MercoPress. South Atlantic News Agency

Massive loss of crops in Chile with little or no insurance

Chile's Central valley fruit and vegetable growers were not prepared for this winter's freezing weather in more ways than one. Agriculture authorities reported that only 8% of the crops destroyed by icy weather were insured against the cold.

Chilean farmers most often buy insurance to protect themselves against drought. But only 50,000 to 60,000 of the region's 800,000 planted hectares are protected by the insurance against excessive rain, frost, wind, and snow, according to Eugenio Rodríguez, director of the Committee of Secure Agriculture. Magallanes and Mapfre, an insurance company with about 4,700 contracts in the central valley, identified 1,912 farms whose crops were exposed to the frost. However, the company has received only 25 requests for compensation. Chile's recent cold snap has hit farmers in Region VI through Region IV, with some farmers reporting crop losses of 50%. An estimated 40% of Region IV's papaya, avocado, citrus and vegetable crops and 30% of its chirimoya (custard apple) crop have been destroyed by the recent spate of arctic weather. The most intense frost occurred the 9th and 10th of July, when temperatures dipped below 25 degrees Fahrenheit in Chile's southern regions. The Santiago Times