06 de May de 2020
06/05/2020. During the COVID-19 crisis, the rural sector is demonstrating strong resilience to the social, economic, and health consequences of the coronavirus. Furthermore, the rural sector has proven to be the guarantor of agricultural and food supplies for urban areas during the lockdown period.
- The European Commission adopts economic measures to help various rural stakeholders
- The CAP application deadline is extended to June 15.
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However, rural areas are not immune to the damage a global pandemic causes to the population. For this reason, the European Commission has taken a series of measures to support rural areas ' recovery during and after this crisis.
Measures
The European Commission's support for rural areas is reflected in the following points:
Flexibility in the use of financial instruments in rural development: Farmers and other rural development beneficiaries will be able to benefit from loans or guarantees to cover operating costs of up to €200,000 under favorable terms, such as very low interest rates or favorable repayment schedules.
Higher CAP advance payments: To boost farmers' cash flow, the Commission has increased advances on direct payments (from 50% to 70%) and some rural development payments (from 75% to 85%). Farmers will begin receiving these advances from mid-October.
Increased state aid for farmers and food processing companies: Farmers can now benefit from a maximum aid of €100,000. Food processing and marketing companies can benefit from a maximum of €800,000. Under the new rules, EU countries can now support farmers with state aid of up to €120,000.
CAP Flexibility
In response to the difficulties faced by member countries in meeting certain CAP requirements, the European Commission has taken a series of specific measures:
Extension of the deadline for CAP payment applications: The deadline will be extended by one month, from May 15 to June 15, 2020, giving farmers more time to complete their applications for direct payments and rural development payments. In the case of Spain, the regional governments are assisting with the online processing of these applications. See the technical notes at this link .
Fewer on-site field checks: EU countries carry out checks to ensure eligibility conditions are met. However, in the current exceptional circumstances, it is crucial to minimize physical contact between farmers and inspectors. This measure will help reduce the administrative burden and avoid unnecessary delays.
Postponement of annual reporting: The deadline for EU countries to submit these reports on the implementation of their Rural Development Programmes has been postponed, giving national authorities more time to prepare them.
No amendments to Partnership Agreements required: EU countries will not need to amend their Partnership Agreements to modify their Rural Development Programmes, which will lift some administrative procedures.
Furthermore, the European Commission urges all EU countries to use the opportunity to modify their rural development programs. The funds still available under their rural development programs can be used to finance relevant actions to address the crisis.
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