Századvég conference – István Nagy: strengthening the economy of the countryside is strengthening the whole of Hungary

By: STA Date: 2022. 10. 17. 09:36

Everything must be done to strengthen the economy of the countryside, because that is the strengthening of the whole of Hungary – said the Minister of Agriculture in his video message at the Századvég Konjunkturakutató Zrt. Rural Conference 2022 event in Budapest on Friday.

(Photo: Pixabay)

István Nagy emphasized that the countryside is a solid foundation, a safe starting point, a thousand-year-old sustaining force that can be relied on during the increasing difficulties, the protracted epidemic, the Russian-Ukrainian war, the failed Brussels sanctions policy and the historic drought. He mentioned that from the beginning of 2021, the government made support decisions worth HUF 2,250 billion for the development of the agriculture and food industry, which is the economic backbone of the region. In the 2023-2025 period, 3,400 billion forints will come to this area within the framework of one pillar of the common agricultural policy (CAP), and 4,265 billion forints will come to this area within the framework of the second pillar, he added. Among rural development subsidies, investment subsidies that increase competitiveness and efficiency are decisive, but at the same time they also pay attention to the environment and sustainability goals, he explained. In the context of investment subsidies, the priority is to increase added value and production cost efficiency, he added. In order to increase the ability of rural people to preserve value and generate income, the ministry launched a private support program, on which more than 9 billion forints have been spent so far – he recalled, pointing out that this program greatly helps the local population in self-sufficiency.

At the same time, István Nagy drew attention to the fact that in the 21st century, it is no longer possible to farm successfully with the old methods, new answers to the challenges of the lack of rainfall and the energy crisis must be given, and the most modern technologies are needed. He noted that digitization is becoming increasingly important in agriculture as well, with the help of which risks and the ecological footprint can be reduced and competitiveness can be increased. In order to achieve comprehensive renewal, HUF 750 billion will be allocated to food industry investments by 2027 within the framework of the KAP’s rural development support, the minister said in his video message.

MTI