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Romania: Financial support to be granted to producer organizations
The Romanian Ministry of Agriculture has published a draft law on its own website on the granting of financial aid to producer organizations and other associative entities involved in the marketing of fruit and vegetables.
According to the document, Romania has a lack of agricultural producer associations, with just 24 recognized entities operating at national level. These associations were set up at the initiative of the producers, having as their main objective the concentration of supply and the marketing of their members' products.
The Ministry's project aims to create the legal framework for the granting of financial aid to producer organizations and other associative forums marketing fruit and vegetables in order to facilitate the consolidation process of associative forms.
To qualify for financial aid, beneficiaries (recognised producer organizations and other marketing associations) must submit and approve an operational program valid for a minimum of 3 years and a maximum of 5 years.
Financial support will be limited to 4.1% of the value of the production marketed (PPC) by each producer organization, although the threshold may be raised based on certain criteria.
The objective behind the provision of financial support is to increase the quantity and quality of fruit and vegetable products and to make a more efficient use of them, thereby guaranteeing the stabilization of prices on the market, the supply of sufficient raw material to processors and the balancing of the trade balance by stimulating the supply of domestic fruit and vegetables.
Publication date: 9/1/2017
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