The European Commission on Thursday approved Croatia's €40 million programme for supporting companies that process agricultural products in the context of Russia's war against Ukraine, the EC said.

The purpose of the grant programme is to mitigate the effects of the steep energy price rises on companies that process agricultural products.

The Commission has established that Croatia’s programme is in accordance with the criteria outlined in the Temporary Crisis Framework.

Support will be provided in the form of limited amounts of aid to compensate the companies for the increase in energy costs, not including those related to natural gas and electricity, and in the form of direct grants for additional expenses incurred due to severe increases in natural gas and electricity prices.

More specifically, the EC said, when it comes to limited amounts of aid, the aid will be up to €2 million per beneficiary. As for the grants for additional expenses incurred due to severe increases in natural gas and electricity prices, the total aid per beneficiary will be up to a maximum of €4 million.

The grants will be awarded no later than 31 December 2023.