Agriculture, Estonia, Good for Business
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Thursday, 25.04.2024, 05:32
Estonia to allocate EUR 20 mln to help farmers with drought damage
"The
agricultural sector has clearly been a priority for the present government
coalition," Prime Minister Juri Ratas
said. "The government Cabinet deemed it necessary to allocate 20 mln euros
to MES from the government reserve fund to alleviate the damage caused by
drought," he added.
According
to Ratas, the rural affairs minister will soon ask the Finance Ministry to
allocate 20 mln euros to MES, after which it will be discussed in the
government. "The government also supports a faster payment of direct
support and will request the necessary permissions from the European
Commission," the head of government said.
"Such
an operative and fast decision shows that when farmers are facing tough times,
the government Cabinet acts quickly and operatively," Ratas said.
On Thursday
morning the Estonian Chamber of Agriculture and Commerce said that it plans to
offer farmers working capital loans through MES to alleviate drought damage and
wants the loan sum to total 20 mln euros.
The idea of
working capital loans was proposed by Rural Affairs Minister Tarmo Tamm at an extraordinary
meeting of the parliamentary rural affairs committee at the beginning of this
week.
Last week
the Ministry of Rural Affairs sent a request to banks and buyers to be
understanding of the situation of farmers due to the weather conditions.
This spring
and summer have been especially dry and warm. According to the Estonian Weather
Service, the average precipitation in May was nearly 60% smaller compared to
the long-term average. The average temperature was also higher than usual and
there were up to 48% of days with sunshine than usual.