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Agriculture Grants – are they accessible for all?

On May, 12, 2017 Ms. Ballesha , The Cordination Unit of NBF prepared an article regarding the Agricultural Grants for Monitor.  
The reopen of Grant applications and compensation schemes through national and international funds are an opportunity for agribusinesses and farmers who see this opportunity as a tool to increase their production capacities, to modernize their technology and to improve their products and food safety. 


Some of the main schemes are: (1) AZHBR Program; (2) SARED and (3) IPARD II. All of these schemes are managed by the Ministry of Agriculture.

AZHBR – Due to the simplified application procedures and documentations this funding scheme is considered to be the most accessible for SHBB (Agriculture Cooperation Association) and farmers. Funds for this scheme are limited; they vary from 200.000 – 600.000 ALL. It’s available to apply from 2 to 31 May, 2017 and you can use this scheme for a wide range of agriculture sub-sectors.

SARED – Grant Funds of SARED project is co financed by the German and Danish Government. These Funds are managed by GIZ in collaboration with the Agriculture Ministry. Investment Funds for farm-related vary from 3.500.000 ALL, meanwhile non-related farm investments vary from 700.000 to 10.500.000 ALL. Currently this Grant Fund is available only in six Albanian regions (Shkodra, Kuksi, Dibra, Elbasan, Berat and Korca) and it’s applied only for agro-food investments.

IPARD II – This is an instrument used by the EU to contribute in the sustainable development of the agriculture sector, rural areas and in the preparation of the agribusinesses to implement the EU policies and laws. The last time this fund was available was in 2014 due to the low business absorption. But, in the end of March 2017 the monitoring committee (near the Ministry of Agriculture) declared that would be available 95 million Euros until 2020 for the agriculture sector. Application criterions would be available at the “Guidance to Applicants” where it will be specified clearly for selecting the Grant winner, which is expected to reimburse 50-80% of the investment fund.

The real chances that agriculture sector operators have to absorb these funds

Regardless of the facts that are available several national and international funds, agro businesses are not exploiting these opportunities. The high level of informality, lack of legal and financial documentations; bureaucracy and administrative procedures; lack of time and ownership of the invested property, which is a critical condition if they apply for international schemes, are some of the main reason for the low level of funds absorption.

Agriculture Grants – are they accessible for all?

The reopen of Grant applications and compensation schemes through national and international funds are an opportunity for agribusinesses and farmers who see this opportunity as a tool to increase their production capacities, to modernize their technology and to improve their products and food safety. 

Some of the main schemes are: (1) AZHBR Program; (2) SARED and (3) IPARD II. All of these schemes are managed by the Ministry of Agriculture.

AZHBR – Due to the simplified application procedures and documentations this funding scheme is considered to be the most accessible for SHBB (Agriculture Cooperation Association) and farmers. Funds for this scheme are limited; they vary from 200.000 – 600.000 ALL. It’s available to apply from 2 to 31 May, 2017 and you can use this scheme for a wide range of agriculture sub-sectors.

SARED – Grant Funds of SARED project is co financed by the German and Danish Government. These Funds are managed by GIZ in collaboration with the Agriculture Ministry. Investment Funds for farm-related vary from 3.500.000 ALL, meanwhile non-related farm investments vary from 700.000 to 10.500.000 ALL. Currently this Grant Fund is available only in six Albanian regions (Shkodra, Kuksi, Dibra, Elbasan, Berat and Korca) and it’s applied only for agro-food investments.

IPARD II – This is an instrument used by the EU to contribute in the sustainable development of the agriculture sector, rural areas and in the preparation of the agribusinesses to implement the EU policies and laws. The last time this fund was available was in 2014 due to the low business absorption. But, in the end of March 2017 the monitoring committee (near the Ministry of Agriculture) declared that would be available 95 million Euros until 2020 for the agriculture sector. Application criterions would be available at the “Guidance to Applicants” where it will be specified clearly for selecting the Grant winner, which is expected to reimburse 50-80% of the investment fund.

The real chances that agriculture sector operators have to absorb these funds

Regardless of the facts that are available several national and international funds, agro businesses are not exploiting these opportunities. The high level of informality, lack of legal and financial documentations; bureaucracy and administrative procedures; lack of time and ownership of the invested property, which is a critical condition if they apply for international schemes, are some of the main reason for the low level of funds absorption.
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