SAPARD support funds have been used up

The SAPARD support funds are running out and therefore the Agricultural Registers and Information Board (ARIB) ends the reception of applications for investment supports for agricultural holdings (Measure 1) and development and diversification of economic activities in rural areas (Measure 3). The reception of applications for investment support for development and improving of rural infrastructure (Measure 4) will be continued.

In the words of Katrin Noorkõiv, the Deputy of Director General of ARIB, the Head of the SAPARD Agency, the SAPARD programme has been very successful this year. “Farmers and agricultural undertakings are interested in investment supports beyond expectations,” said Noorkõiv. “We shall allot all the money allocated for measures 1 and 3 during the SAPARD programme. At present it is not reasonable to submit applications to ARIB as they will not get support due to the lack of money.”

In the framework of entire SAPARD programme (in 2000 – 2003) it is possible to allocate over one billion kroons of supports to Estonian undertakings. Investment support for agricultural holdings can be paid 453 million kroons in total. Within the previous years ARIB determined 139 million kroons of support in the framework of measure 1; 314 million kroons were left for allocating this year. This year 470 applications have been submitted for receiving 362 million kroons of investment support for agricultural holdings. By now 286 projects have been examined, 260 of the projects have been determined 195 million kroons of support and 26 projects that asked for 17 million kroons have been rejected because of deficiencies.

In the words of Katrin Noorkõiv it is possible, for example, to increase in accordance with law the amount of measure 1 by 10%, using the funds of other measures. “But the relevant resolution has to be passed by the SAPARD Monitoring Committee, convened by the Minister of Agriculture,” explained Noorkõiv. “In case the relevant resolution is passed, all the projects submitted for investment support for agricultural holdings by now can be financed, but apparently there is no money to finance the projects that will be additionally submitted.”

This year investment support for the development and diversification of economic activities in rural areas can be paid 171,5 million kroons, by now 199 applications have been submitted for receiving 197 million kroons of support.

This year the reception of applications for SAPARD support started on March 3. The applications for measures 1, 2 and 4 will be examined and the projects receive the financing decision in the order they were submitted. In case of projects for dairy, meat and fishery processing the ranking list will be made and the support is determined to the applications, which received more estimating points. It is planned to start the reception of applications for investment support for regeneration and development of villages (measure 6) in autumn.

The payment of investment supports will be continued also in the year 2004, but from the finances of EU structural funds instead of SAPARD funds. This amendment will not bring along essential changes for undertakings.