Investments in strengthening the holdings of young established farmers and newly established farmers
About this good practice
The DR-12 investment approach is a complementary measure for sub-measure 6.1, to capitalize the young farmers’ efforts to accomplish the sustainability and benefits gained from the above-mentioned program.
Under this initiative, funding will be provided for investments in primary agricultural production, storage facilities and on-farm processing of agricultural products, aiming to increase the added value of their own primary agricultural products.
This intervention aims to encourage young or newly established farmers by making it easier for them to access capital, strengthening their agricultural activities, and promoting generational renewal in the agricultural sector. This will help reduce the migration of young people to urban areas or other countries. DR-12 will contribute to the consolidation and growth of their holdings' competitiveness. Ensuring ongoing support for this group aligns with the environmental and social goals, which are crucial for the sustainability and revitalization of rural areas.
The intervention allows for the purchase of high-performance agricultural machinery, such as equipment for managing manure, and encourages the adoption of new techniques and technologies. This is particularly beneficial for young farmers who are open to innovation, specifically precision agriculture. In terms of risk management, DR-12 aims to support farmers in utilizing techniques and technologies to mitigate the impact of extreme weather events caused by climate change.
Resources needed
Total allocation: approximately 170 mil. Euro
Throughout the National Strategic Plan 2023-2027, it is estimated that 3.580 young farmers will benefit from the DR-12 – Investments in strengthening the holdings of young established farmers and newly established farmers.
Evidence of success
The DR-12 investment approach has been crucial in tackling several difficulties, mainly through sub-measure 6.1 which focuses on financial assistance. This strategy has played a vital role in promoting the growth of agricultural enterprises, resulting in higher income and improved living standards for young farmers in the long run. Furthermore, the provision of subsidies has allowed young farmers to boost productivity, embrace new technologies, and implement sustainable practices.
Potential for learning or transfer
Romania's “DR-12 – Investments in strengthening the holdings of young established farmers and newly established farmers” focuses on supporting young and newly established farmers by facilitating investments aimed at consolidating and enhancing their agricultural holdings.
Given the success of DR-12 in Romania under the framework of the Common Agricultural Policy (CAP), its implementation in other EU countries is both feasible and beneficial. Leveraging CAP's financial tools and policy guidelines, DR-12 can be adapted to local contexts, addressing each country's specific rural development needs. By targeting young farmers and fostering sustainable agricultural practices, this model can be replicated across member states, contributing to a more resilient and innovative EU agricultural sector.