Moldova allocates €5.7m to shield agriculture from fuel costs
Moldova’s Agriculture Ministry is moving to compensate farmers for diesel excise duties as rising fuel costs threaten the ongoing spring sowing campaign across 1.4 million hectares.
Agriculture Minister Ludmila Catlabuga announced that the government has identified 110 million MDL (€5.74 million) from state reserves to fund the relief measure. Speaking to national radio, Catlabuga noted that the intervention aims to mitigate price pressures linked to market volatility and tensions in the Middle East.
Spring campaign support
The subsidy is expected to cover approximately 40% of the fuel requirements for the current planting season. The ministry is currently finalising a government decree to formalise the tax rebates, with approval expected within two weeks.
"The spring campaign affects all agricultural sectors, from grain production to fruit and viticulture," Catlabuga said. She added that authorities are monitoring fuel stocks daily to ensure stability for the country’s 1.4 million hectares of arable land.
Long-term fiscal policy
The government is also considering a permanent mechanism for diesel excise refunds. If approved, this framework would be integrated into the national fiscal policy starting in 2027.
The move comes as regional agricultural producers face increased operational costs, prompting the Moldovan administration to prioritise financial buffers for the sector during peak activity periods.
Translation by Iurie Tataru
