The EC is offering €540 million and other support measures to farmers affected by the fertiliser crisis

On Friday, the European Commission (EC) unveiled measures designed to help farmers facing soaring fertiliser prices.

To address this issue, the Commission is proposing two specific short-term measures. Firstly, the Commission will provide financial assistance to farmers who need to purchase fertiliser to ensure the next harvest. In the coming weeks, the Commission aims to mobilise a total of €540 million. Earlier this week, the Commission proposed to top up the agricultural reserve by a further €300 million from this year’s EU budget, in addition to the remaining funds. Member States will be able to top up this amount by up to 200% of national funds, meaning that the total potential financial support could reach €1.5 billion.

Secondly, the Commission is proposing targeted amendments to the Common Agricultural Policy (CAP) that would allow Member States to provide farmers with faster and more flexible support for the purchase of fertilisers. These measures include:

• a new liquidity scheme under the Rural Development Programme to provide support in the event of a crisis;

• the possibility for Member States to bring forward the payment of direct payments to farmers;

• and the possibility for Member States to adjust their direct payments budget for the 2027 calendar year.

The new liquidity scheme can be co-financed up to 65% from the European Agricultural Fund for Rural Development (EAFRD) and include unused funds that would otherwise be lost. Member States may add national funding up to 200 per cent. To ensure rapid disbursement and reduce the administrative burden, support may be paid as a fixed amount per hectare and implemented through CAP Strategic Plans.

As regards advance direct payments to farmers, Member States will have the option to pay them by 16 October, having increased the amount of the advances.

Finally, the proposal will give Member States greater flexibility in addressing the impact of high fertiliser prices, allowing them to adjust direct payment allocations for the 2027 calendar year.