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February 28, 2021

Home-grown pork incentive program to come into effect only after green-lighted by EC

The Senate adopted on Tuesday, in its capacity as first notified chamber, the Law approving the ‘Pork reared in Romanian farms’ program – with one amendment added following the revision request by the President of Romania.

“The provisions of this law come into effect after the European Commission greenlights the grant of the state aid under the ‘Pork reared in Romanian farms’ program,” reads the amendment adopted by the Committee on agriculture, forestry and rural development.

The initial form of article 19 of the law was as follows: “Should the decision of the European Commission for the grant of the state aid contain new, or different provisions from the notified scheme, the provisions of the state aid scheme shall be completed and / or amended accordingly.”

The scope of the bill initiated by several PSD lawmakers is to define a legal framework for the instatement of a state aid scheme aimed at implementing the ‘Pork reared in Romanian farms’ program under which aid is disbursed to help pig breeders overcome specific difficulties and keep production at least at the current level.

The aid is supposed to be disbursed from the state budget via the budget of the Ministry of Agriculture and Rural Development to pork producers – authorized legal persons or self-employed persons, individual and family businesses.

To access the program, pork producers must deliver to authorized slaughterhouses, where carcasses are classified by authorized classifiers, at least 600 and a maximum of 100,000 fattened pigs per year and beneficiary, irrespective of the number of their holdings.

The ‘Pork reared in Romanian farms’ program will run between 2017 – 2020. The amount allocated for the payment of state aid in 2017 is the equivalent of 86 million euro and is ensured from the state budget, within the limits of the budgetary provisions approved to the Ministry of Agriculture and Rural Development this year.

The amounts left unspent from the annual caps approved under Government Resolution shall be carried over to the next year of the program, with the same destination.

On June 15 President Klaus Iohannis requested the review of the law, considering that the European relevant standards had been overlooked at the act’s adoption.

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