Time to establish an agricultural emergency and release farmers from their obligations?

In the current situation on the market, farmers are not able to fulfill the terms of contracts with the ARMA, due to the difficult economic conditions of farms, believes the Lower Silesian agricultural self-government. Therefore, he called for the recognition of the current reality as an emergency, so that farmers could deviate from certain obligations under the Agency’s aid programs.

The Management Board of the Lower Silesian Chamber of Agriculture asked the National Council of Agricultural Chambers to request the Minister of Agriculture to recognize the current situation in agriculture as extraordinary, so that farmers could withdraw from the implementation of aid programs under contracts concluded with the Agency for Restructuring and Modernization of Agriculture, i.e. RDP 2014-2020 and other software they use.

As emphasized in the letter by Ryszard Borys, the President of DIR, in the current market situation, farmers are not able to fulfill the terms of contracts with ARMA, due to the difficult economic conditions of farms. Agreements concluded with ARMA introduce provisions to maintain, e.g. herds of sows in a given quantity or the declared area has been sown or planted. Farmers who have benefited from the RDP to build and modernization of buildings for the production of piglets, they have signed contracts for the conditions of keeping pigs in a certain number for 5 years, but they are not able to meet this obligation, because as a result of ASF and the situation related to the crisis on the pig market, they pay up to PLN 160 per head, which leads to longer the period of time until the loss of financial liquidity and bankruptcies of farms in the pig sector.

According to DIR, the same is true of the starch potato market. – In contracts with the ARMA, farmers declared a certain number of hectares to be planted, unfortunately the economic situation on this market has deteriorated significantly and farmers are forced to sell their crops below the economic profitability of the farm – underlines President Borys in the letter.

– Situation on dairy market also does not inspire optimism – adds the head of DIR. – Farmers benefiting from the RDP have modernized their farms, invested huge funds to make their work lighter and the economic effects greater. Observing the current situation, the amount per liter of milk is insufficient to cover production costs and the effective functioning of farms, he also emphasizes.

– Beneficiaries who have benefited from ARMA’s assistance have more and more problems with meeting the conditions included in the contracts. Many farms, often run for generations, are struggling to survive. The pandemic situation is also not conducive to farming, as it is a time of uncertainty and destabilization of outlets for farmers – points out Ryszard Borys.

Therefore, DIR requires KRIR to apply to the Ministry of Agriculture for the possibility of changing the provisions in the contracts on the long-term maintenance of the size of herds, the number of plantings, etc., which farmers undertook to fulfill in the signed contracts exempting farmers from sanctions caused by failure to comply with the original provisions.

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About Eric Wilson

The variety offered by video games never ceases to amaze him. He loves OutRun's drifting as well as the contemplative walks of Dear Esther. Immersing himself in other worlds is an incomparable feeling for him: he understood it by playing for the first time in Shenmue.

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