**€1.5 Million Support Approved for Farmers Amid Rising Production Costs**
The Council of Ministers of Cyprus has approved two financial support schemes totaling €1.5 million aimed at assisting farmers who are grappling with increased production costs due to the ongoing crisis in the Middle East. This financial aid is particularly focused on mitigating the rising expenses related to fuel and fertilizers.
According to the Ministry of Agriculture, the support will be disbursed under the European Commission Implementing Regulation (EU) 2026/1894 and will be fully funded by the European Union. This initiative is part of a broader effort to support the agricultural sector during challenging economic times.
The first scheme, which has a budget of €800,000, is designed to provide emergency aid specifically for the purchase of "coloured" diesel, which is commonly used in agricultural operations. Under this scheme, support will be available for eligible diesel purchased between April 1 and October 31, 2026. The assistance will not exceed €0.126 per litre, with individual support amounts ranging from €100 to €5,000 per beneficiary.
The second scheme, with a budget of €701,200, focuses on alleviating the financial burden of increased fertilizer costs. Farmers will receive aid amounting to 15 percent of the eligible value of invoices for fertilizer purchases made during the period from June 1 to October 31, 2026. This aid will be calculated excluding VAT.
Payments to beneficiaries of both schemes will be administered by the agricultural payments organization (CAPO). To qualify for the diesel support scheme, applicants must possess a valid license for using "coloured" diesel and must have purchased eligible diesel within the specified timeframe. For the fertilizer scheme, applicants need to be registered under the relevant categories of the farmers and agricultural holdings register and must provide the necessary paid invoices for their fertilizer purchases.
Applications for both support schemes are expected to be accepted from November 2 to November 16, 2026. The Ministry of Agriculture has indicated that additional details regarding the application process will be released once the schemes are formally announced.
In the event that the total amount of claims exceeds the allocated budget, the aid provided to beneficiaries will be proportionately reduced.
These two new support schemes come in the wake of a package of measures that were previously announced in March 2026, which aimed to address the impacts of the energy crisis and the resulting increase in production costs faced by the agricultural sector.
The decision to implement these financial support schemes reflects the government's commitment to supporting farmers during a time of economic uncertainty and rising operational costs. The initiatives are expected to provide much-needed relief to the agricultural community, allowing them to continue their operations amidst challenging circumstances.