Government of Aragon comes to the rescue of farmers Given the severity of the crisis they have suffered due to the prolonged drought. “The worst is yet to come”, Minister of Agriculture and Environment warned this MondayJoaquin Olona, describing the initial measures of the regional Executive to alleviate the situation. To be confirmed soon a scheme that will make the conditions for fundraising more flexible Without having to meet certain requirements of the Common Agricultural Policy (CAP). But the newest thing will be the launch call for subsidized loan assistance with no financial costs so that the producers have the liquidity that they will encounter in the next campaign, thus guaranteeing the continuity of their use.
While the consultant did not specify the economic value of these policies, he assured that financial support would increase. “significant amounts” will take place in negotiations with agricultural organizations. “They will be what farmers need so they can face the continuity of their farms”, He claimed. It also announced grants to cover. 70% of the cost of agricultural insurance And left the door open to give direct help completing some of the crops 636 million It was approved by the central government last week.
“I want to transfer Commitment that it will be enough for farmers to face the liquidity problem Emphasizing the money to be used for interest-free financing, the Minister reiterated that “the most serious damage” has not yet come. irrigation.
He explained that the goal in making PAC payments more flexible is to get the money to beneficiaries without the need to meet certain requirements, which is not possible given the decline or absence of crops caused by the drought. Inside irrigationFor example, the requirement to increase fallow to 50% and reduce improved crops from 10% to 5%, among other issues, will not preclude collection. Moreover Grazing will be allowed in all areas covered by the biodiversity eco-regime.
direct help
“It will fit almost all the questions about the flexibility of the CAP that agricultural organizations ask us,” Olona stressed. She added that it will be given in this way.warranty and security”, so that buyers receive amounts corresponding to them with an instruction from parliament – expected to be approved this week – so that there is “no doubt” and after obtaining permission from the Ministry of Agriculture.
Once this “initial goal” has been achieved, the Government of Aragon will develop a decree to assist the industry. subsidized loans with “no financial costs” will face the next campaign to guarantee the liquidity of the farmers. “They’re going to have to plant in September and cover the costs of the campaign, so we think they’ll have solved this problem by then,” the consultant said. He added that the amount of this financial support will be determined together with the sector organizations in the coming days.
permanent financial instrument
Regarding direct assistance, Olona felt that those approved by the ministry for livestock were sufficient and were “strictly specified”. In Aragon, 18 euros will be paid “without demand” per sheep, than they will be paid In the case of crops, he considered a lack of certainty “as there were circumstances that did not materialise,” but saw more room for the DGA to contribute with additional funds.
Olona advocated weighting on interest-free financing for the sector, while waiting for the losses and their intensities to be measured in different sectors, but “We do not rule out that another more direct measure could be completed” As is known, the actual damage produced on crops.
Olona’s intention is “to be able to speed up assistance and not have to wait for regulations to be developed every time a climate or market challenge situation arises.” Therefore, the decree that will regulate white loans will include: a provision for this tool is permanent so that farmers and ranchers always have access to these financing opportunities.
In addition, the Ministry of Agriculture, which has a general and permanent character, 70 percent subsidy for agricultural insurances in any of its fields. This is the maximum percentage allowed by European competition law. It is currently subsidized at an average of 45%. “Drought, frost, flood, etc. We are in the context of climate change. “Agricultural insurance is an indispensable tool and therefore it is necessary to provide and provide permanent coverage to the agricultural sector in this regard,” he said.
The purpose of the decree is to improve. a stable legal and administrative framework Who can you contact if needed? Likewise, the orders that develop it will also need to have budgetary support. According to Olona, ”the commitment is to include in the budgets of the Autonomous Community the donation that they can refer to on a permanent basis.”