EU approves €300m French state aid scheme for agri-advisory services
The European Commission has approved, under EU state aid rules, a €300 million French scheme to provide aid for advisory services to companies active in the production, processing, and marketing of agricultural products.
Under the scheme, the aid will be provided through subsidised services.
Advisory services must be linked to one of the specific objectives of Article 6 of Regulation (EU) 2021/2115, which include:
- Supporting viable farm income and resilience of the agricultural sector across the EU in order to enhance long-term food security and agricultural diversity as well as to ensure the economic sustainability of agricultural production in the bloc;
- Enhancing market orientation and increase farm competitiveness both in the short and long-term, including greater focus on research, technology, and digitalisation;
- Improving farmers’ position in the value chain;
- Contributing to climate change mitigation and adaptation, including by reducing greenhouse gas emissions and enhancing carbon sequestration, as well as to promote sustainable energy;
- Fostering sustainable development and efficient management of natural resources such as water, soil and air, including by reducing chemical dependency.
The commission said that the services should also be "complemented by the cross-cutting aim of modernising agriculture and rural areas by improving access to research and training and promoting knowledge, innovation and the digital transition”.
It added: “In most cases, funding will cover individual advisory services.
"In some cases, grouped advisory services will also be subsidised.
"This approach allows the scheme to reach more beneficiaries.”
‘Necessary and appropriate’
The commission said that it found that the scheme is “necessary and appropriate to encourage the use of advisory services”.
Also, the commission said it found the scheme to be “proportionate, as it is limited to the minimum necessary, and will have a limited impact on competition and trade between member states”.
On this basis, the commission approved the French scheme under EU state aid rules.
The scheme will run until December 31, 2032.
