{"id":113472,"date":"2025-05-27T00:19:48","date_gmt":"2025-05-26T21:19:48","guid":{"rendered":"https:\/\/www.csregypt.com\/?p=113472"},"modified":"2025-05-27T00:30:58","modified_gmt":"2025-05-26T21:30:58","slug":"study-eu-agricultural-sector-loses-over-e28-bn-a-year-over-adverse-weather","status":"publish","type":"post","link":"https:\/\/csregypt.com\/en\/study-eu-agricultural-sector-loses-over-e28-bn-a-year-over-adverse-weather\/","title":{"rendered":"Study: EU agricultural sector loses over \u20ac28 bn a year over adverse weather"},"content":{"rendered":"

The European Union agricultural sector loses more than \u20ac28 billion a year, on average, as a result of adverse weather such as droughts and the EU can do more to reduce such business risks, including by expanding farm insurance, according to a groundbreaking new\u00a0study<\/a>.<\/p>\n

The analysis, published jointly by the European Investment Bank (EIB)<\/a> and the European Commission, says that worsening climate change threatens to increase EU agricultural average annual losses as much as 66% by 2050, and urges a stronger EU risk-management system for the sector.<\/p>\n

Only 20% to 30% of climate-induced farm losses in the EU are insured through public, private or mutual systems including those supported by Europe\u2019s Common Agricultural Policy (CAP). Insurance coverage backed by public funding is often more effective than government compensation programs, according to the study.<\/p>\n

\u201cClimate-related risks are an increasing source of uncertainty for food production. Mitigating these risks through insurance and de-risking mechanisms is essential to support the investments of European farmers,\u201d said\u00a0EIB Vice-President Gelsomina Vigliotti<\/strong>. \u201cThe findings of this analysis will guide our future action as we step up support to bolster the resilience of the EU\u2019s agricultural system.\u201d<\/p>\n

The EIB Group to date has supported the EU farm industry in three main ways. One is loans and guarantees to agricultural businesses or equity stakes in them. The second is the financing of rural infrastructure such as irrigation and roads. The third is advice to public authorities and financial institutions on how EU farm grants can be used to attract funding from other sources and to limit risks included those related to climate.<\/p>\n

Commissioner for agriculture and food, Christophe Hansen, said\u00a0<\/strong>\u201cClimate change and its consequences could restrict farmers\u2019 access to finance, as banks could become even more reluctant to take risks than they are today. The study we are publishing today with the EIB shows that only 20% to 30% of climate-related losses are insured by public, private or mutual systems. We need to do something to cover the remaining losses. I encourage all Member States to assess and launch new financial instruments under their CAP Strategic Plans, to better prevent climate risks in the agricultural sector. I also welcome the work of the EIB Group, which is playing a key role in mobilizing capital to ensure the long-term resilience of the EU’s agri-food sector.\u201d<\/p>\n

Global warming threatens to cause greater volatility in EU agricultural yields and more instability in European farm incomes, with projected losses rising between 42% and 66% by mid-century, according to the report.<\/p>\n

It examines the broad impact of weather on agriculture and explores options for expanding farm insurance in Europe and for encouraging the sector to reduce risks through climate adaptation.<\/p>\n

\n","protected":false},"excerpt":{"rendered":"

The European Union agricultural sector loses more than \u20ac28 billion a year, on average, as a result of adverse weather such as droughts and the EU can do more to reduce such business risks, including by expanding farm insurance, according to a groundbreaking new\u00a0study. The analysis, published jointly by the European Investment Bank (EIB) and […]<\/p>\n","protected":false},"author":410,"featured_media":113475,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13330,984],"tags":[6422,6325,6461],"yoast_head":"\nStudy: EU agricultural sector loses over \u20ac28 bn a year over adverse weather - Csr Egypt<\/title>\n<meta name=\"description\" content=\"The European Union agricultural sector loses more than \u20ac28 billion a year, on average, as a result of adverse weather\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/csregypt.com\/en\/study-eu-agricultural-sector-loses-over-e28-bn-a-year-over-adverse-weather\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" 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