De minimis aid in agriculture is a special category of support provided by the state. Due to its low value, it is considered that it does not distort competition in the EU and is not subject to the obligation to notify (officially notify) the European Commission.
Poland does not have a high limit of de minimis aid in agriculture compared to other European countries. It amounts to nearly EUR 296 million over a three-year period and is to be valid until the end of 2027.
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PLN 1.14 billion on farmers' accounts as part of cereal subsidies
There will be no de minimis aid this year
And this year – as it turns out faster than usual – the available pool has already been exhausted.
– The Ministry of Agriculture and Rural Development informs that the amount of the used national limit of the cumulative amount of de minimis aid in agriculture as of August 2, 2024 is 100% of the national limit referred to in Commission Regulation (EU) No. 1408/2013 of December 18 2013 on the application of Art. 107 and 108 of the Treaty on the Functioning of the European Union for de minimis aid in the agricultural sector (OJ EU L 352 of 24/12/2013, p. 9, as amended) – the Ministry of Agriculture said in a press release.
How much is de miminis aid?
Support per one agricultural producer cannot exceed the equivalent of PLN 20,000. euro within 3 calendar years. When assessing applications, the current year and the two preceding years are taken into account. Although EU regulations allow for the possibility of increasing the limit per farm to PLN 25,000. euro, and the domestic one to 1.5% of annual production, unfortunately Poland is unable to take advantage of it. It is worth adding that talks are underway to increase the de minimis limit.
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The EC wants to introduce changes to de minimis aid in agriculture. Check which ones!
In recent years, most of the aid granted in agriculture was included in the de minimis category, especially disaster relief (droughts, floods, hurricanes, hailstorms, frosts), which resulted in the rapid use of annual limits. In addition, financial support under de minimis includes, for example, subsidies for seed material, subsidies for the purchase of purebred bulls, aid for beekeepers, subsidies for disaster loans, relief from social security contributions, agricultural tax relief for the commune, relief from rent repayment. lease for agricultural land, exemption from tax on civil law transactions when purchasing agricultural land, biosecurity subsidies.
Regardless of the exhaustion date, the de minimis pool is always renewed on January 1.
