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  Young Farmers

EQUATING COMPENSATION

WHAT YOU SHOULD KNOW

In order for you to qualify as Beneficiary you must meet the following conditions:

  1. to be a permanent resident of a Municipality, Community or Settlement (old denomination), that is found in the ambit of mountainous or disadvantageous areas or to have the characteristic of a moving cattle-breeder, regardless of the place of your permanent residence, so long as you are moving and breed in a rangeland of a mountainous or disadvantageous area for 5 months, at least 5 animal units (AU).

AU. On occasion, an animal unit is calculated as follows:

-One (1) item of a flock of sheep and goats above the one year of age = 0,15 AU.

-One (1) item of ox and the like above the 2 years of age = 1 AU

-One (1) item of ox and the like of age between 6 months and 2 years = 0,6 AU

-One (1) item of horse and the like above the 6 months of age = 1 AU

b. To possess legally and to exploit in the ambit of the mountainous or disadvantageous areas an agrarian land (cultivation, rangeland), with a minimum area of 20.000 sq. meters.

c. to be the head of the agrarian exploitation that you declare.

d. your income that derives from non agrarian activities, must not exceed 1,7 millions of drachmas, (to be defined every year), and you must not have more than 110 labor wages in non agrarian activities per year.

e. to be an adult, not above the 65th year of age.

f. not to be a retired person, due to withdrawal from the active professional activity or an invalid with a disability that exceeds the 67%.

g. to undertake the commitment for a period of at least 5 years

  • to remain permanent resident and farmer of the mountainous or disadvantageous area and to develop the exploitation for which you were assisted.
  • not to be involved, you or any member of your family which is involved in the exploitation, in activities that will have to do with cultivation, trading of drugs, fraud against the state, environmental destruction and cattle-stealing.
  1. LEVEL OF AID

2.1 New farmer with green certificate and likely to be profitable exploitation

Provided that beyond the above mentioned general requirements, you also have:

-the characteristic of the young or new young farmer

-your exploitation is likely to be profitable and

-you dispose of a green certificate

then the amount of the equating compensation that will be given to you every year will be increased and you can estimate its level by yourself on the basis of the following data:

-duration of allowance of the increased aid up to 5 years

-maximum level of aid per year up to 2.000.000 drachmas.

New Farmer: The farmer that has not completed the 40th year of his age and he obtains (tax returns) at least 50% of his income from agrarian activities and he has not more than 110 labor wages in non-agrarian activities per year.

Calculation of the level of subsidy

The Agrarian Development Office calculates the final amount that you are going to receive based on the number of the animal units that you breed, the existence or not of rangeland and cultivated acres, the existence or not of non agrarian income and the following amounts per animal unit and per one thousand sq. meters:

Exploitation type Amount
For the first 30 AU (1-30) Up to 46.000 drachmas/AU
For the next 30 AU (31-60) Up to 23.000 drachmas/AU
For the first 150.000 sq. meters (1-150) Up to 4.600 drachmas/1000 sq. meters
For the next 350.000 sq. meters (151-500) Up to 2.300 drachmas/1000 sq. meters

 

2.2 New farmer with lump sum subsidy for the first installation

Provided that beyond the general requirements you have the characteristic of a new young farmer and at the same time your accession to the measurement of the lump sum subsidy for the first installation has been approved (without the requirements of the existence of a viable exploitation and green certificate) you will be given an increased equating compensation, the level of which you can estimate by yourself based on the following data:

Duration of allowance of increased aid up to 2 years, after the expiring of which, the allowance provided is the same as that of other beneficiaries.

Maximum Level of Annual Aid

  • mountainous areas and Aegean Sea islands up to 1.185.000 drachmas
  • disadvantageous areas up to 1.060.000 drachmas.

Calculation of the level of Aid

The Agrarian Development Office calculates the final amount that you are going to receive based on the place of your permanent residence, the place where your exploitation is located, the number of the animal units you breed, the existence or not of rangeland and cultivated sq. meters, the existence or not of non agrarian income and the following amounts per animal unit and per one thousand sq. meters.

a. Mountainous areas – Aegean Sea islands

Exploitation type Amount
For the first 20 AU (1-20) Up to 30.000 drachmas/AU
For the next 10 AU (21-30) Up to 21.500 drachmas/AU
Grain, Cattle feed Up to 2.500 drachmas/1000 sq. meters
Other cultivation Up to 2.000 drachmas/1000 sq. meters
Ox - Aegean Sea islands  
For the first 20 AU (1-20) 46.000 drachmas/AU
For the next 10 AU (21-30) 40.000 drachmas/AU

b. disadvantageous areas

Exploitation type Amount
For the first 20 AU (1-20) Up to 27.000 drachmas/AU
For the next 10 AU (21-30) Up to 19.000 drachmas/AU
Grain, Cattle feed Up to 2.200 drachmas/1000 sq. meters
Other cultivation Up to 1.700 drachmas/1000 sq. meters

