Farmers in Australia face many different types of risks. Drought is one of the most common, and can be the most devastating for the farming industry when it occurs.
That is why the National Farmers’ Federation (NFF) is supportive of the government’s new proposal to deliver an economic stimulus package that would boost employment in drought-affected communities.
While having farming insurance may not directly cover the effects of a drought, it will still mean that the rest of the farm – the house, vehicles and equipment, livestock and working dogs – are all protected from other risks.
It is important to the viability of agriculture in Australia that farmers take out an insurance policy to protect their assets and their livelihoods for common insurable risks.
The president of the NFF Brent Finlay has said his organisation has tabled 21 recommendations aimed at remedying the current drought support package. The package aims to boost the industry and support farmers who are struggling with many issues, not just those drought-related.
These includes everything from accidents on the farm to biosecurity threats to their crops.
“Our latest talks with the government followed a letter written to the Prime Minister two weeks ago outlining concerns that farmers and communities are being denied assistance because of unforgiving eligibility criteria and red tape,” Mr Finlay said.
“The recommendations we’ve made reflect concerns we raised at the outset of the scheme and again late last year. These can no longer be ignored.”.
According to Mr Finlay, many farmers were facing their fourth season without income, which was “more than anyone can reasonably expect a business to withstand”.
Encouraging more farmers to invest in specialised insurance was one way the government was looking to help the industry maintain itself during tough times. It is currently a topic of the forthcoming Agriculture white paper to be released sometime this year.
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