Case Analysis Of Aksu Cotton "Insurance+Futures" Precision Poverty Alleviation

In recent years,with the continuous advancement of supply-side reforms,China’s agricultural industry structure is undergoing earth-shaking changes.In 2014,the state removed some price subsidies for agricultural products from the policy level,which made it impossible for agricultural producers to cope with the risks caused by frequent fluctuations in agricultural product prices,which had a certain negative impact on the production and re-operation of agricultural producers.In the same year,the state began to try to guide the "insurance + futures" innovation pilot project,allowing agricultural product price risk to obtain effective risk dispersion through the futures market.Since 2016,the central "No.1 Document" has proposed to vigorously promote the "insurance + futures" model for four consecutive years.The "insurance + futures" model has changed the original agricultural product price risk transfer method and agricultural product subsidy mode.The role played by agriculture and assisting in poverty alleviation has become more and more prominent,which has promoted the improvement of agricultural product price mechanism and the development of modern agriculture,and guaranteed the basic income of farmers.With the changes in financial markets,insurance products and financial derivatives have been innovating constantly.Although the theoretical circles have conducted a lot of research on agricultural insurance and agricultural futures markets,the “insurance + futures” model is still in the exploration stage.This paper analyzes the representative patterns by means of case analysis,and proposes solutions to the problems existing in the current mode operation process.Provide theoretical and practical operational guidance for the comprehensive promotion of the “insurance + futures” model.Based on the development of the national “insurance + futures” pilot and the necessity and feasibility of the “insurance + futures” model,this paper combines the specific case of the 2017 Akzo cotton “insurance + futures” pilot project from the implementation of the project.The project was elaborated in the process of designing an insurance option contract.The case analysis method is used to analyze the case from multiple angles,and the whole process of the risk hedging and exercise of the option position and the final payment of the project is analyzed in detail,and the implementation effect and shortcomings of the pilot project are summarized.Finally,there are problems in this case,and suggestions for sustainable development are put forward.On the basis of the current “insurance + futures” pilot model,the “insurance + futures + credit + order” innovation optimization plan is proposed to promote the use of “insurance + for future marketization”.The Futures model provides experience and inspiration.