WHO: agricultural and rural development payments exceeded HUF 1,400 billion last year

By: STA Date: 2024. 04. 09. 10:00

Last year, i.e. in the first year of the agricultural policy cycle until 2027, HUF 1,409.2 billion were paid out for agricultural and rural development subsidies – read the summary published by the Institute of Agricultural Economics (AKI) on Tuesday.

(Photo: Pixabay)

63.8 percent of the subsidies were covered by EU funds and 36.2 percent by the Hungarian budget. Of the subsidies for agricultural and rural development, the Rural Development Program amounted to HUF 750 billion, direct subsidies to HUF 496.2 billion. Among those subsidized, field crop production has the largest share, with a ratio of almost one-third. Animal breeders received 17.0 percent of the subsidies, horticulture 4.5 percent. Last year HUF 50.7 billion was paid to compensate for weather damage in 2022.

According to the announcement, by the end of 2023, the loan stock of agriculture increased by 3.5 percent year-on-year, reaching HUF 1,039.6 billion

Within this, the proportion of preferential loans is 69.4 percent, and the share of market loans is 30.6 percent. The loan stock of individual farms decreased by 1.7 percent to HUF 369.0 billion, the majority of which financed the cultivation of field crops. The loan stock of agricultural social enterprises increased by 6.6 percent to HUF 670.6 billion, within which the share of animal husbandry is dominant. The credit portfolio of the food industry decreased by 2.0 percent to almost HUF 747.3 billion. Within this, the loan portfolio of individual enterprises fell by 9.2 percent to HUF 6.5 billion, and that of cooperative enterprises by 1.9 percent to HUF 740.8 billion.

MTI