News Corona crisis
Farmers and horticulturists catch 58 million in corona support
Over the first quarter, a total of €57.918.024 corona support from the Compensation for Fixed Lasten (TVL) has been paid out to farmers and horticulturists, according to data. Boerenbusiness requested from the Netherlands Enterprise Agency (RVO).
Until the middle of this week, 2.057 applications were submitted by farmers and horticulturists. The subsidy was provided in 1.223 cases. On average, this amounts to more than €47.000 per subsidy provided. The TVL for the first quarter of 18 can still be applied for until May 2021.
Although the agricultural sector as a whole is still doing well in the corona crisis, individual entrepreneurs have sometimes been hit hard. Lourens Minnema, business consultant at Accon avm: "Arable farmers with onions are under pressure because the catering industry was closed and is still partially closed. French fries are also doing badly. Here in North-East Friesland there are many seed potato growers, whose export is difficult. The Middle East is declining badly."
The growers of potatoes and other root and tuber crops received 11,3% of the total TVL subsidy. Only the growers of grains, pulses and oilseeds received more (15,3% of the total), according to the RVO figures. This is followed by: arable farming and/or horticulture in combination with breeding and keeping animals (8,6%), finishing pig farms (6,7%), rearing and/or keeping broiler chickens, (5,6%), keeping cultivation of vegetables in open ground (5,2%), pig breeding and propagation farms (4,8%). The sector is divided into 42 categories (by SBI codes).
TVL open to agricultural sector
The TVL was opened to all sectors at the end of last year, including the agricultural sector. With the TVL, entrepreneurs who have suffered a loss of turnover of more than 30% can apply for a corona subsidy. In the first and second quarter of this year, agricultural entrepreneurs will receive an extra surcharge on the TVL of 21% for ongoing costs for keeping plants and animals alive, such as food, (plant) care and crop protection.
'Some are afraid they will have to pay it back'
Minnema often has to point out the subsidy to customers and also notices that farmers are tipping each other now that the end date of May 18 for the first quarter is approaching. He therefore suspects that not everyone who qualifies for this has applied for the subsidy. "Some are afraid they will have to pay it back, but it's just a subsidy."
RVO has no idea how well-known the subsidy is among farmers. "We cannot estimate how many farmers are entitled to the TVL for the simple reason that we have no insight into their financial position and/or the sales opportunities for their products," said a spokesperson for RVO. "We communicate daily about the TVL. This information is shared by the national media and our stakeholders, so we assume that all agricultural entrepreneurs are aware of the existence of this scheme."
Request second quarter
Entrepreneurs who have at least 2019% less turnover in the first quarter compared to the first quarter of 30 can apply for the subsidy. They must have at least €1.500 in fixed costs per quarter and have been registered as an entrepreneur since 15 March 2020 or earlier.
"It's a very nice arrangement," said Minnema. The application does not amount to much, according to the business consultant. But he recommends that if you hand it over, don't bring it up on the last day. Entrepreneurs are expected to be able to apply for TVL 2021 for the second quarter in the second half of May, RVO said. The subsidy percentage will be increased from 85% to 100% for the second quarter.
Linda van Eekeres
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