French farmers to get €20m support measure because of Middle East conflict

Minister of Agriculture, Agri-food and Food Sovereignty, Annie Genevard, briefing French farmers on government support measures Source: @Agri_Gouv via X
Minister of Agriculture, Agri-food and Food Sovereignty, Annie Genevard, briefing French farmers on government support measures Source: @Agri_Gouv via X

The French government is to put in place a new "exceptional support" measure worth €20 million to help farmers impacted by the Middle East conflict.

The French Minister of Agriculture, Agri-food and Food Sovereignty, Annie Genevard, said the support will be "targeted at fragile farms" who have been particularly impacted by the energy crisis as a result of the Iran conflict.

Minister Genevard said: “Faced with the concrete repercussions of the conflict in the Middle East, and since the beginning of the crisis, the government has remained clear, firm, and consistent: farmers will not face these difficulties alone.

"This new, exceptional solidarity measure, targeted at the most vulnerable farms, aims to prevent cash flow problems created by the energy crisis from leading to a major reduction in our production capacity.

"Because, beyond the immediate crisis, it is about sustainably preserving our ability to produce and feed the French people. It is a matter of sovereignty.”

French farmers

The French government has acknowledged that the conflict in Iran which began in late February is "causing a significant increase in the cost of essential inputs" especially in relation to energy and fertilisers, which it said "is weakening the economic balance of many French farms".

According to the Ministry of Agriculture, Agri-food and Food Sovereignty, the French government has adoped a "gradual and targeted response" towards the most affected sectors.

For the month of April the government has waived "the excise duty on non-road agricultural diesel" a move which was worth €14 million.

It said this measure would "provide immediate support to farm cash flow by directly reducing pump prices for all farmers".

New measure

Minister Genevard also confirmed that a new scheme operated by the Mutualité Sociale Agricole (MSA) will help farmers to benefit from "exceptional support" to boost their cash flow.

According to the French government this new support initiative will help farmers deal with social security contributions and is worth in the region of €20 million.

So far the French government has put in place a number of measures to support farmers including:

  • Exemption from tax on agricultural diesel in April 2026 (€14 million) to help farms cope with rising energy costs;
  • Request for suspension or compensation of the Carbon Border Adjustment Mechanism (CBAM) also known as MACF on fertilisers;
  • A package of consolidation loans guaranteed by the French state of up to 70%, up to €500 million;
  • Deferral of social security contributions: a payment period without fees or surcharges will be granted to agricultural businesses that request it;
  • Spreading out tax deadlines: agricultural businesses can request a spread out of their tax deadlines from their departmental directorate of public finances;
  • Implementation of exceptional short-term loans by Bpifrance, to support the cash flow of agricultural operations most exposed to rising fuel prices;
  • Seeking a local agreement with banks and distributors to  to call for flexibility because of the ongoing crisis.

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