The European Commission has approved a €1.8 million Cypriot scheme to support farmers active in the primary agricultural production affected by the coronavirus outbreak. The scheme was approved under the State aid Temporary Framework adopted by the Commission on 19 March 2020, as amended on 3 April 2020 and 8 May 2020.

The support will take the form of direct grants. The scheme will be accessible to (i) holdings active in the primary agricultural production of fresh vegetables, strawberries and herbs; (ii) holdings active in the primary agricultural production of oranges of the ‘Valencia’ variety; (iii) holdings active in the floriculture sector; (iv) primary agricultural producers who are owners or managers of agricultural holdings and participate in farmers’ markets; and (v) owners or managers of agricultural holdings without access to irrigation.

The purpose of the scheme is to address the liquidity needs of agricultural holdings, and to help them to continue their activities during and after the outbreak. The Commission found that the Cypriot scheme is in line with the conditions set out in the Temporary Framework. In particular, the aid does not exceed €100,000 per beneficiary. The scheme will run until 31 December 2020.

The Commission concluded that the measure is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework. On this basis, the Commission approved the measures under EU State aid rules.

More information on the Temporary Framework and other actions taken by the Commission to address the economic impact of the coronavirus pandemic can be found here. The non-confidential version of the decision will be made available under the case number SA.57587 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved.

(For more information: Arianna Podesta – Tel. +32 229 87024; Giulia Astuti – Tel.: +32 229 55344; Maria Tsoni – Tel.: +32 229 90526)

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