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Press release - April 15th 2010

Government in meeting dated 14/04/2010, was approved by Government Decision to grant assistance to producers of milk and milk products, financed from European funds and for farms or individuals in this area, affected by the crisis in the dairy sector.

According to this decision, annual milk producers supplying larger quantities of 10,000 kg (inclusive) will be supported differently, depending on the quantity of milk delivered to market. Romania's total budget for this support mechanism is approximately 5 million euros and will be financed by the European Agricultural Guarantee Fund (EAGF).

Financial support is given for 2008-2009 quota year, and the deadline for applications for obtaining this support is May 14, 2010.

Financial support enjoyed by producers in this area is different in 4 categories, depending on the amount of milk delivered to market as:
* annual market for manufacturers who deliver between 10,000 to 20,000 pounds of milk, the support is 200 euros per farm. In this situation there are approximately 5,700 growers and the amount allocated to this segment of 1.142 million euros.
* annual market for manufacturers who deliver between 20,001 to 200,000 pounds of milk and milk products, the support is between 236 and 2360 euros / farm, depending on the amount of products. The number of producers is 5154 and this segment is the total amount of 546.000 euros.
* for those who deliver annually more than 200,001 to 500,000 pounds of product, that 273 producers, financial support will be 2,000 euros per farm.
* for those in excess of 500,000 pounds annually, that 140 producers will receive 1200 euros.

Thus, producers supplying milk and dairy products market may receive financial support if they meet all the following requirements:
- Are legal entities or individuals authorized, certified by the certificate of commercial registration;
- Are included in the quota system at the Agency for Payments and Intervention for Agriculture as a producer with milk delivery quotas for the quota year 2008-2009;
- Manufacturers are in business on March 31, 2010, and delivered milk production per farm is greater than 10,000 kg of milk.

Source: Press office of MARD


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