"Prime Minister Andrej Plenkovic met with farmers from eastern Croatia on Tuesday to discuss the impact of the energy crisis, market disruptions, and drought on farming in the country," state agency Hina said, carrying a press release sent to the media.

According to an unsigned press release issued by his cabinet, PM Plenkovic “reassured the farmers that the government would step up the support to the farm sector.”

Plenkovic reportedly said that agriculture is “perceived by his cabinet as a priority” and announced the implementation of necessary measures and more grants from the European funds and the national budget to strengthen the farming sector, “which is important for the country’s self-sufficiency and for the production of fresh and healthy food as well as for the overall food security of Croatians.”

He praised the farmers for extraordinary efforts they have taken in the recent years marked by the Covid-19 pandemic and market disruptions.

He said that in April the government had prepared a 200 million kuna (€27 million) scheme to help farmers procure fertilizers. Also, indirect assistance is provided through the capping of fuel prices, including blue-dyed fuel price, as well as by cutting VAT on fresh foods and farming material, from 25 percent to 5 percent.

Farmers highlighted energy price hikes as a key issue and obstacle for profitability. They informed Plenkovic about their projections of the adverse impact of the drought and other inclement weather conditions on their yields.

During the meeting, a 200 million kuna (€27 million) scheme was also presented under which farmers can get aid to cope with the consequences of the market disruptions due to Russia’s invasion of Ukraine and the effects of the drought.

Before this meeting PM Plenkovic tweeted that the government would stand by farmers whose “valuable work enables the continuation of food production and the food security of Croatia.”