Guyana launches landmark premium-free crop insurance for rice farmers
Key Points(5)
- In a groundbreaking move to protect farmers from climate-induced losses, Guyana President Dr.
- Irfaan Ali on Tuesday launched a premium-free crop insurance programme for rice farmers, hailing it as a historic step toward climate resilience and agricultural modernization.
- The initiative — a collaboration between the Government of Guyana, Indian agrochemical giant United Phosphorus Limited (UPL), and Philip Morris International — will provide approximately 6,000 rice farmers with free insurance coverage against extreme weather events such as flooding and drought.
- Farmers will not be required to pay any premiums, making the programme the first of its kind in the Caribbean region.
- “This programme is not just relief.
In a groundbreaking move to protect farmers from climate-induced losses, Guyana President Dr. Irfaan Ali on Tuesday launched a premium-free crop insurance programme for rice farmers, hailing it as a historic step toward climate resilience and agricultural modernization.
The initiative — a collaboration between the Government of Guyana, Indian agrochemical giant United Phosphorus Limited (UPL), and Philip Morris International — will provide approximately 6,000 rice farmers with free insurance coverage against extreme weather events such as flooding and drought. Farmers will not be required to pay any premiums, making the programme the first of its kind in the Caribbean region.
“This programme is not just relief. It is a lifeline for you,” President Ali told farmers gathered at the Region Two launch. “For years we have talked about crop insurance but little traction was made until now. This is what makes today so historic.”
The new insurance scheme forms part of a broader national strategy to boost food security, improve access to credit, and promote climate-smart farming practices. President Ali urged commercial banks to adjust their lending frameworks now that farmers have insurance backing.
“Now you can go to the bank with your insurance. We are challenging the banks: with this insurance, the risk is reduced, and the cost of lending to our farmers must reduce substantially,” he said. “We want farmers to become wealthy… to have less tax burden and more disposable income.”
As part of the rollout, the government also announced a pilot rice farming system that will incorporate modern technology and advanced tools to boost productivity and climate resilience.
Minister of Agriculture Zulfikar Mustapha described the programme as a “transformative moment” for the sector. “From now, you will be covered by this product so that you can be compensated when these things happen,” he said, referencing past difficulties accessing agricultural insurance in Guyana.
“We are the first country in the entire region that is launching a product to cover our rice farmers,” Mustapha added. “This is not just about risk reduction. It is about empowerment.”
UPL executive Jaidev Shroff commended Guyana’s leadership, noting that agriculture is among the sectors hardest hit by climate change. “Farmers can not only feed the world — we believe that farmers can help decarbonize the world if they are incentivized right,” he said.
With rice remaining a cornerstone of Guyana’s agricultural exports, the government hopes the programme will eventually be expanded nationwide and serve as a model for climate-resilient farming throughout the Caribbean.
