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 SE-2022-27/2373 – measures in Sweden
|Country||Sweden , applies nationwide|
|Time period||Temporary, 01 July 2022 – 30 June 2023|
|Context||War in Ukraine|
|Type||Other initiatives or policies|
Supporting businesses to stay afloat
– Direct subsidies (full or partial)
|Author||Anna-Karin Gustafsson (Oxford Research) and Eurofound|
|Measure added||20 May 2022 (updated 14 June 2022)|
Due to the current cost of energy, fertiliser and fodder, the viability of many agricultural companies’ operations in Sweden is threatened. To support the companies survival as well as to secure continued domestic food production in Sweden, the government has decided on financial support of SEK 300 million (€29 million) for agricultural companies. The financial support will follow the de minimis regulation under EU state aid rules based on EU Commission Regulation No 1407/2013 on de minimis aid.
The pig and poultry sectors and greenhouse companies have been hit particularly hard by cost increases. The government therefore intends to allocate SEK 300 million (€29 million) in the spring budget for 2022 for temporary financial support targeted at these sectors. For the pig and poultry industry that is hit by the high price of fodder, the aid will be divided based on the number of animals. For the energy intensive greenhouse sector, the aid is based on production area.
A single company can receive a maximum amount of support of 200,000 SEK (€19,200) in accordance with the EU de minimis rules regarding state aid.
The measure is part of a support package valued up to SEK 1 billion (€96 million). The package also includes an increased tax reduction on diesel
Due to war in Ukraine, prices for agricultural inputs continue at a high level. Thus, the government of Sweden has proposed an additional hand-out to the industry in addition to the measure in the spring budget.
In 2020, there were 689 companies engaged in greenhouse farming in Sweden. Agricultural companies with pigs add up to 1,146 companies, 2,451 companies with chicken and 78 with turkey.
|Does not apply to workers||
Sector specific set of companies
||Does not apply to citizens|
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Form||Not applicable||Not applicable|
Social partners' role in the implementation, monitoring and assessment phase:
Due to the increase production cost for agricultural companies, the employer's organisation the Federation of Swedish Farmers LRF [Lantbrukarnas riksförbund] has been lobbying for a support for the sector since November, 2021.
The Federation of Swedish Farmers LRF has expressed joy and relief when the coveted financial support package was announced.
|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.
Eurofound (2022), Financial support for agricultural (pigs, poultry, greenhouses) companies, measure SE-2022-27/2373 (measures in Sweden), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/SE-2022-27_2373.html
30 January 2023
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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
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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.