unstable economy. At the same time, there is a question not only about their safe
disposal, but also about the rational use of the needs of the national economy, that is,
the use of technologies without waste. Modern intensive livestock production
technologies include multivolume and complex issues of retention, breeding, feeding,
animals’ reproduction, construction and exploitation of livestock farms, mechanization
and automation of various production processes. However, in intensive systems there
are their disadvantages. In the production of livestock products, large volumes of waste
are generated, which often exceeds the ability of neighboring territories to absorb them.
More active measures are needed to ensure that these wastes are collected and
returned to the soil as fertilizers, or used productively in other ways. It is necessary to
carry out a large amount of work in organic livestock, mainly in organic dairy and meat
farms. The key to the development of organic livestock is to stimulate it from the state.
The production and income from organic production is associated with a number
of risks. Agrarian insurance is one of the most effective tools for managing all types of
risks, which enables the combination of interests of agricultural producers and the state.
[21] Unfortunately, agro-insurance services are still not very popular among domestic
agrarians, not only because of the lack of funds in the latter, but also because of the
lack of transparency of some insurers. However, in Ukraine, a pool of reliable
agricultural insurers has already been formed, which is guaranteed to pay insurable
damages to the farmer in the event that it is stipulated by the agreement (Table 1).
Table 1 Consolidated data on insurance of organic crops, 2017
Source: 22
In the insurance of organic crop production, in the 2017 underwriting year, 19
contracts (or 2% of the total number of insurance contracts for agricultural crops) were
concluded at a total area of 7.4 thousand ha, which is 1.1% of the total insured area.
The sum insured amounting to UAH 79.1 million is 1.3% of the total sum insured, and
the insurance premium is UAH 3.6 million – correspondingly 1.8% of the total
insurance premium received by insurance companies from insurance of agricultural
crops. The average rate of organic production premium exceeds the overall average
premium rate and is 4.6% [22].
Culture
Number of
contracts
Area, ha
Insurance
amount,
UAH
Amount of
bonuses,
UAH
Average
rate of
bonus, %
Amount of
bonuses,
UAH / ha
Winter
wheat
17
7 141
77 856 200
3 549 296
4.6%
497
Winter rye
1
104
764 400
23 620
3.1%
227
Yar barley
1
136
505 400
32 952
6.5%
242
Total
19
7 381 79
126 000
3 605 868
4.6%
4
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