BAKU, Azerbaijan, April 11. The insurance season for citrus orchards, including lemon, tangerine, and orange farms, has begun in Azerbaijan, under the country’s agricultural insurance mechanism supported by the government, the Ministry of Agriculture told Trend.
According to the ministry, orchard owners and farmers cultivating these fruits can now insure their farms against various risks through the country’s agricultural insurance system.
Citrus orchards hold a significant place in Azerbaijan’s agricultural landscape. Currently, over 4,500 hectares of citrus fruit orchards exist in the country, with approximately 3,278 hectares dedicated to tangerines (mandarins), 703 hectares to lemons, and 582 hectares to oranges.
Citrus farming is mainly concentrated in the country’s southern regions, where 95 percent of lemon orchards, 99 percent of tangerine orchards, and 100 percent of orange orchards are located. In recent years, the area dedicated to citrus orchards has been expanding thanks to newly planted orchards.
In 2024, Azerbaijan exported 2,343 tons of tangerines and mandarins worth $1.9 million to international markets.
The Agricultural Insurance Fund covers citrus orchards against numerous risks such as hail, storms, hurricanes, excessive snow, flooding, frost, wild animal attacks, and actions by third parties.
In 2024, the Fund paid out over 40,000 manat ($23,529) in insurance claims for damage to lemon, tangerine, and orange orchards. Of these claims, 16,287 manat ($9,580) were paid for lemon orchards, 13,446 manat ($7,909) for tangerines, and 10,912 manat ($6,418) for orange orchards, following damage from storms, floods, and frost.
The 50 percent state subsidy on the insurance premium enables farmers to insure their citrus groves at a minimal cost. The government covers half of the premium, with the remaining half paid by the farmer.
The total cost for insuring citrus fruit trees in the southern region amounts to just 12 manat ($7) for 1,000 manat ($588.2) worth of fruits.
Moreover, orchard owners can also insure individual fruit trees. In the event of tree loss, farmers will receive insurance payments equivalent to the value of the tree’s yield for the next three years. The insurance rate for this product is set at just 0.83 percent.
For example, a tangerine tree that produces fruit worth 30 manat ($17.6) annually would require a modest annual insurance premium of just 74 kopeck (43.5 cents). After applying the 50 percent government subsidy, the farmer would only need to pay 37 kopeck (21.7 cents) to insure the tree against various risks.
Further information regarding agricultural insurance products, crop and livestock insurance terms, and premium rates can be obtained from the official website of the Agricultural Insurance Fund (asf.gov.az) or by contacting the Fund’s Call Center at 1651.
