I. Hofman: Farmers would not like an increase in fuel excise duty

Asociatyvi nuotr.

If the Ministry of Finance proposes to increase defence funding by, among other things, raising excise duties on all fuels, including farmers' green diesel, Ignas Hofmanas, chairman of the Lithuanian Agriculture Council, says farmers would react negatively to such a change.

„The farming community would welcome that news atšišwhen farmers are always sensitive to that, to wanting to increase excise duty on fuels, for the very same principle, the principle of justice. (...) Aš personš when I think that all citizens, absolutely all citizens, should contribute to the defence, then the fairest thing would be, for example, to increase the VAT (value added tax – BNS) by one percent“, – said I. Hofmanas to the BNS on Wednesday.

„Defence is necessary for everybody, not only for business, not only for farmers or some other išdedicated part of society. It is for all people and that našt should be the same for everyone,– he stressed. 

I. Hofmann said farmers have not yet discussed the Finance Ministry's proposal and did not rule out the possibility that farmers could protest again if fuel excise duties are raised. 

„We should discuss in the community what position to take on šthis issue, but from štoday's perspective I think farmers would be sensitive, unless the increase is very small, a few cents, then maybe there would be no reaction, but if there is a significant increase, then ašI think there would be a&dquo;reaction“, – the farmers' spokesman said.

Under the Finance Ministry's proposal, the defence component of the excise duty on petrol, diesel and green diesel used by farmers would increase by 6 cents per litre. The Ministry estimates that this would raise around €126 million annually.

On Wednesday, the ministers of environment and agriculture, Simonas Gentvilas and Kęstutis Navickas, said they supported the Finance Ministry's proposal. 

The Agriculture Minister also added that he was not afraid of the farmers who protested over fuel excise duties as early as January last year: „If we protest now, whether to defend the state, then aš I'm really not afraid“.

Defence funding is to be increased to 3% of gross domestic product in order to accelerate the development of a division in the Lithuanian army and to accommodate a German brigade.

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