The government approved a draft law on subsidies in agriculture and rural areas.
The document regulates the provision of subsidies for agriculture, forestry, fish farming, as well as economic and cultural activities in rural areas. According to the recommendations of the Council of Europe, farmers are divided into 4 categories - micro (up to 9 employees and a turnover of up to 18 million lei per year), small (up to 49 employees and up to 50 million lei), medium (up to 249 employees and up to 100 million lei per year) and large (over 249 employees and a turnover of over 100 million lei per year). As before, the basic principles of subsidizing agriculture and rural areas remain: predictability, economic efficiency, transparency, sustainability of policies, responsibility, etc. The Ministry of Agriculture will be responsible for implementing the Law on Subsidies, while the Agency for Intervention and Payments in Agriculture (AIPA) will manage the National Fund for Agricultural and Rural Development, as well as other financial resources. The bill provides for 5 types of subsidies: up-front, post-investment, phased, direct, and supplemental payments. At the same time, phased financing is proposed to be introduced for the first time - the funds will be provided for up to 36 months for each stage of the investment plan approved by AIPA, but the beneficiary must contribute at least 50% of the project cost. The bill also provides for certain categories of beneficiaries for whom simplified grant terms are possible. Payments are made within 10 days, depending on the circumstances, from the date of: issuance of an administrative act; conclusion of a contract; submission of an application for payment; and decision of the relevant central authority. Payments are made through the state service of electronic payments to the payment accounts of the beneficiaries in the order. AIPA will also monitor the use of subsidies for 5 years from the date of granting. In order to effectively manage the funds of the National Fund for Agricultural and Rural Development it is proposed to develop an integrated information system which will contain data on land, subsidies, checks, farmers who applied for subsidies, etc. The bill is proposed to enter into force after publication in Monitorul Oficial (the Official Journal of Moldova), with the exception of some of its provisions for which a transitional period is provided. //22.02.2023 - InfoMarket.
