Hungary announces emergency drought relief for farmers

The Hungarian government has announced extraordinary measures to support farmers facing severe financial difficulties due to this year's drought. Damage reports have been filed for more than 750,000 hectares as of the end of July, which is double the amount reported during the same period last year. The drought has impacted all agricultural sectors, with dairy production being among the most heavily affected.

To maintain liquidity, the Ministry of Agriculture and Food will provide a ‘super advance’ payment to approximately 150,000 farmers. These payments, totaling about 106 billion forints, will be distributed between August and October, starting earlier than the usual October schedule. The advance rate has been increased from 70 percent to 75 percent.

Additionally, the government will draw approximately 16.7 million euros (roughly 6 billion forints) from the European Union's crisis fund to offset increased production costs, primarily to protect small and medium-sized enterprises. The Minister of Agriculture has also been tasked with developing a comprehensive, long-term agricultural strategy.