European Agricultural Guarantee Fund (EAGF)
Agriculture
With an allocation of €291.1 billion, the European Agricultural Guarantee Fund supports EU farmers through different payment schemes, including a basic payment scheme, a payment for sustainable farming methods (“green direct payments”) and a payment for young farmers. All payments are subject to compliance with EU rules on food safety, environmental protection, and animal welfare.
This Fund can also be used to finance specific schemes to help small and medium sized farms, farmers who operate in areas of natural constraint, and sectors undergoing difficulties.
Farmers generally receive income support based on their farm’s size in hectares. All EU countries have to offer a basic payment, a payment for sustainable farming methods (“greening”) and a payment for young farmers. As it is compulsory for EU countries to provide these payments, they are often referred to as obligatory payments.
Additionally, EU countries can choose to offer other payments that focus on specific sectors or types of farming. There are specific schemes designed to help small and medium sized farms, young farmers, farmers who operate in areas of natural constraint and/or sectors undergoing difficulties.
The European Agricultural Guarantee Fund also finances measures to support and stabilise agricultural markets, including intervention buying, private storage aid, sector-specific supports (wine; fruit & vegetables; olive oil; hops), exceptional market disturbance measures, and the EU school fruit, vegetables and milk scheme. These market measures operate as part of the Common Market Organisation (CMO), which sets out the parameters for intervening in agricultural markets. In addition, this Fund finances agricultural information and promotion actions, as well as support to the outermost regions and smaller Aegean islands.
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