Nigeria and Morocco have agreed to develop a more efficient agricultural insurance scheme targeted to develop a sustainable crop insurance scheme for the country.
The Nigerian Agricultural Insurance Corporation (NAIC) and Bank of Agriculture will be working in collaboration with the Moroccan Agricultural Insurance Company.
The Managing Director of NAIC, Mrs. Folashade Joseph revealed in Abuja at the inauguration of the committee that Moroccan model for crops covering selected areas of between 5000 and 10,000 hectares of land so as to boost agriculture as an alternative revenue earner for Nigeria.
There are growing challenges posed to agriculture by climate change, she said there was need for Nigerian farmers to accept and embrace agricultural risk management.
NAIC MD assured that there would be continuous partnership agreements and collaboration with international partners to develop and deploy insurance products that will help in managing emerging risks.
Joseph said the Bank of Agriculture (BOA) had been NAIC’s strongest partner for over 30 years and assured the bank of NAIC’s continued support in the provision of risk management services to agricultural investors and farmers financed by BOA.
She also assured BOA of prompt payment of claims to farmers on its insurance platform as well as the development of new insurance products and services to manage the peculiar risks of the agricultural sector.
However, the Managing Director, Bank of Agriculture, Alhaji Kabiru Mohammed said although his bank and NAIC had enjoyed a good relationship over a long time, there were new developments that made it important for them to strengthen the partnership to facilitate the realisation of the objections of the federal government in repositioning agriculture.
He also stated that emerging realities in the country had made it an imperative to change the mindset of farmers from the thinking that farming was no more than a traditional occupation and said there is huge profit in agriculture if properly and strategically done.
The BOA Chief Executive said there was need for his bank and NAIC to partner in collective marketing and information sharing.
Lastly,he said that the bank was already looking beyond government intervention and was discussing with international development partners and investors as a way of boosting agriculture in Nigeria.