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MADR: EC favorable assent to state aid for non-agricultural products

15 ianuarie 2010

Information in English

The Ministry of Agriculture and Rural Development (MADR) has received a favorable assent from the European Commission (EC) on the granting of state aid for the processing of agricultural and forestry products in order to make non-agricultural produce, the institution informs in a release.

The decision was adopted following the approaches of the Management Authority for PNDR (the National Programme for Rural Development), starting on Oct. 22, 2009 when Romania notified EC the state aid scheme for the processing of agricultural and forestry products, part of Measure 123 “Increase of value added of agricultural and forestry products” within PNDR.

The estimated number of beneficiaries of this aid type is up to some 550 enterprises, respectively micro-enterprises, SMEs, and the total value of the planned budget for this scheme is up to 200 million euros.

As such, a potential beneficiary could receive aid, based on this state aid scheme, if the respective investment project will result in the setting up of a new processing unit, the extension of an existing unit, the diversification of production in order to obtain other new products or a fundamental change of the general production process at an existing unit.

The granting of this type of aid scheme, within PNDR, will facilitate Romania’s economic development by the creation of new jobs, the increase of the added value of agricultural and forestry products and, more than that, the encouragement of the bio-fuels production.

 

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