The government would like to counteract the high costs of inputs, building materials and labor in agriculture by adjusting the subsidy amounts for inflation. Specifically, the environmental budget for the ÖPUL bonuses, the compensation allowance and investment support should be increased. The Federal Ministry provides 55 million euros per year for this purpose, 40 percent of which is paid by the state.
This sum is part of the recently presented budget by the Federal Ministry of Agriculture, Forestry, Regions and Water Management. A total of around 3.1 billion euros is available for the coming year.
According to a release from the Lower Austrian Chamber of Agriculture, farms in Lower Austria need the announced expansion of the national budget in order to prepare agriculture, forestry and water management for the future.
Call to action for the European Union
Johannes Schmuckenschlager, President of the Lower Austria Chamber of Agriculture, sees Austria as a pioneer in the European Union with the inflation adjustment for the mentioned premiums: “This clear commitment to our regional sustainable agriculture and forestry and its provision for citizens is an important one in uncertain times Signal.”
Together with Deputy Governor Stephan Pernkopf (ÖVP), he is calling on the EU to also make adjustments to the first pillar of the Common Agricultural Policy and thus increase direct payments to owners of agricultural businesses. “Farmer performance must not be placed worse than other payments that are tied to indices,” say Pernkopf and Schmuckenschlager.