State aid for the production of seeds and planting material

The Management Board of the State Fund „Agriculture“ approved for 2018 a budget of 1.2 million leva for financing the „State aid for participation of farmers in a Quality Scheme for the production of seeds and planting material“. The aid is granted to small and medium-sized enterprises in crop production that have obtained authorization for the production of seed and planting material.

The financing of the aid is in the form of subsidized services provided by the Executive Agency for Variety Testing, Field Inspection and Seed Control (IASAS) and by persons having concluded a contract for the provision of such services with IASAS pursuant to the Seed and Planting Material Act. The aim of the aid is to encourage the production and use of certified quality seeds for cereal, fodder and oilseed crops, potatoes, tobacco, cotton, certified and standard planting material from fruit crops, certified and standard vine planting material, and certified and standard seeds of vegetable crops.

Application and contracting of the funds under the scheme will continue from 20 March to 10 April 2018. Farmers who wish to benefit from the aid must submit an application and accompanying documents to the central office or the territorial units of IASAS. The Agency summarizes the applications received and prepares a consolidated application to the State Fund „Agriculture“ requesting the necessary funds for the current calendar year.

The Fund grants the funds under the scheme to IASAS for carrying out field inspection of seed production crops and mother plantations, issuance of labels, sampling of seed lots intended for certification, laboratory analysis of seed samples by crop groups, carrying out subsequent control of seeds, as well as grading of certified and standard fruit and vine planting material.

The subsidy is up to 100% of the costs for the services performed by IASAS. The funds are paid in three tranches for one calendar year. The first tranche, amounting to 50% of the aid, is granted by 10 June of the current year. The second tranche, amounting to 40% of the forecast request of IASAS, is paid by 30 October. The final payment is made by 15 December after submission of the final report on the services provided.

The maximum budget of the aid for the implementation period (2015-2020) amounts to 9,674,516 leva. The funds absorbed under the scheme for the period 2015-2017 are as follows: 2015 - 1,350,000 leva; 2016 - 1,292,043 leva; 2017 - 1,191,574 leva.

Quality Scheme for the production of seeds and planting material – HERE

Source: State Fund „Agriculture“ - PA