The European Commission has approved a €20.2 million support scheme for primary agricultural producers in Czech Republic in the context of Russia’s invasion of Ukraine.
The scheme was approved under the State aid Temporary Crisis Framework, adopted by the commission last March.
Executive vice-president in charge of competition policy, Margrethe Vestage, said:
“Agricultural producers have been hit particularly hard by the current geopolitical crisis, and its consequent impact on the prices of electricity, animal feed, and fuel, among others.
“This €20.2 million scheme will enable Czech Republic to support them and to ensure the continuation of their activities in this difficult context,” she said.
“We continue to stand with Ukraine and its people. At the same time, we continue working closely with Member States to ensure that national support measures can be put in place in a timely, coordinated and effective way, while protecting the level playing field in the Single Market.”
Under this scheme, eligible beneficiaries will be entitled to receive limited amounts of aid in the form of direct grants.
The measure will be open to small and medium-sized companies active in the primary agricultural production sector affected by the price increase of electricity, animal feed and fuel caused by the current geopolitical crisis and the related sanctions.
The commission found that the Czech scheme is in line with the conditions set out in the Temporary Crisis Framework.
In particular, the aid will not exceed €35,000 per beneficiary; and will be granted no later than December 31, 2022.
The commission concluded that the Czech scheme is “necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a member state.
The support scheme for the Czech Republic follows approval of a €154 million Swedish support scheme for farmers at the start of July; a €180 million scheme to support Italian companies in the agriculture, forestry, fishing and aquaculture sectors in June; as well as a €3.9 million scheme to support the beef, poultry and horticulture sectors in Estonia.