Hollard Mozambique Project - Mozambique
GIIF worked with MITADER to conduct an Index Insurance Feasibility Study that consists of a value chain analysis for 4 priority crops (beans, cotton, maize, and cashew nuts). Results from the study where disseminated during a stakeholders workshop in Maputo in August 2018, shedding light on farmers’ willingness and ability to pay for insurance premiums as well as identifying key aggregators through which index insurance products could be distributed in the country.
GIIF is providing financial support to Hollard Mozambique to help the firm expand its agricultural insurance business line. As part of this support, from August to December 2018 Hollard developed three index insurance products for maize, cotton, and sesame, and covered 5,547 smallholder farmers in the country.
In Mozambique, agriculture accounts for approximately 32% of GDP and involves over 81% of the population. With little infrastructure and relying on rain-fed agriculture, farmer’s livelihoods are affected by natural hazards such as droughts, cyclones, and floods.