Bulgarian government announces €170 million aid package for farmers

The Bulgarian Ministry of Agriculture has announced a €170 million state aid package for agricultural producers to mitigate rising production costs. The package includes €100 million designated to compensate for increased diesel prices, providing approximately €0.44 per liter, while €70 million is allocated to offset high fertilizer costs.

Representatives from the National Association of Grain Producers have expressed mixed reactions. While acknowledging that any financial support is vital, officials noted that the aid is insufficient to cover the actual surge in expenses. Some producers report that costs for fuel, fertilizers, and plant protection products have risen by 30% to 50%, driving up total production costs by nearly 50%.

Specific concerns were raised regarding the scale of the aid relative to production costs. For wheat production, the fuel subsidy equates to roughly €3 per decare, which is considered minimal given that production costs currently sit between €120 and €130 per decare. Additionally, a €50,000 cap per beneficiary imposed by the European Commission is expected to disproportionately affect larger farms.