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Farmers have difficulties with sales in the encierro and get help
© WHAT
In the jungle of many crown aid, there is also new support for farmers. The Ministry of Agriculture announced that 60 million euros will be made available to partially replace the failures related to COVID. Aid to farmers is not processed through the crown’s federal aid agency, COFAG, but through the ministry, which is reallocating funds that were already available for its new aid to farmers’ suppliers.
Like many other supplier companies, farmers also suffer indirectly from official restaurant closings and the like (closure). For other sectors of the economy, supply aid has been announced for a long time, but has not yet been submitted.
Farms and branches of agricultural operations are affected to different degrees by falling sales. The loss is calculated individually for the business branches. If the calculated lump sum loss exceeds a certain amount, 70 percent of the calculated loss is awarded as a grant.
“Pig farmers and the wine industry are severely affected, but there are also significant losses in other agricultural areas,” Agriculture Minister Elisabeth Köstinger (ÖVP) said on Friday. “Compensation for losses can be requested by all farmers who massively suffer the corresponding losses.”
The aid called compensation for losses can be requested by all farmers as of February 15 who can prove the corresponding losses. Support requirements are losses between October 2020 and March 2021 compared to the same period of the previous year. The loss must amount to at least 30 percent of the contribution margin. 70 percent of the total loss of income is awarded as a non-refundable grant, up to a maximum of 100,000 euros. As before, the application is made through Agrarmarkt Austria (AMA) for support to farmers. Again there is an independent calculation model for winegrowers. First, the “Bauern Zeitung” reported on the new aid.
“Aid should reach affected companies as quickly, easily and directly as possible,” said Köstinger. Existential needs would be alleviated by absorbing the greatest losses.
“Now the federal government is helping farmers who are particularly affected with compensation for losses,” said the director of the Chamber of Agriculture, Josef Moosbrugger (ÖVP). The President of the Farmers Association, Georg Strasser, welcomed “a practical solution for these indirectly affected farms”. Due to the loss of customers, the processing companies would ultimately have to deal with severe lost sales.
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