Agriculture Development

Summary

The Agriculture Development Programme 2014-2020 is the main agricultural policy instrument for the development of primary production and the Cypriot countryside. It consists of a series of measures that aim at the strengthening of the competitiveness of agriculture, the ensured sustainable management of natural resources and the achievement of a balanced territorial development, including job creation.

Programme Description

1. PARTNERSHIP AGREEMENT

A total amount of €956 million has been allocated to Cyprus for the Programming Period 2014-2020 from the European Structural and Investment Funds (ESIF), as follows:

  • Structural Funds, Cohesion Fund and Youth Employment Initiative: € 784 mln
  • European Agricultural Fund for Rural Development: € 132.2 mln
  • European Maritime and Fisheries Fund: € 39.7 mln.

For the effective utilisation of the above-mentioned resources, the Republic of Cyprus prepared strategic programming documents and submitted them to the European Commission for approval. The Directorate General for European Programmes, Coordination and Development (DG EPCD), within its competence as the National Programming Authority, has assumed the overall responsibility for the coordination and preparation of these documents.

The content of all programming documents was formulated through a constant process of cooperation and consultation between the DG EPCD and the competent Ministries, local authorities, social and economic partners and bodies of the wider public and private sector, as well as with the European Commission.

The first step in the above process involved the preparation and submission to European Commission of a comprehensive strategic document for the utilisation of the ESI Funds, called the Partnership Agreement (PA). The PA aims at securing the synergy and coordination between the Funds supporting the Cohesion Policy (Structural Funds and Cohesion Fund), the Common Agricultural Policy (European Agricultural Fund for Rural Development) and the Common Fisheries Policy (European Maritime and Fisheries Fund) of the EU, so as to achieve effective results that will contribute to the goals of the EU 2020 strategy and, consequently, to growth and job creation in Cyprus. The Cyprus PA sets out its funding priorities under the ESIF for the 2014-2020 period, as derived from the analysis of the country’s development needs and perspectives, as well as the thematic objectives into which Cyprus opted to invest during the 2014-2020 period.

The strategic objective of the PA is the restructuring of the economy, the preservation and creation of new jobs and the safeguarding of social cohesion. This objective will be attained through the following three key priorities:

  • supporting the restructuring and strengthening the competitiveness of Cyprus economy,
  • upgrading human resources, promoting employment and social cohesion,
  • protecting the environment and promoting the efficient use of resources.

At the same time, the promotion of sustainable local development constitutes a horizontal priority.
The Partnership Agreement was approved by a European Commission’s Implementing Decision on 20th June 2014, followed by an amending decision on 30th September 2014. The next step was the preparation of the Operational Programmes, which specify in more detail the PA through specific priorities and indicative interventions. These programmes are:

(a) The Operational Programme for “Competitiveness and Sustainable Development”,
(b) The Operational Programme for “Employment, Human Resources and Social Cohesion”
(c) The Rural Development Programme, and
(d) The Operational Programme for “Thalassa”.

 

2. RURAL DEVELOPMENT PROGRAMME 2014-2020

The 2014-2020 Rural Development Programme (RDP) was approved with an Executive Decision of the Committee on December 3rd , 2015. The new RDP is based on the new Regulation for the support of Rural Development no. 1305/2013 which was published in the Official Journal of the EU in December 2013. According to this Regulation, the EU co-financing provided for the Cyprus RDP 2014-2020 is €132,214,377. The  EU co-financing rate has been set at 53%. As a result the total public expenditure is €243,310,145.

According to the Regulation, the achievement of the objectives of rural development, which contribute to the Europe 2020 Strategy for smart, sustainable and inclusive growth, shall be pursued through the following six Union priorities for rural development:

  1. fostering knowledge transfer and innovation in agriculture, forestry, and rural areas,
  2. enhancing farm viability and competitiveness of all types of agriculture in all regions and promoting innovative farm technologies and the sustainable management of forests,
  3. promoting food chain organisation, including processing and marketing of agricultural products, animal welfare and risk management in agriculture,
  4. restoring, preserving and enhancing ecosystems related to agriculture and forestry,
  5. promoting resource efficiency and supporting the shift towards a low carbon and climate resilient economy in agriculture, food and forestry sectors,
  6. promoting social inclusion, poverty reduction and economic development in rural areas.

Managing authority

The Ministry of Agriculture, Rural Development and Environment has been designated as the Managing Authority of the RDP 2014-2020. The Managing Authority is responsible for managing and implementation of the program in an efficient, effective and correct way.

Paying Organization

The Cyprus Agricultural Payments Organization is designated as the Paying Authority for the RDP 2014-2020. The Paying Organization is responsible for the management and control of the RDP 2014-2020 expenditures.

1st Pillar of Common Agricultural Policy (CAP)

The 1st Pillar of CAP provides direct support to farmers as well as support to various market measures. Direct support and market measures are entirely funded by the European Agricultural Guarantee Fund (EAGF) in order to ensure the implementation of the common agricultural policy throughout the single market and to allow for an integrated administration and control system. In this context and especially in relation to the strengthening of market measures, a number of Schemes are included in the website which are co-financed through the first pillar of the Common Agricultural Policy, in addition to the schemes that will be co-financed through the Rural Development Programme.

Total Budget

€ 243,310,145

Financing percentage by EU or other bodies / Level of Subsidy or Loan

53%

Thematic Categories

  • Agriculture - Farming - Forestry
  • Environment and Climate Change
  • Research, Technological Development and Innovation
  • Rural development
  • Small-Medium Enterprises and Competitiveness

Eligibility for Participation

  • Farmers Unions
  • Farmers, Agriculturalists
  • Local Authorities
  • Researchers/Research Centers/Institutions
  • Small and Medium Enterprises (SMEs)
  • Unemployed

Call Opening Date

01/01/2014

Call Closing Date

31/12/2020

National Contact Point(s)

Managing Authority for the Programme:
Ministry of Agriculture, Rural Development and Environment

Contact Point:
National Rural Network
email: ead@da.moa.gov.cy
Tel: +357 22408652 / +357 22408664

Co-responsible Authority:
Cyprus Agricultural Payments Organization (CAPO)
Webpage: www.capo.gov.cy
Tel: + 357 77771999

Programme/Sub-programme/Plan Calls
  • 10th Call of Measure NSPS ″Investments in Wine Enterprises″

    Closed

    Code: 3666 | Programme name: Agriculture Development | Sub-program: European Agricultural Guarantee Fund – Internal Market measures | Start submission calls: 08/04/2021 | End submission calls: 02/07/2021

    The Measure aims to encourage investment activity through support for tangible or intangible investments in processing facilities, winery infrastructure and/or marketing of wine.

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