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Factsheet for measure RO-2020-36/1404 – measures in Romania

State aid schemes for agriculture

Scheme de ajutor de stat pentru agricultura

Country Romania , applies nationwide
Time period Temporary, 02 September 2020 – 31 December 2020
Context COVID-19
Type Legislations or other statutory regulations
Category Supporting businesses to stay afloat
– Direct subsidies (full or partial) or damage compensation
Author Victoria Stoiciu (European Institute of Romania)
Measure added 05 November 2020 (updated 06 November 2020)

Background information

In the context of the COVID-19 pandemic, the livestock sector encountered difficulties due to the impossibility of marketing animal products, thus registering significant losses. The market of these products is facing the decrease of purchase prices, restrictions in animal transport to processing and sale on the market, the restriction of the activity in the field of Accommodation and Food, the decrease of the export of live animals. For these reasons, and at the request of the representatives of animal breeders, measures are needed to provide food, raw materials for the food industry and maintain jobs.

Content of measure

The losses in the poultry, swine and cattle breeding sectors are addressed by the state through granting subsidies for farmers whose activities have been impacted by the pandemic. Thus, state aid schemes have been set up which will allow breeders to access amounts of up to €100,000/enterprise. The specific requirements that must be met by the beneficiaries are provided in the Government Emergency Ordinances no. 149, 150 and 151/2020. For example, the state aid is granted to beneficiaries holding at least 91 adult female bovine animals registered in the National Register of Holdings. For each beneficiary, the aid value does not exceed the equivalent in RON of €100,000, and the amount of €100/livestock unit (RON equivalent). The maximum total value of the state aid scheme is RON 35,700 (€7,335) for cattle breeders / RON 119,560 (€24,500) for swine breeders/ RON 109,800 (€22,500) for poultry breeders and is ensured from the state budget, within the budget provisions approved by the Ministry of Agriculture and Rural Development for 2020.

Use of measure

Not specified.

Target groups

Workers Businesses Citizens
Does not apply to workers Sector specific set of companies
Does not apply to citizens

Actors and funding

Actors Funding
National government
Trade unions
Employers' organisations
Company / Companies
EU (Council, EC, EP)
National funds

Social partners

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

Trade unions Employers' organisations
Role Consulted Consulted
Form Consultation through tripartite or bipartite social dialogue bodies Consultation through tripartite or bipartite social dialogue bodies

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

  • Unknown
  • Main level of involvement: Peak or cross-sectoral level

Involvement

The Economic and Social Council, a body with a consultative role in the activity of the government and the Parliament, which includes representatives of the social partners, approved this project.

Views and reactions

Not known.

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

  • 27 August 2020: GEO 149/2020 on the establishment of a state aid scheme to support the activity of cattle breeders in the context of the economic crisis generated by the COVID-19 pandemic (www.lege-online.ro)
  • 27 August 2020: GEO no. 150 of August 27, 2020 on the approval of the State aid scheme to support the activity of pig farmers in the context of the economic crisis caused by the COVID-19 pandemic (legislatie.just.ro)
  • 27 August 2020: GEO no. 151 of August 27, 2020 on the approval of the State aid scheme to support the activity of poultry farmers in the context of the economic crisis caused by the COVID-19 pandemic (legislatie.just.ro)

Citation

Eurofound (2020), State aid schemes for agriculture , measure RO-2020-36/1404 (measures in Romania), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/RO-2020-36_1404.html

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