Gallicoop Zrt. to sue Hungarian government over revoked EU subsidies

Gallicoop Zrt., a turkey processing company owned by the Mészáros Group, has announced it will legally challenge the Hungarian Ministry of Agriculture's decision to withdraw previously awarded EU subsidies. The company was originally notified in March 2024 that it had secured funding through the Food Industry Champions Program for plant expansions and technological upgrades. However, on July 23, the ministry revoked the support and excluded the company from the tender.

The Mészáros Group claims the decision is non-professional and politically motivated, arguing that it places the company at a competitive disadvantage against German, French, and Polish firms. The company warned that the loss of funding could jeopardize the livelihoods of approximately 1,600 employees and impact numerous domestic suppliers.

In its defense, Gallicoop stated that all awarded subsidies are used for business development rather than entering the owners' pockets. The company also noted that Dávid Pál Gombár, a Member of Parliament for the Tisza Party, was formerly an employee of Gallicoop.