Help for farmers hit by drought

THE Balearic Agriculture ministry is to set aside more than one million euros in subsidies to complement a central government loan being made to help the region's farmers cope with the damaging effects of this year's drought. The Islands' Agriculture minister, Margalida Moner, said yesterday that those interested in receiving such subsidies should make a formal application within ten days although people will have until 31 December to present documentation which justifies their being eligible for the subsidised borrowing. The regional ministry has stipulated the same conditions for eligibility for the complementary subsidies as its counterpart in Madrid. Application should be made for a sum ranging from a minimum of 3'000 to a maximum of 25'000 euros. The regional ministry calculates that farmers in the Balearics will ask for loans which will total between six and twelve million euros, so that if the initial subsidy of 1'010'000 euros proves insufficient, funding can be increased. Moner confirmed that losses suffered by farmers in the Balearics due to this year's drought have meant they have lost about a third of the income which each hectare would normally generate. She added that the recent rainfall in the region has momentarily alleviated the problem. The criteria to calculate how much financial assistance should be granted set a figure of 200 euros per hectare for up to a maximum of 75 hectares and 100 euros per hectare on lands of up to 150 hectares surface area in the case of dry crop farming. For beef and horse livestock farmers, a sum of 250 euros has been fixed per reproducing adult animal up to a maximum of 75 beasts, and in the case of sheep and goats a concession of 37.5 euros per animal has been set with a maximum of 500 head. In the beekeeping sector, the fixed sum is 25 euros per hive up to a maximum of 600.
Ministry secretary Llorenc Rigo said that allowances on the type of annual interest on the loans, which are in accordance with criteria laid down by the Official Credit Institute (ICO) will be at 0.75 percent for agrarian farm owners. Those who have an agricultural insurance policy which guarantees cover for climatic risks or bans on livestock movement can have access to a loan subsidy with allowances at 1.75 percent.