1 billion euros in aid for farmers - Drought and heat hit French agriculture hard
The French government has announced an aid package of more than 1 billion euros for farmers, following damage caused by record heat waves and drought this year.
Around 520 million euros will be distributed immediately to help farmers cope with the damage caused by the extreme weather. Meanwhile, the government has also created a 235 million euro fund for farm recovery, financing the purchase of seeds, plants and animal feed.
France's main farmers' association, FNSEA, estimates that production losses have reached at least 10 billion euros. The livestock and agriculture sectors have each reported damages of over 5 billion euros.
According to the government, around 30–35 thousand farms are in financial difficulty.
The package also includes land tax relief, support for social security payments, and fuel subsidies.
The French Finance Ministry warns that hot and dry weather could cut the country's economic growth by 0.1 percentage point this year, mainly due to a drop in agricultural income.
France, the European Union's largest agricultural producer, is expected to face another heatwave this week.
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