Perspectives of Private Rice Seed Companies on Crop Insurance for Promoting Sustainable Bioeconomy in Myanmar

Rice sector in Myanmar plays a vital role in food security and the socio-economic status of farmers. Crop insurance is an important factor in risk management for both companies and farmers involved in certified rice seed production. A crop insurance program was introduced as a Weather-Based Index Insurance (WBII) model by the Myanmar Insurance Department in cooperation with the Myanmar Agricultural Development Bank in Myanmar in 2024. The role of crop insurance in the bioeconomy is to encourage the adoption of improved and climate-resilient seeds, to enhance the confidence of farmers and companies to invest, and to reduce production losses by promoting climate-smart practices, thereby supporting a sustainable bioeconomy in Myanmar. The main objectives of this study were to examine certified rice seed production of private sector in Mandalay Region and to investigate the perception level of crop insurance among private seed companies. Private seed companies in the Mandalay Region were purposively selected for this study because most seed production farms are located in these townships, and the WBII model was also introduced in these areas. Ten questionnaire statements on crop insurance were used to survey seed companies, asking them to indicate their level of agreement with each statement on a 5-point Likert scale. Certified rice seeds are being produced by ten rice seed companies in the study area and marketed to many different regions of Myanmar. The perception level analysis showed that 50% of the seed companies had a high level of perception, while the remaining 50% had a medium level of perception. Regarding the agreement level of seed companies on the role of crop insurance in promoting a sustainable bioeconomy, the highest percentage (80%) agreed that crop insurance can protect seed companies against the risks of crop losses caused by climate change. These findings demonstrated that private sector and farmers should collaborate through a contract farming system for rice seed production, integrated with crop insurance, in order to help both parties overcome challenges for advancing sustainable bioeconomy. With supportive policies and collaboration between the public and private sectors, crop insurance can significantly strengthen Myanmar’s agriculture.