Palionis does not support payment restrictions: farms will receive support through other means



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According to the Minister, the proposed restrictions would also increase the administrative burden, and according to him, small and medium farms will be able to receive more support through other means.

“We are already honoring our commitments like other EU economies, and in terms of direct payments, we have not yet achieved convergence to meet the financial side.” Restricting direct payments would respond to competition, “Palionis told BNS on Tuesday.

“There is also an administrative burden, both for farms and for control, for the National Paying Agency. Then the administrative burden will be more costly than the effect,” he added.

“When we export products to 150 countries, farms, even with lower payments, can be competitive and compete even with farmers in France, Italy and Greece, who have higher payments. If we limit it, we will also lose our share in the markets of export. Evaluating everything, I think it would be useless, “he added.

According to A. Palionis, benefits could be limited only if the same procedure applied in all EU countries.

The conclusions of the European Council establish that “100,000 Restriction of direct payments of 1 billion euros to large beneficiaries on a voluntary basis”.

The minister says that this is only a recommendation and that it is not binding if the country uses other means to support small farms.

“We were simply struck then. If you do not apply other measures that would be effective for small farms, such as payments for the first 30 hectares, if we do not pay for them, then they would be mandatory, but since the Member State chooses the next path, so it is only a recommendation, it is not mandatory, “explained the Minister.

According to A. Palionis, in the new financial perspective in 2021-2027, Lithuania will be able to provide more support to small and medium-sized farms and young farmers than before.

“There are ways in which the hands of the new period are much more open to the member countries themselves. By looking at the regulation for this period, we were able to allocate up to 2% of the first envelope of direct payments to young farmers, that restriction has now been removed removed, and the ministry is preparing to provide more support to young farmers. As the President succeeded in the negotiations, now those envelopes have increased each year, the support will be double that of the previous period, “said A Palionis.

According to him, the new financial perspective will also increase payments for the first 30 hectares, and the ministry is considering raising this limit to 50 hectares.

Presidency representatives began talking about the introduction of the benefit limit shortly after EU leaders approved the EU budget for 2021-2027 last week.

Direct payments to Lithuanian farmers are expected to increase from the current € 177 per hectare to € 200 in 2022, and in 2027 the minimum payment will reach € 215 per hectare. Payments to Baltic farmers increased in the last round of negotiations.

G. Nausėda did not name specific numbers for the “ceiling” on Tuesday. His adviser Jaroslav Neverovich said last week that the maximum amount of direct payments could be about 60,000. euros



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