Creating resilience through Index Based Livestock Insurance (IBLI): Insights ...
Crop Insurance
1. Crop Insurance to cope up agricultural hindrances!
By Esubalew Dires
Organization for Rehabilitation & Development in Amhara (ORDA)
livelihood improvement and social transformation
agendas of the region. ORDA funded by Oxfam America has put crop insurance project into
practice in Libo Kemkem Woreda Michael Debir pilot kebele. The project has four major risk
resilient strategies (R4) such as: risk reduct
investment), risk transfer (insurance) and risk reserves (savings).
Crop insurance secures farmers from migration to other areas due to ris
production in case of unpredictable rainfall. It is a type of risk management (such as: flood,
snow, weed and insecticides) in which the risk of a loss is directly transferred to the insurer.
Nowadays, climate change has a depressing impa
insurance is very much important to safe guard our farmers from challenges. However, farmers
in the woreda are now practicing it only in the periods where rain is scarce during sowing dates
and flowering stages.
up agricultural hindrances!
Organization for Rehabilitation & Development in Amhara (ORDA)
livelihood improvement and social transformation of the poor in multifaceted developmental
ORDA funded by Oxfam America has put crop insurance project into
practice in Libo Kemkem Woreda Michael Debir pilot kebele. The project has four major risk
resilient strategies (R4) such as: risk reduction, risk taking (taking loan for productive
investment), risk transfer (insurance) and risk reserves (savings).
Crop insurance secures farmers from migration to other areas due to ris
production in case of unpredictable rainfall. It is a type of risk management (such as: flood,
snow, weed and insecticides) in which the risk of a loss is directly transferred to the insurer.
Nowadays, climate change has a depressing impact on production. Hence, being member of the
insurance is very much important to safe guard our farmers from challenges. However, farmers
in the woreda are now practicing it only in the periods where rain is scarce during sowing dates
Highly degraded areas are being rehabilitated
around watersheds
Organization for Rehabilitation & Development in Amhara (ORDA) is striving hard for
in multifaceted developmental
ORDA funded by Oxfam America has put crop insurance project into
practice in Libo Kemkem Woreda Michael Debir pilot kebele. The project has four major risk
ion, risk taking (taking loan for productive
Crop insurance secures farmers from migration to other areas due to risk of loss of crop
production in case of unpredictable rainfall. It is a type of risk management (such as: flood,
snow, weed and insecticides) in which the risk of a loss is directly transferred to the insurer.
ct on production. Hence, being member of the
insurance is very much important to safe guard our farmers from challenges. However, farmers
in the woreda are now practicing it only in the periods where rain is scarce during sowing dates
Highly degraded areas are being rehabilitated
2. The project is basically targeted to improve the livelihood of farmers through various means.
The establishment of village saving and loan group paves a fertile ground to get loan and
engagement of different income generation activities which significantly played role to own
assets. Crop insurance was initially started at Michael Debir Kebele containing 2 hundred
members but now it’s expanded to four extra kebeles (Shihoch Tehara, Birkutie, Ginaza and Tara
Gedam) benefiting over 1895 households.
ORDA is distinct in its feature that the organization is typically carrying out development
interventions after a thorough discussion is made with target beneficiaries. Hence, awareness
training was offered for more than 3 thousand farmers. The training resulted in building farmers’
awareness and climate of confidence with regard to crop insurance and related risk of loss of
crop production.
ORDA established 83 rural based saving and loan groups through which each group contains 20
villagers organized around their residence and R4 project assisted beneficiaries to save 453
thousand birr. The project linked 463 households (124 FHHs) to financial institutions and they
are involved and are being benefited from sheep rearing and fattening, apiary, poultry and crop
trading and café service.
Crop insurance (R4) is contributing much in project intervention kebeles by implementing soil
and water conservation, area closure and planting of seedling. As a result, those degraded areas
have started rehabilitating. Farmlands which lost its fertility due to flood and erosion around
Girargie, Gum sergo, Aba Shama, Selelkula and Mizla watersheds are now getting
renewed/improved in short period of time. The project also has launched organizing jobless
Women are also involved on IGA’s
3. youths on watersheds to hold them in apiary. Like crossing two hurdles with one leap, ORDA
funded by Oxfam America is aggressively assisting unemployed youths and poor farmers to
eradicate extreme poverty. Far more, the project is fruitful in carrying out climate change
mitigation activities. Improved crop varieties (potato, wheat, maize and tef), fruits and
vegetables and improved washera breed has also been delivered to project beneficiaries.
