Given the huge damages caused by storm Gloria to crops and agricultural productions of the Mediterranean coast, the Spanish Ministry of Agriculture, Fisheries and Food (MAPA) recalled that the combined agricultural insurance system will cover the storm damage. It stressed that the damages caused by hail, wind, floods, torrential rains and other climatic adversities are included in all the insurance lines of the current Annual Agrarian Insurance Plan.
In woody crops, such as citrus, compensations are also guaranteed in the case of the death of trees or severe damage to the productive structure.
Damage to facilities on insurance lines, such as vegetables under cover, are covered if they have been included in the policy by the insured, since those require a voluntary subscription.
It is still early to offer data on the area affected, as well as to make an economic estimate of the damages, but the Ministry believes that they will be considerable.
Some of the most affected crops are citrus fruits from the Region of Valencia and the Region of Murcia and, to a lesser extent, Catalonia. Other crops, such as artichoke, cauliflower, broccoli or lettuce, have also been affected by storm damage.
As highlighted by the Minister of Agriculture, Fisheries and Food, Luis Planas, the agricultural insurance system is a fundamental part of agricultural policy in Spain and a priority for the MAPA, because it is an effective tool for the management of producers' risks.
This Ministry is currently working on developing a line of funding to improve access to credit in the agricultural sector. Apart from this, agricultural producers enjoy the financial conditions set by the State Corporation of Agricultural Surety (SAECA); a public instrument under the umbrella of MAPA. Furthermore, the MAPA is proposing tax advantages for those involved in agricultural activities who suffered severe losses for extraordinary reasons in the 2020 campaign.