The European Commission approved this Wednesday a Portuguese State aid scheme worth 30 million euros for companies in the agricultural, fisheries and aquaculture sectors. The aid aims to address the increases in production prices and was approved under the Temporary Framework for State Aid relating to the Middle East Crisis, which caused the increase in fuel and fertilizer prices. Lisbon had already notified the Community executive of this scheme.
The aid will take the form of direct subsidies, with a maximum limit of 50 thousand euros per company. For the agricultural sector, the aid for fertilizers is based on a fixed amount depending on the number of hectares of agricultural surface area and the animals of the company. The aid for fuel costs consists of 0.10 euros per liter of agricultural or maritime diesel consumed between April 1 and June 30, 2026.
In its analysis, the Commission concluded that the scheme complies with the established conditions, being provided based on a clear estimated budget to temporarily support the development of companies active in the primary production of agricultural, fisheries and aquaculture products. The European executive also considered that the scheme is necessary, appropriate and proportionate to facilitate the development of an economic activity, without negatively affecting trade exchange conditions in a manner contrary to the common interest.
The State aid scheme will be in force until December 31, 2026 and aims to mitigate the impact of the increase in agricultural fuel and fertilizer prices.
