Moldovan agency of payments for agriculture launches campaign on subsidy applications for 2018

Chisinau, 1 February /MOLDPRES/- The Agency of Intervention and Payments for Agriculture (AIPA) today launched a campaign for receiving subsidy applications for 2018. According to the state budget law for this year, the national fund for agricultural development and rural environment is 900 million lei.

“From 1 February to 31 October, farmers can apply for subsidies. Of the total amount of 900 million lei, 633 million will be offered to farmers who will apply for subsidies in 2018, and 220 million lei – to fund grant applications submitted in 2017 which have not got financial coverage. An amount of 47 million will be used to support the Vine and Wine Fund”, Minister of Agriculture, Regional Development and Environment Liviu Volconovici said.

The minister added that about 5 per cent of the national fund for agricultural development and rural environment or 45 million lei will be distributed to fund the projects by young farmers.

This is the first time the AIPA launches this campaign so early. This is due to several factors, including the adoption by the parliament of the law on subsidizing agricultural producers that has given a certainty to the process. Another important moment, in early 2017, a regulation was approved for a five-year-period, which allows the producer to make an investment for a longer period. In previous years, the process of submitting applications was launched in June-July.

AIPA director-general Nicolae Ciubuc said that the agency “is in full capacity to ensure and start the campaign receiving applications on financial support”.

“The first priority in this respect is to settle arrears for last year, given that about 1,500 applications did not have financial coverage amounting to 220 million lei. 65 per cent of the applications were examined, and 80 million lei already settled”, Ciubuc said. He added that all applications of 2017 will be considered, and the amounts requested will be paid during February.

“We expect a large number of applications this year, especially, the application period will be around nine months. In the history of subsidization, we have not had such cases, when we started so early the campaign”, he said.

In 2017, 7,800 grant applications amounting to 800 million lei were submitted.

The state supports through subsidies raising competitiveness through the modernization and restructuring the sector, sustainable management of natural resources and the measures related to rural development. In 2018, the business of young people and women entrepreneurs will be encouraged, to whom the state will grant about 15 per cent of subsidies. Agricultural producer groups will be supported too. An innovation this year will be awarding grants in advance, once the programme is approved by the government. For the first time, this year the applications will be submitted online.

(Reporter V. Bercu, editor M. Jantovan)