Podgorica, (MINA-BUSINESS) – The Government has adopted the Information on support for agricultural producers through subsidizing the excise portion of fuel costs.

The Government stated in a press release that it was emphasized during the discussion on the topic that high fuel costs significantly increase overall production expenses, thereby reducing the profitability of agricultural production.

“In that context, it was concluded that cheaper fuel for agricultural producers, specifically fuel whose price is reduced by the value of the excise duty, can help maintain the competitiveness of domestic agricultural production and ensure a stable food supply,” says the press release issued after the Government session.

In accordance with the latest amendments to the Excise Law, the Ministry of Agriculture, Forestry and Water Management determined fuel quantities for registered agricultural holdings based on the total cultivated agricultural land area per hectare. 

The amounts are set at 110 litres per hectare annually for the crop farming sector, 70 litres per hectare annually for the fruit-growing, viticulture, and olive-growing sectors, and 40 litres per hectare annually for meadows.

“According to data on land areas subsidized last year amounting to 45,180 hectares, it is necessary to provide €1.08 million for the implementation of this support measure,” the press release reads.