State aid: Commission approves €15.8 million Estonian schemes to support farmers affected by coronavirus outbreak

The European Commission has approved two Estonian schemes, with a total budget of €15.8 million, to support farmers affected by the coronavirus outbreak. The two schemes were approved under the State aid Temporary Framework. Under the schemes, the public support will take the form of direct grants. The first scheme, with a budget of €12 million, will be open to farmers active in the dairy cows, pig, sheep and goat rearing, as well as in the potatoes, quails, strawberries and vegetables sectors. The second scheme, with a budget of €3.8 million, will be open to farmers active in the beef-cattle as well as in the organic cereals and organic laying hens sectors. The purpose of the schemes is to help the beneficiaries address their liquidity needs and to help them continue their activities during and after the coronavirus outbreak. The Commission found that the schemes are in line with the conditions set out in the Temporary Framework. In particular, (i) the aid will not exceed €225,000 per undertaking active in the primary production of agricultural products; and (ii) the first measure will run until 31 December 2021, the second until 30 June 2021. The Commission concluded that the measures are necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework. On this basis, the Commission approved the measures under EU State aid rules. More information on the Temporary Framework and other actions taken by the Commission to address the economic impact of the coronavirus pandemic can be found here. The non-confidential version of the decision will be made available under the case number SA.60666 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved.