The Agricultural Subsidy Council has increased area-based subsidy ratios to compensate farmers' growing costs related to diesel fuel - TABLE
12 March 2021
To eliminate the possible impact of changes in the price of diesel fuel on agriculture, stimulated support measures for farmers are being continued by the State. According to the instruction of the President of the Republic of Azerbaijan Mr. Ilham Aliyev, the Agricultural Subsidy Council decided to grant additional area-based subsidies to farmers in 2021 on agricultural plants. The Council's decision reflected new sowing coefficients. Increase of sowing coefficients, the Tariff (price) Council aims to compensate for the additional costs incurred by farmers following the growing of crops as a result of a change in the price of diesel fuel. To this end, additional funds in the State Budget for 2021 are expected to allocate by the government.
At present, subsidy payments to farmers in the field of plant-growing are being continued. At the initial stage, farmers are paid subsidies on the sums approved at the end of last year, while the sum of subsidies increased following the new sowing coefficient will be paid in the current year.
It should be noted that 25 percent of the area-based subsidy provided to farmers can be spent in cash, and 75 percent in non-cash form for the purchase of mineral fertilizer, bio humus, pesticide, certified seed, and sapling. The area-based subsidy compensates part of the costs of farmers related to the purchase of the mentioned means of production. The increase in sowing coefficients will allow farmers to meet a larger portion of the costs associated with the purchase of the mentioned means of production at the expense of area-based subsidies, thereby compensating for the additional costs arising from the increase in the price of diesel fuel.
Subsidies are provided to farmers through the Electronic Agricultural Information System.
According to the decision of the Agricultural Subsidy Council, in 2021, the new sowing coefficients and the sum of area-based subsidy for agriculture were determined as follows:
| Types of plants | 09.12.2020 approved sowing coefficient | Area-based subsidy (manat/ha) | Added for fuel (manat/ha) | New sowing coefficient | Total area-based subsidy (new) (manat/ha) |
| Wheat: | |||||
| according to the part no more than 20 hectares of sowing areas | 1,0 | 200 | 40 | 1.2 | 240 |
| according to the part more than 20 hectares of sowing areas | 0,8 | 160 | 20 | 0.9 | 180 |
| Paddy | 1,4 | 280 | 40 | 1.6 | 320 |
| Soya bean | 1,3 | 260 | 20 | 1.4 | 280 |
| Corn | 0,8 | 160 | 40 | 1.0 | 200 |
| Millet | 0,8 | 160 | 20 | 0.9 | 180 |
| Sorghum | 0,5 | 100 | 40 | 0.7 | 140 |
| Other cereals and legumes (barley, rye, oats, chikpea, lentil and so on.) | 0,8 | 160 | 20 | 0.9 | 180 |
| Buckwheat | 0,9 | 180 | 40 | 1.1 | 220 |
| Peanut | 0,9 | 180 | 40 | 1.1 | 220 |
| Saffron | 2,0 | 400 | 40 | 2.2 | 440 |
| Sunflower: | 1,0 | 200 | 40 | 1.2 | 240 |
| Tobacco | 1,4 | 280 | 40 | 1.6 | 320 |
| Cotton | 1.1 | 220 | 40 | 1.3 | 260 |
| Sugar-beet | 1,4 | 280 | 50 | 1.65 | 330 |
| Potato | 1,2 | 240 | 40 | 1.4 | 280 |
| Vegetable | 1,2 | 240 | 20 | 1.3 | 260 |
| Melons plants | 1,1 | 220 | 20 | 1.2 | 240 |
| Clover | 0,25 | 50 | 20 | 0.35 | 70 |
| Other plants | 0,5 | 100 | 30 | 0.65 | 130 |
| Grape: | |||||
| Since planted a garden during first 4 years | 3,0 | 600 | 40 | 3.2 | 640 |
| According years next 4 years | 1,2 | 240 | 10 | 1.25 | 250 |
| Tea: | |||||
| Since a plantation during first 7 years | 3,5 | 700 | 40 | 3.7 | 740 |
| According years next 7 years | 1,2 | 240 | 10 | 1.25 | 250 |
| Intensive fruit gardens: | |||||
| Since planted a garden during first 4 years | 3,5 | 700 | 30 | 3.65 | 730 |
| According years next 4 years | 1,2 | 240 | 10 | 1.25 | 250 |
| Other fruit gardens | 1,2 | 240 | 10 | 1.25 | 250 |
| Berries | 1,0 | 200 | 30 | 1.15 | 230 |
| Re-sowings | 0,3 | 60 | 26 | 0.43 | 86 |
Related news
