Dhaka, June 29 -- The cost and accessibility of agriculture insurance in Bangladesh are influenced not only by existing policies or the absence of them but also by broader economic pressures, including trade-related taxes. Taxes such as Value Added Tax (VAT) and non-resident tax for foreign reinsurance are currently applicable for agriculture insurance products. These taxes are loaded into the agriculture insurance premiums and are always passed onto the end-customers, who are primarily smallholder farmers. Consequently, the insurance premiums become more expensive and farmers' willingness to pay the higher premiums reduces significantly, along with reduced incentives for other value-chain partners to collaborate and add value to the prod...
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