At the beginning of the new year, insurance + futures project expanded to natural rubber varieties. Recently, Haitong futures, China people's property insurance company Hainan branch and Hainan rubber cooperatives signed Qiongzhong Fukushima first domestic rubber as the subject of the "insurance + future" project. This is the Shanghai Stock Exchange listed varieties of the first pilot insurance + futures varieties.
According to reports, the project is the use of insurance + futures way to provide insurance subsidies for farmers to avoid the risk of falling rubber prices. The specific operation, Haitong futures provide insurance fees and related services for the cooperatives, China people's property insurance company Hainan branch, provide insurance products, the transfer of agricultural products by using resources of OTC options Haitong Haitong futures risk management subsidiary (11.730, -0.01, -0.09%) the risk of price declines.
"Rubber prices fell sharply affected members tapping enthusiasm, is not conducive to the membership income, after the insurance has been there a safeguard, rubber prices fell also will not affect the income." Hainan province Fukushima rubber cooperatives responsible Zheng Zhongguang said.
Hainan province is the main producing area of natural rubber in China, and its output accounts for nearly half of the whole country. The industry covers more than 2 million of the population, of which the number of farmers is about 750 thousand.
"Insurance + futures" mode was written into the 2016 central document, is highly valued by the Party Central Committee and the State Council, this model not only can effectively avoid the risk of falling prices for agricultural products from farmers and agricultural cooperatives loss, compared with the higher degree of professional futures contracts, insurance is more easy to understand, convenient for farmers and agriculture cooperative operation." Haitong futures market director Liu Xin said. This cooperation is the first step, Haitong futures precise poverty alleviation plan in the next, the company will also with several other provincial poverty counties signed a cooperation agreement, the full range of multi way to provide risk management services for the domestic poor areas of agricultural production cooperatives.