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The government approved the proposal of the Ministry of Agriculture to allocate LTL 7.9 million to the poultry sector (including the extraction, packaging and processing of eggs). 4.1 million euros for the pig sector. EUR.
This support will not only help companies in the poultry and pig sector to overcome the negative consequences of the coronavirus, but also to preserve jobs and continue to provide food to the Lithuanian population.
“These sectors are in a difficult situation, both due to the closure of the catering sector, which caused a drop in purchase prices and scale, as well as the increase in feed prices.” The government listened and listened to all parties, did everything possible to achieve a fair financial injection in the pig and poultry sector ”, the Minister of Agriculture K. Navickas is quoted in the report.
The Covid-19 pandemic, as in other countries, as well as in Lithuania, affected not only individual companies, but entire structural sectors of public service, industry and agriculture.
“Now the government’s priority is to help internal market participants to survive. Unfortunately, the state budget and loan limits are limited. With this in mind, we have drawn up a package of aid for the pig and poultry sectors that have been directly affected by the quarantine restrictions imposed. By listening to the signals of the vegetable producers, we intend to provide support to this sector with the allocations of the Ministry ”, says the Minister.
According to him, it would be much more expensive to restore these sectors nationally and take several years. 12 million The injection of one billion euros should be the brake to help operators stay in the food production market until the situation stabilizes.
“The pig and poultry sectors are important to everyone: they not only guarantee quality products on our tables, but also create jobs in the regions. In rural areas, poultry or pig farms are an important employer for the viability of these regions.
When we talk about supporting the sector, we think above all of the people who feed their families while working in them. The closure of these farms would cause the loss of thousands of workers not only in them but also in the meat producing companies. We must avoid the worst case: the collapse of the pig and poultry sectors, because then it would become not only an agricultural problem, but also a great social problem ”, says the Minister.
Given the specificities of the poultry sector, support would be provided to operators regardless of their size.
According to the Center for Agricultural Information and Rural Business, the average total income of poultry farmers in the fourth quarter of 2020 compared to the same quarter of 2019 is more than 20%. less. And in January 2021, compared to January 2019, revenue fell more than 40 percent.
Processing plants have reduced production due to market disruptions and have no longer entered into purchase agreements with some broilers and farmers. This led to a significant decrease in income. As a result, the turnover of 8 broiler companies, according to their data, was reduced by more than 30%, 4 of which completely stopped the production of broilers.
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