Compensation Arriving for Affected Farmers
The Ministry of Agriculture has announced the provision of 2.85 billion Hungarian forints in agricultural damage mitigation benefits to approximately 1,680 agricultural producers by the end of March.
This initiative comes in light of last year's detrimental events, affecting over 20,400 hectares of land. The ministry underscores its commitment to enhancing the profitability of agricultural activities.
Over the past decade, a consciously developed agricultural risk management system has significantly aided producers, facilitating spring work and maintaining production. The damages incurred in 2023 were predominantly due to spring frost and drought, with allocations of over 863 million forints for frost damage and approximately 796 million forints for drought-related damages. Additionally, hailstorm damage will see nearly 480 million forints, with damages from cloudbursts, storms, inland water, autumn frost, and winter frost receiving respective compensations.
Eligibility for these mitigation benefits and the determination of their amount are based on incidents verified by government offices from November 1, 2022, to October 31, 2023. Beneficiaries are those who have contributed to the damage mitigation fund, with full compensation also requiring an existing market insurance.
The Ministry of Agriculture aims to assist in the profitability of farmers' operations, with the agricultural risk management system since 2012 playing a crucial role in providing income security and predictability. The primary pillar of this system is the agricultural damage mitigation system, further supported by agricultural insurance premium support and agricultural crisis insurance as measures of farmer self-care. From 2024, the system will also access resources from the Hungarian CAP Strategic Plan until 2027, ensuring adequate management of significant damages.
This support framework exemplifies the ministry's priority in bolstering the agricultural sector's resilience and profitability amidst challenges.
Over the past decade, a consciously developed agricultural risk management system has significantly aided producers, facilitating spring work and maintaining production. The damages incurred in 2023 were predominantly due to spring frost and drought, with allocations of over 863 million forints for frost damage and approximately 796 million forints for drought-related damages. Additionally, hailstorm damage will see nearly 480 million forints, with damages from cloudbursts, storms, inland water, autumn frost, and winter frost receiving respective compensations.
Eligibility for these mitigation benefits and the determination of their amount are based on incidents verified by government offices from November 1, 2022, to October 31, 2023. Beneficiaries are those who have contributed to the damage mitigation fund, with full compensation also requiring an existing market insurance.
The Ministry of Agriculture aims to assist in the profitability of farmers' operations, with the agricultural risk management system since 2012 playing a crucial role in providing income security and predictability. The primary pillar of this system is the agricultural damage mitigation system, further supported by agricultural insurance premium support and agricultural crisis insurance as measures of farmer self-care. From 2024, the system will also access resources from the Hungarian CAP Strategic Plan until 2027, ensuring adequate management of significant damages.
This support framework exemplifies the ministry's priority in bolstering the agricultural sector's resilience and profitability amidst challenges.
Translation:
Translated by AI
