European Foundation
for the Improvement of
Living and Working Conditions

The tripartite EU agency providing knowledge to assist
in the development of better social, employment and
work-related policies

EU PolicyWatch

Database of national-level policy measures

Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure ES-2022-14/2257 – measures in Spain

Public aids for the agricultural sector

Ayudas para el sector agrario (Real Decreto-Ley 6/2022)

Country Spain , applies nationwide
Time period Temporary, 01 April 2022 – 30 September 2022
Context War in Ukraine
Type Legislations or other statutory regulations
Category Supporting businesses to stay afloat
– Direct subsidies (full or partial)
Author Oscar Molina (UAB) and Eurofound
Measure added 13 May 2022 (updated 21 June 2022)

Background information

The war in Ukraine has increased economic and political uncertainty, and has led to higher commodity prices. The substantial increase in electricity and gas prices may jeopardise the coverage of companies' liquidity needs and put pressure on the cost and price structure of the economy.

Against this background, the Spanish government has decided to promote the "National Response Plan to the economic and social consequences of the war in Ukraine" (Royal Decree-Law 6/2022 of 19 July). The basic objectives of the measures that make up this Plan are to lower energy prices, support the most affected sectors and the most vulnerable groups, and reinforce price stability. The aim is to limit the economic and social costs of this temporary distortion in gas prices and to facilitate the adaptation of the Spanish economy. This support is additional to other existing support measures within Royal Decree-Law 6/2022 (also described in this database), such as:

Content of measure

Royal Decree-Law 6/2022 ("National Response Plan to the economic and social consequences of the war in Ukraine") includes an aid package for the agricultural sector to mitigate the effects of the increase in the price of electricity, animal feed and fuel.

For the agricultural and livestock sector, Spain obtained €64.5 million in the Commission Delegated Regulation (EU) 2022/467 of 23 March 2022, to be complemented by up to 200% with state aid (€128.16 million). Thus, the agricultural and livestock sector has aids for a total of €193.47 million. The funds from the EU budget will be transferred by the FEGA (Spanish Agricultural Guarantee Fund).

For the milk producing sector in particular, €124 million for cow's milk producers, €32.3 million for sheep's milk producers and €12.7 million for goat's milk producers (to be distributed according to the number of animals owned by each farmer) have been assigned. The maximum amount to be received per enterprise may not exceed €35,000. This aid is also managed by the FEGA (Spanish Agricultural Guarantee Fund).

Use of measure

There are no estimated number of users. All Spanish companies and self-employed in the agricultural and livestock sector can benefit from this measure.

Target groups

Workers Businesses Citizens
Self-employed
Sector specific set of companies
Does not apply to citizens

Actors and funding

Actors Funding
National government
EU (Council, EC, EP)
European Funds
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Consulted Consulted
Form Any other form of consultation, institutionalised (as stable working groups or committees) or informal Any other form of consultation, institutionalised (as stable working groups or committees) or informal

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: Sectoral or branch level

Involvement

As stated in the background section, this measure is part of the "National Response Plan to the economic and social consequences of the war in Ukraine", and the involvement of social partners is explained for this plan as a whole.

With the aim of reaching a consensus with all interest groups on the "National Response Plan to the economic and social consequences of the war in Ukraine" (Royal Decree-Law 6/2022 of 19 July), the Government, prior to its approval, held a round of contacts with parliamentary groups, social agents, and the autonomous communities (regional governments). On 21 March 2022, the meeting of the "Social Dialogue Table" was held, following on from the meeting held on 7 March with the President of the Government. The representatives of workers and employers had the opportunity to share their proposals for dealing with the economic impact of the war. On the employers' side, the president of the CEOE, Antonio Garamendi, and the president of CEPYME, Gerardo Cuevas, attended; and on the workers' side, the secretary general of UGT, Pepe Álvarez, and the secretary general of CCOO, Unai Sordo.

Views and reactions

A few days before the approval of Royal Decree-Law 6/2022, agricultural and livestock sector trade unions agreed that the situation of the farms was practically unsustainable, as a result of the increases in the price of diesel or feed. UPA (the professional organisation 'Union of Small Farmers') accused large energy companies of seriously damaging the agricultural sector through speculative practices, and called on the Government to intervene to halt this 'unacceptable' rise in energy prices.

The approval of Royal Decree-Law 6/2022, which was well accepted by companies and trade unions, has helped to appease the complaints of social agents in the sector, who were calling for aid to deal with the sharp price rises.

Sectors and occupations

    • Economic area Sector (NACE level 2)
      A - Agriculture, Forestry And Fishing A1 Crop and animal production, hunting and related service activities

This case is not occupation-specific.

Sources

  • 29 March 2022: La Moncloa. Presidency of the Government. Agreements and regulations approved by the Council of Ministers (www.lamoncloa.gob.es)
  • 30 March 2022: BOE, Spanish State Official Gazette (Real Decreto-ley 6/2022, de 29 de marzo, por el que se adoptan medidas urgentes en el marco del Plan Nacional de respuesta a las consecuencias económicas y sociales de la guerra en Ucrania) (www.boe.es)

Citation

Eurofound (2022), Public aids for the agricultural sector, measure ES-2022-14/2257 (measures in Spain), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/ES-2022-14_2257.html

Share

Eurofound publications based on EU PolicyWatch

12 September 2022

 

First responses to cushion the impact of inflation on citizens

Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.

Article

12 September 2022

 

Policies to support EU companies affected by the war in Ukraine

This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.

5 July 2022

 

Policies to support refugees from Ukraine

This article summarises the first policy responses of EU Member States, including those of the social partners and other civil society actors, enabling refugees to exercise their rights under the Temporary Protection Directive.

Article

16 June 2022

 

Back to work after COVID-19: Testing, vaccines and green certificates

In the second pandemic year 2021, access to one's place of work was increasingly dependent on providing proof of either having been tested, vaccinated or recovered from COVID-19 in several countries.

Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.