price insurance.

    On the basis of cotton purchase and storage, target price subsidies and other policies, Shandong has launched the target price insurance pilot project. Xu Chunhui, a commentator of China's rural commentator, believes that this will play a significant role in promoting cotton planting income and promoting the high quality development of cotton industry.

    Xu Chunhui: cotton is the largest agricultural product after grain in China, and occupies an important position and role in the national economy. In recent years, in order to protect the interests of cotton farmers and stabilize the production of cotton, the state has promulgated many policies. For example, since 2011, the state has implemented a temporary storage and purchase policy for cotton. In 2014, the cotton target price subsidy was established and the pilot project was launched in Xinjiang for the first time. However, in the implementation process, there were many problems, such as the complicated operation procedures of target price subsidies, imperfect subsidy supporting measures, opaque subsidy policies, and lack of legal basis. To solve these problems, China put forward "cotton target price insurance". Recently, Shandong has launched the "cotton target price insurance" pilot work.

    "Cotton target price insurance" refers to a system arrangement that the state uses insurance mechanism to subsidize premium to achieve convergence, decentralization and transfer of cotton market risks. It should be said that the pilot scheme is more comprehensive. These include the uniform pricing and duration of insurance premiums. According to the regulations, the unit insurance premium must be 120 yuan / mu. The premium is the unit premium (yuan / mu) * the insurance area (MU); the cotton target price insurance premium is fully subsidized. According to the actual situation and current situation of cotton industry in Shandong Province Market quotation The target price of insurance is specifically based on the final quotation of the insurance company, but not less than 15200 yuan / ton, that is, the minimum guaranteed income per mu is converted to 1216 yuan.

    The target price insurance object is determined by the actual cotton growers in the 6 counties (districts) of Dongying district and Shouguang City of Dongying, and the farmers of large-scale operation and cotton growers are the objects of the target price insurance. While adhering to the principle of independence and voluntariness, efforts should be made to achieve full coverage within the county level.

    At the same time, the compensation time is also explained. When the insurance settlement price is lower than the insurance target price during the insurance period, it is regarded as an insurance accident. The insurance company shall pay the compensation according to the specific stipulations in the compensation treatment. The insurance period is 4 months, that is, from September 1, 2019 to December 31st. The insurance company will make full payment to the insured cotton farmers before February 29, 2020.

    In recent years, cotton prices have been greatly affected by the impact of imported cotton, and cotton farmers' income and planting enthusiasm have been affected. Therefore, the pilot project of cotton target price Insurance launched by Shandong province plays an exemplary role in protecting farmers' income, innovating agricultural subsidies, exploring and promoting agricultural price insurance, and also promoting the high quality development of local cotton industry.

    In fact, as a means to guard against the risk of price fluctuations, target price insurance has been used for vegetable crops such as cabbage, soybeans, scallion, garlic and so on. This is the first time that Shandong has applied "target price insurance" to cotton for the first time.

    The pilot implementation of cotton target price insurance will become a "stabilizer" for cotton farmers' income. However, there will be some problems in the implementation process. Therefore, we should further establish and improve the insurance system of cotton target price insurance, for example, insurance companies must reasonably determine the final offer; we should further assume "insurance + futures" to disperse market risks; at the same time, we should increase the publicity of "cotton target price insurance" and so on.

    In short, the pilot project of "cotton target price insurance" launched by Shandong province is aimed at maximizing the interests of cotton farmers, giving full play to the effectiveness of fiscal policy, setting reasonable premium rates, making full use of the futures market to diversify risks, focusing on improving the level of risk protection, and effectively protecting the farmers' income and enthusiasm for cotton planting. This is a rewarding attempt worthy of affirmation.

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