More than 1.176 billion pesos invested in support for farmers

First National Farm Congress |

The Uruguayan government has invested more than 1,176 million Uruguayan pesos (around US$30 million) in support for farming activity, according to statements made by the Minister of Livestock, Agriculture and Fisheries, Fernando Mattos. This investment, from the Agricultural Emergency Fund, was mainly aimed at maintaining the productive structure in the face of the climate and water crisis that the country is going through. 

"We have made a considerable effort to keep the productive structure standing in times of difficulty."said the Secretary of State during the First National Farm Congress.

At the event, held at Trinidad, department of FlowersThe undersecretary of the portfolio also participated, Juan Ignacio Buffathe mayor of Flores, Fernando Echeverríaand the national director of La Granja, Nicolas Chiesa. Together, they shared an intense day with some 200 producers, exchanging ideas and discussing the present and future of the agricultural activity.

The problems of the farming sector as a central issue

Mattos stressed the need to find a solution to the structural problem of the farm, where overproduction can affect the price and the farm's economy.

The minister recalled the support mechanisms and additional aid granted to rural producers, such as soft loans through República Microfinanzas and facilities for the payment of tax obligations and contributions to the Banco de Previsión Social (BPS).

He emphasized the strategic importance of the farming activity and its diversity in terms of production logic and support needs.

Mention was made of the need to diversify dependence on the domestic market and cooperation with other markets, which could give rise to exportable products and generate alternatives for production.

In the same vein, the international integration carried out by the current administration was highlighted as a key factor for the expansion and diversification of the agricultural sector.

With the declaration of the agricultural emergency, the Agricultural Emergency Fund allocated more than 1,176 million pesos to support 5,165 producers in various areas, including livestock, dairy, fruit, horticulture, beekeeping, poultry and agriculture. It was also revealed that 1,425 producers throughout the country have received around 500 million pesos through soft loans from República Microfinanzas. These credits are granted with zero interest rates and a repayment term of five years, including two years of grace and three years of payment.

More palliative measures announced

The national director of La Granja, Nicolas Chiesaexplained that the Farm Development Fund will execute more than 670 million pesos this year, setting a record in terms of direct support to the sector through non-reimbursable loans. In addition, the soft loans through the Agricultural Emergency Fund will exceed 600 million pesos.

Chiesa emphasized that, just as the crisis has been historic, so is the financial aid provided. He emphasized the importance of rainfall for the recovery of productive activity and stressed the need to listen to producers. There has been an increase in the number of producers registered in the National Fruit and Vegetable Registry, and a similar trend is expected in the registration of beekeepers.

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