Ecolex Logo
The gateway to
environmental law
Search results » Legislation

Government Decree on temporary support for companies in primary agricultural production (No. 370 of 2020).

Document type
Agricultural & rural development, General
Business/industry/corporations Subsidy/incentive Financial agricultural measures Fiscal and market measures
Geographical area
Arctic, Europe, EUROPE AND CENTRAL ASIA, European Union Countries, North-East Atlantic, Northern Europe
Entry into force notes
This Regulation enters into force on 18 May 2020 and is valid until 31 December 2020.

This Regulation lays down rules on temporary subsidies to undertakings in primary agricultural production in accordance with the state budget. Support referred to in this Regulation may be granted up to a maximum of EUR 5 million. Its objective is to ensure the liquidity of companies producing goods listed in Annex I of the Treaty on the Functioning of the European Union, with the exception of fisheries and aquaculture products, due to significant market and production disruptions caused by the Covid-19 pandemic. The aid is granted as a temporary State aid in accordance with Commission Communication C (2020) 1863. The support can be granted for expenses that are deemed necessary to ensure the continuation of business operations in the form of general support for a period of no more than six months beginning no earlier than 16 March 2020. Covered expenses include: (1) salary expenses; (2) rental costs and property expenses; (3) expenditure on the hiring of external services and experts; (4) other expenses deemed necessary to ensure continued business operations. Beneficiaries include those engaged in: (1) agricultural production whose market has declined substantially or ceased completely as a result of the Covid-19 pandemic and no alternative market exists for the product; and (2) direct sales of self-produced products whose sale is hindered due to the Covid-19 pandemic and no alternative market exists for the product. Other conditions for for beneficiaries are also established. The responsible authority is the Centre for Economic Development, Transport and the Environment. The minimum amount of the subsidy is € 5,000 and the maximum amount is € 10,000.

Full text