The viability study of the Agricultural Production Risk Management Fund, which was assigned to a private firm to demonstrate the current situation and make recommendations for improvement moves to ensure the long-term viability of the Fund, has been completed, according to the Director General of the Ministry of Agriculture, Rural Development and Environment, Andreas A. Grigoriou.
In statements to CNA, Mr. Grigoriou stated that it is expected that the results of the study will be presented in January 2026.
As he said, from 2019 to the present, several improvements have been made, with the aim of better returns to farmers, simplification of procedures and an overall better service in the interest of the farmer. The payment times of the aids have also been significantly accelerated. With the aim of further improvement with prudence, so as not to threaten the sustainability of the Fund, the actuarial study was also assigned to a private firm to demonstrate the current situation and make recommendations for improvement moves to ensure the long-term sustainability of the Fund.
In addition to the plans/frameworks in force, if circumstances make it necessary, emergency plans are also implemented, such as the recent one for the relief of those affected by the devastating fires of July 2025 in the semi-mountainous Limassol, Mr. Grigoriou also pointed out.
As he stated, the Ministry of Agriculture is implementing policies and actions to support farmers, as, as he noted, farmers are on the front lines of the impacts of climate change.
Asked by CNA about the biggest enemy of agriculture, which was and is insecurity, and what steps the Ministry of Agriculture is taking, Mr. Grigoriou said that within the framework of the European Union's regulatory framework, similar interventions are being promoted to support farmers. The main tool, he said, "both for income support for our farmers and for rural development, is the CAP Strategic Plan."
At times, however, when in addition to the usual problems, other extraordinary measures are implemented to support agricultural income, such as assistance to offset increased production costs after the war in Ukraine, in collaboration with other services and especially the CAPO.
Regarding the support and compensation of farmers for damages caused by adverse weather conditions and natural disasters, Mr. Grigoriou noted that since August 2019, the Risk Management system was put into operation with the Risk Management in Agricultural Production and Related Matters Law (N103(I)2019 and 2021).
This system covers all agricultural crops, for all risks, due to adverse weather conditions and/or natural disasters, including the sheep and goat farming sector. The philosophy of the Risk Management system is to compensate for the loss of income of producers, acting as a safety net for agricultural income, he noted. The risk management plans are implemented through the Agricultural Production Protection and Insurance Fund, which was established and operates under Law 103(I)/2019.
Source: KYPE
