President of the Republic Nikos Christodoulides underlined the importance of strengthening the primary sector for Cyprus’s food security and announced two new schemes worth a total of €1.5 million to address the increased cost of agricultural fuel and fertilisers.
Speaking on Monday evening at a dinner hosted by the Board of Directors of the Pancyprian Grain Producers’ Organisation in the Aradippou industrial area, the President said that the primary sector “concerns the security of the country”, particularly for an island country such as Cyprus, which is far from the centre of Europe.
He said that the crises of recent years, and especially the consequences of the war in Ukraine, had demonstrated the importance of food security and a strong primary sector. The Government’s aim, he added, is to strengthen the sector, improve farmers’ living standards and attract the younger generation.
Mr Christodoulides referred to the negotiations in Brussels on the Common Agricultural Policy, within discussions on the Multiannual Financial Framework. He noted that some states want a reduction in CAP funding, a position with which Cyprus disagrees.
He also made particular reference to the viticulture sector, recalling that in 1990-1991 producers were asked to uproot their vineyards and that today, 36 years later, efforts are being made to find vineyards in order to strengthen the sector again. As he said, this should serve as a lesson for all primary-sector branches.
He also thanked former Agriculture Minister Maria Panayiotou, saying that she had done excellent work and had continuously sought to promote the sector’s demands through the Council of Ministers.
Regarding this year, the President described production as particularly productive compared with previous years, which, he said, “creates optimism among producers after successive periods of drought”. He noted, however, that the year was also accompanied by marketing problems due to foot-and-mouth disease. Other difficulties include climate change, drought, extreme weather events, crop losses and high production costs, which were further burdened by the war in Ukraine and the crisis in the Middle East.
According to the President, from 2019 to today the wider grain sector has paid contributions of approximately €9.5 million, while the Government has provided support totalling approximately €35 million. For the droughts of 2024 and 2025 alone, more than €25 million was paid from the Agricultural Production Protection and Insurance Fund.
To address the hot and dry conditions of 2025 in the grain and fodder-crop sectors, support totalling €4.5 million was provided. In addition, under the emergency support for agricultural sectors affected by conditions in 2025, the European Commission approved €4.6 million concerning Cyprus, for sectors where an income loss exceeding the prescribed threshold was documented. The sectors proposed for support include grains, as well as livestock sectors affected by the increase in feed costs.
Regarding increased production costs, Mr Christodoulides said that “through a support scheme, total assistance of €1 million will be provided to eligible farmers to cover part of the cost of purchasing fertilisers, pesticides and other agricultural supplies, with additional support for grain producers”.
At the same time, the Ministry of Agriculture is preparing two new Support Schemes for farmers and agricultural businesses, following the European Commission’s decision on emergency financial support due to problems linked to energy and fertiliser costs and the crisis in the Middle East. The schemes, with a total cost of €1.5 million, are expected to be implemented and completed by February 2027. They will address the increased cost of “coloured” agricultural diesel and support farmers facing higher fertiliser prices.
The President also referred to facilitating farmers’ access to financing so they can make the necessary investments. He said that, following discussions with banks through the Association of Cyprus Banks, the framework for operation and cooperation had been completed and approved by the Council of Ministers. Two applications for participation have already been submitted by banking institutions, and the relevant agreements are expected to be finalised and signed in the coming period, so that the new financial products will be available specifically to farmers.
Regarding the CAP, Mr Christodoulides said that the CAP Strategic Plan 2023-2027 has total funding of €454 million. The grain-growing sector receives the largest share of direct payments, which amounted to approximately €24.5 million in 2025.
“From September, the Ministry of Agriculture will begin broad consultation on the preparation of the new Common Agricultural Policy Plan for the period after 2027, with the aim of effectively supporting producers’ incomes and strengthening the resilience of the primary sector,” he said.
The President also referred to grain reserves, saying that he was aware there was an issue this year. He said that he was travelling to Egypt today, while during the week he would welcome the President of Israel to Cyprus. He added that there may also be needs in Jordan and that he was awaiting by morning the information he had requested, so that the relevant production could be covered.
In closing, he called on grain producers to continue guiding the Government, stressing that they know better than anyone how the state should act to further strengthen the primary sector.
Source: CNA