Shqipëria Posted on 2025-11-06 09:58:00

Agriculture receives 16.5 million euros more - How is the money distributed? Funds for production, irrigation and food security increase

From Elisabeta Dosku

Agriculture receives 16.5 million euros more - How is the money distributed?

About 16.2 billion lek or about 168 million euros will be spent on the agricultural sector during 2026. The budget for agriculture has increased by 1.6 billion lek or about 16.5 million euros compared to the initial 2025 budget, but still remains at a low level for the current needs of this sector for support in order to expand production, increase quality and export.

But how is this money distributed?

The majority of the funds, approximately 7.7 billion lek, go to the rural development item, which includes direct support for farmers through the subsidy scheme, agricultural production, livestock, agro-industry, etc. About 500 million lek or 5 million euros have been added to this item compared to last year.

Meanwhile, an important item in the budget is the management of irrigation and drainage infrastructure, a program for which 3.6 billion lek have been allocated. The additional funds for 2026 for irrigation and drainage are around 7 million euros.

Nearly 2.9 billion lek will go to food safety and consumer protection, a sector that is still problematic, as over the last year, several shipments destined for export have been returned due to high levels of pesticides used. This item also results in an additional funding of around 3 million euros.

580 million lek is the budget that will go to support fishing, which has undergone a very slight increase from last year, 819 million lek for farmer advisory and agricultural information, with an additional 60 million lek, and 25 million lek for sustainable agricultural land management.

The increase in the budget for agriculture also compensates for the new fiscal policy which aims to support and facilitate farmers, through the revision of the compensation scheme for agricultural producers, by introducing a new rate and procedure for compensating agricultural producers. Through this scheme, farmers will be compensated with a rate of 10 percent for the value added tax paid for the purchase of goods and services, in function of the realization of their agricultural production activities. The financial effect is estimated at around minus 1.5 billion lek.

 

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