News Drought
France asks 1 billion for drought aid
On Monday 22 July, French agriculture minister Didier Guillaume asked the European Commission for early payment of subsidies from the Common Agricultural Policy. This concerns an extra €1 billion in advance for French farmers, who must improve their liquidity position in the second extremely dry year in a row.
Normally, the advance of the CAP money is paid in mid-October. Agriculture Minister Guillaume asks the Commission whether this percentage, which must be paid before October 16, cannot be increased from 50% to 70%. This increase is good for €1 billion. In total, the CAP pays out €9 billion to French agricultural companies.
Second bad year in a row
France has been hit by high temperatures for months, resulting in extreme drought again. Restrictions on water use now apply in 73 departments. This emergency follows after the already difficult 2018, which means that agricultural entrepreneurs are not in a strong financial position.
No short term relief
According to Minister Guillaume, livestock farmers can use the early subsidy money to buy extra feed for their livestock. The largest agricultural organization in the country; FNSEA, calls it a welcome gesture. It is feared that the measure will come too late. "Many companies now need financial resources to provide their livestock with feed. Moreover, feed must first be found for this," says chairman Christiane Lambert in a response.
August last year announced Agriculture Commissioner Phil Hogan to increase the advance amount within the CAP. Additional easing measures were announced, such as the use of green manures as animal feed.
Niels van der Boom
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