Lower gas subsidies for farmers in the next three years

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For the next three years, Albanian farmers will receive lower subsidies. The Ministry of Finance and Economy estimates that the available amount for tax-free oil will be 792 million ALL next year, up from 950 million ALL this year. While the sum drops to 700 and 500 million ALL in 2023 and 2024, respectively. Following the elimination of the VAT subsidy on January 1 and an increase in the tax value for agricultural inputs, this is yet another setback for the government’s priority sector.

Agriculture, according to industry representatives, requires assistance now more than ever, and that assistance should begin with farmer guidance and orientation.

Farmers of agricultural crops or fruit trees are currently identified as beneficiaries of the scheme. A farmer needs 190 liters of gas to cultivate one acre of maize. The first 106 will be acquired at a cost of 63.8 ALL per liter, with the rest sold at market rates.

Gas subsidies for agriculture have been canceled and renewed multiple times due to abuses and the fact that oil does not always flow in the proper direction.