The European Commission approves a €400 million Romanian state aid scheme to compensate farmers affected by severe drought, the EC announced today in a press release. Romania’s EUR 400 million (RON 2 billion) state aid scheme aims to compensate farmers for damages suffered following the severe drought from September 2023 to August 2024.
The scheme is open to agricultural producers of 39 selected crops (such as wheat, triticale, rye, barley, oats, canola, peas, sunflower and maize) that have been directly affected by severe drought. To qualify for aid, agricultural producers must have lost more than 30% of their autumn 2023–summer 2024 crops due to drought. Under the scheme, aid will be awarded in the form of direct grants. The maximum aid amount is EUR 200 (RON 1,000) per hectare for a 100% loss, not exceeding 30% of the eligible costs. The aid scheme will end on 31 December 2024.
“The Commission found that the scheme is necessary and appropriate to compensate Romanian farmers for the losses suffered due to this extreme weather phenomenon. In addition, the Commission found that the scheme is proportionate, as it is limited to the minimum necessary, and has a limited impact on competition and trade between Member States. Based on these considerations, the Commission approved the scheme notified by Romania under EU state aid rules,” the press release says.