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Free oil for farmers? The subsidy scheme changes

2024-03-14 09:15:31Biznes SHKRUAR NGA REDAKSIA VOX

 

Free oil for farmers? The subsidy scheme changes

For the fourth year, farmers in the agriculture sector will be supported with free oil. The scheme, which started implementation from 2021, provides support for oil for mechanized works in agriculture in the amount of about 1.2 billion lek.

But unlike the previous years, the entities will not withdraw the amount of beneficial oil, but will benefit from cost reduction payments for oil, which is used to carry out mechanized work on agricultural crops, according to the criteria and benefit measure, determined in the decision of the Ministry of Agriculture published in the Official Journal.

Referring to the table for oil consumption norms and the respective amount of oil, for which the benefit value is calculated according to the crops for the first group of crops such as: corn, beans, sunflower, soy, sorghum, the consumption norm is 190 liters/ha . The amount of oil that is obtained is 97 liters per ha. This year, the farmer benefits from the oil subsidy in value. For this group of crops, the benefited value is ALL 18,789/ha.

For the second group of crops, such as: wheat, oats, rye, barley), one-year, industrial fodder (potatoes, tobacco, beets, cotton), the profit is 12,784 ALL/ha.

For the third group of crops with perennial fodder, aromatic-medicinal plants, 8,910 ALL/ha will be benefited.

As for fruit trees and vegetables of the field and greenhouse, the payments for oil vary from 3,946 ALL/ha to 8,789 ALL/ha.

Beneficiary entities must meet the following criteria: i. have agricultural land in ownership and/or in use, proven with relevant documentation; ii. the total area for which it is applied must be no less than 1 (one) ha, while the size of the plots with an area of ​​no less than 0.1 ha.

The application to benefit from the oil support measure for agriculture is made by self-declaration.

The benefit for the cultivated area is, as follows: up to 100% of the value, for farmers/applicants with an area of ​​up to 10 ha, according to the calculations made, referring to annex 1, which is attached to this decision; for the area over 10 ha, the amount of benefit is reduced by 50%, excluding the cases of applicants with "group of farmers" or "SHBB" status.

The decision stipulates that the applications will be subject to the verification/administrative control process and for the winning applications, the field control is carried out.

The field control process is carried out after the transfer of payment to the beneficiary entities: i. to assess the compatibility of self-declarations with the real situation and the allowed deviation of the verified fact of crops and cultivated surface, in relation to the value obtained, which should not be greater than 20%; ii. in no less than 10% of the beneficiary entities, including the control of all entities with an area of ​​more than 10 ha.

Any entity that benefits from the support scheme for oil for agriculture, with deviation greater than 20% or with incorrect declarations/documents, is excluded for 3 years from the right to benefit from support measures for agriculture and rural development, financed from the state budget.

Free oil for farmers? The subsidy scheme changes

 


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