This project was undertaken by consultant John Reeve from AgRee, having received funding from the Australian Government’s Future Drought Fund. This item is a reflective thought-piece from the author of the project report.
THROUGH a Future Drought Fund grant, we were able to model the potential value of transferring livestock price and rainfall (a proxy for volume) risk to the investor/insurance community.
Under our proposed model, a Contingency Interest Factor Loan (CIL) – a tailored construction of commercially-relevant price and rainfall data – would support livestock producers…
