The Consell subsidizes loans to farmers worth 8.7 million euros to mitigate the effects of the drought

The president of the Generalitat Alberto Fabra has signed an agreement with nine financial entities

The president of the Generalitat Alberto Fabra has signed an agreement with nine financial entities  

Cajamar, Santander, Caixabank, Popular, Caixa Ontinyent, Bankia, Sabadell, Valencian Rural Savings Banks and the Federation of Agri-Food Cooperatives of the Valencian Community- whereby it will grant aid for the value of 8.7 million euros to instrumentalize the subsidized ns foreseen in the order destined to alleviate the effects of the drought.

These grants will consist of paying the interest for the years 2015, 2016 and 2017 with a term of validity of five years, until 2019, and the amortization will be made in equal installments from September 30, 2016, to the same day of 2019. In addition, according to The Government has highlighted in a statement, thanks to the negotiation carried out, financial entities have reduced the application of interest from 4.5 percent to 2.75 percent.

The Order of aid for regulating the procedure to grant the 8.7 million euros was published on January 9, 2015, in the Official Journal of the Valencian Community, and has received a total of 482 applications.

Recovery and continuity of activity

Recovery and continuity of activity

As indicated by the Government, these subsidies will be used to repair the effects caused by drought in certain farms in the Region and allow the recovery and continuity of productive activity.

The beneficiaries will be the farmers who applied for a loan under the previous Rural Development Program of the Valencian Region (2007-2013) and who are interested in requesting a new loan whose maximum amount, up to 112,000 euros, will be equal to the amount of capital to be amortized in 2015 and 2016. So far, 284 applications have been submitted.

In addition, the owners of agricultural holdings in dry land due to the 2014 drought and who are interested in requesting a loan https://green-touch.org/ may receive the aid. In this case, the maximum amount will be 25,000 euros per farm and 284 applications have been registered.

The agreement also contemplates the third avenue of assistance that is the subsidy of the guarantees of the State Public Corporation of Agricultural Caution to those owners of agricultural holdings of the two previous modalities whose guarantees are not covered by the Ministry.

The sector that “vertebrates and unites” the community

Money and Loan

 

In this regard, Fabra stressed that this agreement demonstrates the “sensitivity” to a sector that “vertebrates and cohesion” the Community and that is “one of the fundamental pillars” of the Valencian economy because, as recalled, many of the municipalities of autonomy generate their income from agriculture and livestock.

In this sense, has indicated that faced with the drought experienced in recent months, the Consell “could not and should not sit idly by.” Thus, has detailed that the agreement seeks to help the sector to alleviate the effects of drought in the Region.

For Fabra, the best way to help him, since “they can not make it rain”, is by contributing so that they can make new investments and can program new works within their farms to improve performance.

In addition, the head of the Consell has stressed that in a few days will present the Almond Replacement Plan worth 2.4 million euros because they are “aware” of the death of trees. For this reason, it has influenced that in order to face the situation, financial entities and administrations must “go together”.

“When we talk about drought we talk about lack of water and it is curious that these days we are seeing that in the north of Spain there is water left over and here once again it is missing”, said the ‘president’, while lamenting that the Region has “a very important water deficit”, for which reason it has stressed that “we must continue working” in the National Hydrological Plan that “guarantees that where there is water, it will go where it is needed”.

For this reason, it has affected that they will continue working with the Government and the Ministry of Agriculture to “show the need for the Community”.