Young farmer Tigabu Motbaynor, who is father of three children, is a resident at Libo Kemkem
woreda Michael Debir kebele. He is delivered improved crop varieties of wheat and potato from
R4 project. Farmer Tigabu is also part of the saving group. This young farmer is now capable of
fulfilling his children stationary and educational materials. He verified that he has changed his
house from a small hut to a new home with corrugated iron. This young farmer also owns 5 ewes
and a washera wether breed.
Farmer Melaku Yalew who is living in Libo Kemkem Birkutie kebele, has four children. He
became member of crop insurance since 2014 and benefited an improved wheat seed which
helped him to earn better production. Hence, R4 plays a paramount role in securing food at
household level.
Farmers are actively engaged in seed multiplication and watershed development. A saving group
organized by the initiative of ORDA called Abebayehu saved over 5 thousand 3 hundred birr.
The project linked saving groups with Rib union which helped him get a 5 thousand birr loan and
involved in sheep & goat rearing and fattening. Currently, farmer Melaku raised his goats from 3
to 7. Crop insurance delivered farmers orange and mango seedlings and tomato seeds so as to
produce it with his irrigable land. The farmer said, “For longer years, I’m poor and a safety net
user; however, I couldn’t change my life even a leap. But ORDA and Oxfam America do. We
Improved crop varieties to maximize productivity/ potato-Jalenie/
4. are predominantly changed in attitude and our engagement in IGAs resulted in improving our
livelihood.”
Though Ethiopia is a country endowed with rich natural resources, immense water bodies, and
diverse agro-ecologies, vast and fertile land, but still people are suffering in poverty and drought.
Surprisingly, the country’s rich natural, historical, cultural and archeological heritages are not
that much visible globally. Outsiders recognize Ethiopia as poor, a country of drought, poverty-
stricken and war-ravaged. So, shouldn’t it be last to be shy of poverty? We never have other
option except closely working together in harmony. Hence, it’s the assignment of each citizen to
carryout developmental interventions in lighting up livelihood changes and social transformation
particularly in the region generally throughout the country.
Citizens are yet living under poverty. Farmer Sifrash Dagnaw is to be mentioned forefront. She
is living in a small village called “chuchiba” Shihoch Tehara Kebele -10 kilometers far from
Adis Zemen town. Farmer Sifrash tested the ups and downs of life. She is growing four of her
children in misery of life. W/ro Shifrash has started looking the dawn of hope for life. It was
really hurt touching to hear about her changes after the intervention of the project. She frequently
mentions and thanks ORDA and its donor Oxfam America in her articulations for their
unreserved support.
Farmer Sifrash started to be benefited from improved crops (wheat & maize) delivered by crop
insurance (R4). She also has got a 4 thousand birr loan and bought 3 ewes for rearing. Farmer
Sifrash claimed, “I owned no asset, rather I was looking for the aid of safety net just putting
aside my working hands. However, by the help of the project, I’m well aware of how I can
Saving groups organized by the project Various structures of watersheds
5. improve my life working on various income generation activities. After the intervention of the
project, I hold a house (40 corrugated iron), made a profit of three thousand birr to return back
the loan. I’m successful in rearing that my sheep are maximized from 3 to 6. Crop insurance
offered me a washera tether for improved breeding.”
W/ro Sifrash is eager to withdraw from safety net since the end of 2015. She wanted to
strengthen income generating activities like tea, bread and a local beer “Tela”. Besides this, she
is now specialized in sheep rearing. Farmer Sifrash supported her first daughter for 4 years until
she graduated at Wollo University.
Generally speaking, activities of crop insurance (R4) is quite inspiring for farmers in changing
their livelihoods. The project should also target more beneficiaries in an integrated manner. It is
by now well realized that only through community approaches the large numbers of
marginalized rural people can be "reached" effectively and put remarkable contribution in
changing their lives.
