How to get subsidies for young farmers

Discover the keys to getting the financial support you need
Agriculture is a fundamental activity for the development of any society, as it provides a source of essential resources for people's lives. However, the agricultural sector is a full-time job and requires an investment that not everyone can make. Because of this, BBVA has created a new space to address the financial needs of farmers. If you're considering applying for one of the CAP grants for young farmers, if you direct deposit it with us, you'll also be able to enjoy all the advantages of the Agropréstamo Anticipo PAC. In this article, we will explain the different subsidies that are available to you and how you can get one to carry out your agricultural project.
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Direct deposit the CAP in BBVA
And apply for the Agropréstamo Anticipo PAC to get your money before you receive the subsidy.

The CAP and Rural Development Programs

The Common Agricultural Policy, better known as CAP, regulates the subsidies that are available to crop and livestock farmers throughout the European Union. In the case of Spain, some grants are directly linked to the CAP and others to the National Rural Development Program (PNDR) and to the Rural Development Programs (PDR) of the different Autonomous Communities, and which are financed by the European Agricultural Fund for Rural Development (EAFRD).

However, regardless of the subsidy applied for, the farmer must ensure that, at a minimum, the European regulations on human and animal health, animal welfare, pesticide use and the environment are observed in the holding.

Direct payments

The first group includes the so-called direct payments. Farmers can receive this type of aid from the CAP. It's a general subsidy for agricultural activity that, in certain circumstances, can be supplemented by other subsidies. The basic payment is calculated based on the hectares in the holding and can be supplemented with other specific payments, such as those for young farmers.

To receive the basic subsidy, the applicant must be an active farmer whose holding is located in the EU. The subsidy requires having an agricultural plot that is used for an agricultural activity, meaning proof is required that the land is used, or is at least suitable, for raising livestock or planting crops. Similarly, to be eligible for the supplementary scheme for young farmers, the applicant must be between 18 and 40 years old, submit a business plan and be engaged in this activity for at least 5 years.

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Get an advance of the grant by arranging for your CAP to be paid into your BBVA account.
You can also request the whole amount.

Subsidies for the first holding owned by young farmers

PDRs include grants for the first holding owned by young farmers. In this case, it is the Autonomous Communities that are tasked with publishing calls for these subsidies. The conditions may vary from year to year depending on the autonomous community, although as a general rule, farmers between the ages of 18 and 40 who have not owned an agricultural holding before are eligible to receive it. They must also have the necessary training to manage their own holding and present a business plan for it.

These subsidies are paid in at least two installments: an initial payment that is made once the subsidy is granted, and another one after completion of the plan presented in the application.

Subsidies to modernize holdings

Young farmers can also opt for subsidies if part of their agricultural project is intended to improve or modernize their agricultural holding within the framework of the PDR. In order to facilitate this modernization, which contributes to the sustainability and performance of the agricultural activity, the Autonomous Communities allocate part of their PDR budgets to subsidize these kinds of projects.

Again, the specific conditions and requirements for these grants may vary between regions, but young farmers are one of the target groups. As you would expect, general requirements apply to the above subsidies and a specific improvement plan has to be presented for the holding that includes the surface area, the machinery and equipment, among other aspects.

How to get these subsidies for young farmers

The procedure for requesting any of these aids is quite simple, since a single application system has been created for all of them. The application can be filed electronically with the relevant authority in each autonomous community. Since the request is processed by the relevant autonomous community, the periods may differ depending on where the holding is located. It is therefore essential to check the deadlines that apply to each holding, fill out the application correctly and provide all the necessary documentation.

In summary, there are various subsidies aimed at encouraging new generations to enter the world of agriculture. If you meet the requirements, these grants for young farmers can provide a key opportunity for you to start your project and manage your own agricultural holding successfully. Check the applicable deadlines in your region for submitting your application so you can start your career in the sector.

BBVA is not liable for the content, truthfulness, accuracy, adequacy, integrity or timeliness of the information included in the articles, which were prepared by third parties external to BBVA. The article is for information purposes only. It is not binding or compulsory and it does not constitute a commercial offer or contractual commitment on the part of BBVA.

Created by Entropy.

Sources:

A/C Agropréstamo A/C Agropréstamo
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