2.3 Other beneficiaries

Provided that you fulfill only the general requirements or you are a farmer over 40 years of age, the amount of the equating compensation you are going to receive, is calculated on the basis of the following data:

Maximum Level of Annual aid

  • mountainous areas and Aegean Sea islands up to 920.000 drachmas
  • disadvantageous areas up to 810.000 drachmas.

 

Calculation of the level of Aid

The Agrarian Development Office calculates the final amount that you are going to receive based on the place of your permanent residence, the place where your exploitation is located, the number of the animal units you breed, the existence or not of cultivated cattle feed in your exploitation, the number of the cultivated sq. meters, the existence or not of non agrarian income and the following amounts of aid per animal unit and per one thousand sq. meters.

a. Mountainous areas – Aegean Sea islands

Exploitation type Amount
For the first 20 AU (1-20) Up to 22.000 drachmas/AU
For the next 10 AU (21-30) Up to 17.000 drachmas/AU
Grain, Cattle feed Up to 2.100 drachmas/1000 sq. meters
Other cultivation Up to 1.700 drachmas/1000 sq. meters

 

b. disadvantageous areas
Exploitation type Amount
For the first 20 AU (1-20) Up to 19.000 drachmas/AU
For the next 10 AU (21-30) Up to 17.000 drachmas/AU
Grain, Cattle feed Up to 1.800 drachmas/1000 sq. meters
Other cultivation Up to 1.300 drachmas/1000 sq. meters

 

  1. Allowance procedure

-In order for you to access to the equating compensation program and to receive the aid, you must present to the Municipality or the Community of the place of your permanent residence the relative application.

(You will find the applications’ form in the office of the Municipality or the Community or at the Agrarian Development Office)

-if you have the characteristic of the moving cattle-breeder and you are a permanent resident of a plain area, you will present your application to the place where you are having your herd moved.

The date of filing of the application is defined every year with a decree of the Minister of Agriculture and this period is usually at the end of every year.

-Your application after an initial examination by the three-member committee of the Municipality or the Community, it will be conveyed to the Agrarian Development Office of the place of your permanent residence.

-The Agrarian Development Office after examination of data presented in your application may ask from you to present some supporting documents, in order to ascertain the accuracy of facts you have declared, such as for instance, the demonstrative documents concerning legal possession of the exploitation, the tax returns, the demonstrative documents prooving your place of permanent residence, etc. Based on these data, it will issue an approving or rejecting decision, which it forwards to your Municipality or the Community, where it will be published for a period of 20 days.

-In this period of time if you are not satisfied with the Agrarian Development Offices’ decision, you have the possibility to present a plea.

-You will present the plea to the Agrarian Development Office, which will forward the plea, together with all data included in your dossier to the Head office of the Regional Authority

(Agrarian Development Office) so that it can be examined.

-In case you definitely qualify as beneficiary, the Agrarian Development Office will include your name to the list of beneficiaries, which will then be forwarded to the local branch of the Agrarian Bank of Greece, in order for you to get paid.

-The Agrarian Bank of Greece will pay you as soon as it receives the necessary credits that the Ministry of Agriculture will send for this purpose.

4. We hereby remind you that in the period of your 5-year commitment:

-if you violate the terms and conditions of the program without there arising any force majeur, such as for instance if you abandon the mountainous or disadvantageous areas and you settle down in a dynamic area, or you change your profession, or you decrease the exploited sq. meters of your exploitation to a total of less than the 20.000 sq. meters, then you will be obliged to refund the amounts you have received up to that day together with corresponding interest imposed thereupon.

-if you decrease your animal capital by more than 30%, you will be obliged to refund the part of the amount you have received that corresponds to this reduction.

-if you declare false data or you do not facilitate the inspections besides of the other sanctions, you will be excluded for a ten years period of time from any kind of aid by the Ministry of Agriculture.

5. Legal Status

(for more information)

Reg. (EU) 950/97 (1-142/97)

Joint Ministerial Decree 322501/2290198 (The Official Gazette 480/B)

Joint Ministerial Decree as applicable in each occasion.