Germany declares national agricultural crisis amid drought

German Federal Minister of Agriculture Alois Rainer has declared a crisis of national significance facing the country's agricultural and forestry sectors. Following the release of the 2026 harvest report, the government identified a convergence of severe challenges, including drought, heatwaves, regional crop and quality losses, and massive fodder shortages. Additionally, high input costs for diesel and fertilizer driven by geopolitical crises are placing extreme economic pressure on farms.

To address these issues and ensure food security, the federal government plans to provide 1 billion euros in aid through two liquidity programs. These measures include low-interest loans intended to help farmers maintain operations without excessive bureaucracy, alongside tax relief and targeted fertilizer assistance. Furthermore, a one-time increase in direct payments of 700 million euros has been announced for the coming year.

Harvest data reflects these difficulties, with grain yields expected to drop by 7.3 percent compared to the previous year. Winter wheat is projected to see a 10.4 percent decrease, while winter rapeseed is expected to fall by 11.5 percent. In southern regions, corn crops have suffered significantly, with some areas reporting little to no growth due to the lack of moisture.