“Ridiculous” compensation: Slovak minister criticizes EU aid to farmers through imports from Ukraine

UkrAgroConsult

Slovakia’s Agriculture Minister Josef Bires said that the €5 million support for Slovak farmers as compensation for losses they suffered as a result of the recent influx of agricultural products from Ukraine is small compared to the actual estimated losses of €200 million, Euractiv reports.

On Monday, member states approved a €100 million compensation package for five states, including Slovakia, that decided to impose a unilateral ban on Ukrainian agricultural goods in April – before the EU issued its own import ban. Slovakia received the least, while Bulgaria is to receive €10 million, Hungary €16 million, Romania €30 million, and Poland €40 million.

However, Biresh now claims that this is not enough, calling the amount “ridiculous.”

“The Slovak Republic estimates the losses caused by the increase in imports of agricultural products from Ukraine, combined with the general difficult situation of our producers who grew their crops last year… at approximately 200 million euros,” the Slovak Ministry of Agriculture explained.

The estimated amount would be almost half of the EU’s annual budget to combat the crisis in agricultural markets, which is €460 million – an amount member states could double using their own budgets, although it would still not be enough to cover all the damage, the report said.

Slovakia is unlikely to receive more money from the reserve fund, as the European Commission has reportedly announced that the rest of this year’s reserve, more than €80 million from next year, will go to the other 22 member states.

The EU regional ban is set to last until September 15, although Slovakia is seeking an extension. Biresh discussed the issue with Ukraine’s neighboring countries.

“We would be happy to extend this measure. First of all, the harvest is about to start, and if these imports are uncontrolled, it will obviously harm the situation of farmers. Also, for the reason that if the price remains at the current level, they will think very hard about whether to plant another crop,” said Minister Josef Bires.

Tags: Ukraine, subsidies, export, grain, Slovakia