Representatives of the Romanian Farmers’ Club submitted a list of demands to the Ministry of Agriculture and Rural Development and the Romanian government to solve the financial crisis of farmers and restore the competitiveness of Romanian farms. According to them, Romanian farmers need a “rescue plan and financial stability in partnership with the executive”. They confirm the importance of strengthening government and MADR communication and collaboration with social partners, representatives of farmers’ interests, to identify actions and resources related to the effective management of multiple crises outside the agri-food sector. , which Romanian agriculture faces.

Farmers are protestingPhoto: AGERPRES
  • The protests of transporters and farmers entered the fourth day: the government set 4 rounds of negotiations for Saturday, but the delegates of the protesters did not come

“The partnership “Government-private sector-association “Environment” is obliged now, by mutual agreement, to develop an action plan to solve the current serious and urgent economic and financial difficulties of farmers, to create and implement systemic programs that meet the interests and Romania’s priorities in the long-term development of agriculture: managing the impact of climate change by modernizing and expanding irrigation and drainage infrastructure; extension of agriculture 4.0; diversification and increase of added value; support of sustainable agriculture; support of youth and innovation; stimulating investments to reduce imports and increase exports with high added value,” said the press release of the Farmers’ Club of Romania, quoted by News.ro.

What are the demands of farmers

The proposals, summarized by the demands of the Romanian Farmers’ Club, are part of an integrated action plan to manage the economic and financial crisis faced by Romanian farmers, due to the cumulative impact of the consequences of the war in Ukraine, drought and, in recent years, the volatility of commodity prices and the reduction of commercial supply related to with domestic grain and oil crops:

“1. Provision of APIA subsidies related to 2023 until the end of February 2024, including for farmers in the classic control sample and through remote sensing, as well as acceleration of financial compensation processes related to other direct payment schemes (eco-schemes, agroecological measures, etc.).

2. Compensation for the losses of farmers who suffered as a result of the significant destabilization of the grain market caused by the import of cheap grain from Ukraine, which does not meet EU standards and may endanger food security, as well as due to the transit of Ukrainian grain and oilseeds: a minimum of 60 euros/ton trade through state aid, in accordance with the state aid framework adopted by the European Commission, which allows Member States to provide up to €280,000/farm and up to €2.5 million/SME in the agri-food sector. industry. We highlight the difference between the exchange prices and the prices offered to Romanian farmers by traders in the port of Constanţa.

3. Provision of subsidies related to losses caused by price fluctuations for the sale of grain and oil crops in the 2023 agricultural year – 3 euros/ton/month, for the period September 2023 – February 2024.

4. Offering profitable credit lines to agricultural entrepreneurs under state guarantees, by the end of January at the latest, which will allow farmers to continue their activities in the current year – operational launch of Agrarian credit and Farmer’s credit.

5. Continuation of the AGRO IMM INVEST and RURAL INVEST programs by increasing the guarantee ceilings and the annual state aid ceiling for each economic entity in the agricultural sector, within the framework of guaranteed lending by the FGCR, as well as expanding the lending base for farmers with bank risk. B and C, an approach implemented in cooperation with the NBR and banking institutions.

6. Payment of costs related to partial compensation of costs for irrigation of agricultural areas under multi-year/seasonal contracts for the entire year 2023. Full budgeting of partial payments for 2024 to ensure consumption of electricity required for irrigation of agricultural land (currently: allocation of ANIF within available funds).

7. Equivalence of category B with TR and category B1 with TR1, regardless of the maximum permissible weight of agricultural machinery.

8. Decision-making at the national (force majeure) and European levels to deviate from the application of Gaec 7 and 8 for the current year and provide a clear answer to Romanian farmers by the end of January – this is the only way they can achieve the forecast for effective crop management in 2024 year.

9. Support for drought-affected farmers for losses related to the production and use of grain and oil crops for the autumn sowing of 2022, by providing state aid based on the time frame of Ukraine in the amount of 100 euros/ha.

10. Ensuring fair competition in the common European market (including the states joining the EU) regarding the import of agro-food products that have standards that do not meet European norms regarding agriculture, the environment and public health. European consumers.

11. The creation of a microcredit scheme that allows Romanian farmers to get easy and quick access to financial sources, which are so necessary for small and medium-sized agricultural enterprises, to avoid abandoning the performed activities.

12. Protection of the internal market by carrying out systematic control for the purpose of checking the customs regime and compliance with EU requirements. Many Ukrainian goods change their origin to the Republic of Moldova and Bulgaria, and then are sold on the territory of Romania.

13. Revision of fiscal legislation regarding taxation of companies with a turnover of more than 50 million euros, as well as banking institutions. We ask to determine the optimal solution under which the agri-food sector will be exempted, because naturally 1% of the turnover of large companies and 2% of the turnover of banking institutions are removed from the price of the product. Later, at the stage of processing raw materials and selling finished products in retail trade, this 3% is included in the shelf price paid by the consumer. Practically, the farmer will pay 3% and the final consumer will pay the same weight, also 3%.

14. Adoption by the Government of Romania of a strategic project on capacity expansion and adaptation of logistics processes related to the port of Constanţa to ensure priority access of goods from Romania for export,” the cited source also indicates. .

The cited source also said he supports the government’s negotiations and adoption of the Action Plan in response to the financial crisis faced by Romanian farmers. Years of drought, the economic crisis, the complex consequences of the war in Ukraine, the disruption of the common European market due to the exemptions granted to Ukrainian agricultural products, have led Romanian farmers to a critical point from which many will disappear if this strategic sector is not treated strategically by the Romanian government.

This plan must be the result of negotiations that fix the government’s commitments in the short and medium term, because this crisis that farmers are facing has accumulated over time and can only be resolved through a political, diplomatic, financial and economic plan. Romanian farmers now need a rescue plan and financial stability with government intervention,” said Florian Ciolacu, executive director of the Romanian Farmers’ Club.

The Romanian Farmers’ Club also considers the implementation of the previously mentioned support measures to be essential for the recovery of Romania’s agricultural sector today, at a time when public policy can still support the safety and food security of the country through the actions taken.

Government officials have sent a schedule of discussions with transporters and farmers protesting in the Capital Belt and in the country. Yes, on Saturday at 12.00 there will be a meeting with representatives of the protesters and the Ministry of Agrarian Policy. A meeting with representatives of the Ministry of Transport is planned from 13.00, from 14.00 – with the State Financial Supervision Authority, and from 15.00 – with representatives of the Ministry of Finance.

Transporters and farmers are preparing to continue spontaneous protests that began this week, with Saturday marking the fourth day in a row that they have shown their displeasure.

Near Bucharest, convoys of heavy-duty vehicles stand in the Afumatsi area. In the Teleorman district, drivers went to the capital on TIR, tractors and cars. Protests have been announced in Suceava for the afternoon, and the gendarmerie has set up roadblocks to prevent agricultural machinery from entering the city. A protest action is taking place in the belt of Timisoara.