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Nearly 900 million euros earmarked for farming investments over next seven years
Nearly 900 million euros of European and national funds are available to Romanian farmers for investments over the next seven years. Integrated projects will have priority in the new National Programme for Rural Development (PNDR) 2014-2020; the Rural Investments Financing Agency (AFIR) will select the winners based on quality criteria, issuing monthly or quarterly reports.
Top priority will be given to projects that integrate processing of farm production, State Secretary George Turtoi of the Ministry of Agriculture told AGERPRES on Tuesday. Funding begins at 50 percent and can reach 90 percent; 20 percent are added, for instance, based on criteria like belonging to a cooperative.
Projects are accepted anytime, with AFIR's reporting frequency adapted to the inflow.
Initial documentation is much simpler under the new PNDR. Subsequently, applicants have six to eight months to submit their technical projects and obtain the necessary approvals before contracting.
The initial list includes a feasibility study or a justification memo, the financing request form, the urban planning certificate and the proof of land ownership; other approvals can be requested later, to avoid spending before knowing the project is selected. Beneficiaries should, however, make an early assessment of the possibility of getting the approvals, Turtoi explained.
Upon being accepted into the system, beneficiaries will get a 50 percent upfront payment. They must also provide a firm credit contract or a bank statement to prove the necessary co-financing is covered. Further normative acts should specify the deadlines, and not meeting them will result in the termination of the project.
Agriculture Minister Daniel Constantin explained that Romania has a certain degree of freedom about the steps taken in the new PNDR, until March, when the European Commission will issue an unofficial approval. These measures concern the investments and the young farmers.
Overall allocations to the 2014-2020 PNDR amount to 9.363 billion euros, including 8.015 billion in European Funds. Romania has to contribute 1.347 billion euros on its own.
For the next seven years, 892.32 million euros are earmarked for farm investments, including a national contribution of 134.35 million euros.