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[BUSINESS] · France · 30 sources

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France allocates over €1 billion to support farmers after extreme weather

The French government has announced an emergency support package exceeding €1 billion to assist the agricultural sector following a summer of extreme heatwaves, droughts, and wildfires. Agriculture Minister Annie Genevard detailed the plan, which aims to compensate for production losses and prevent farm bankruptcies. Approximately 30,000 to 35,000 farms are currently facing financial instability.

The aid package includes €520 million for rapid compensation of climate-related damages, a €235 million agricultural rearmament fund to help purchase seeds, plants, and animal feed, and over €330 million in land-tax relief. Additional measures include support for social security contributions and potential extensions for fuel and fertilizer subsidies.

Agricultural unions, including the FNSEA, have criticized the package as insufficient. The FNSEA estimates total production losses at at least €10 billion and argues that the sector requires at least €2 billion in support. Economically, the Ministry of Economy and Finance estimates that the extreme weather could reduce France's GDP growth by 0.1 percentage points, primarily due to significant declines in agricultural yields.

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Annie Genevard · European Union · FNSEA · France · Herve Lapie · Sébastien Lecornu

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