Agriculture - Farmers mobilize against the end of the agricultural diesel subsidy
Farmers want to mobilize in Berlin on Monday to protest against the planned abolition of tax breaks by the traffic light coalition. Under the slogan "Too much is too much", a rally (11.00) is planned at the Brandenburg Gate. Federal Agriculture Minister Cem Özdemir (Greens) is also expected to speak. The German Farmers' Association is demanding that the government withdraw its plans to abolish regulations on agricultural diesel and vehicle tax exemptions in order to save money in the federal budget. According to the association, numerous tractors will also roll into the capital in protest.
The farmers' association has also called for the demonstration nationwide via its state farmers' associations. Farmers' President Joachim Rukwied and other industry representatives want to make their displeasure at the plans clear at the rally. "We farmers will send a first clear signal to the coalition with the traffic light system on Monday," Rukwied told the German Press Agency. The proposals on agricultural diesel and vehicle tax must be completely withdrawn. "If not, there will be massive resistance from January. We will not put up with this," emphasized the farmers' president.
According to the association, agriculture would be deprived of almost one billion euros. Up to now, farms have been able to get a partial refund of the energy tax on diesel. In addition, agricultural and forestry vehicles are exempt from vehicle tax.
Özdemir had already expressed criticism of the plans, which are based on an agreement between the coalition leaders to make savings in the 2024 budget. He warned of a disproportionate burden if both the agricultural diesel subsidy and the motor vehicle tax exemption were to be abolished. This would be a competitive disadvantage compared to other countries. The government has justified the plans with the reduction of climate-damaging subsidies. Finance Minister Christian Lindner (FDP) has signaled a willingness to talk. "I am open to alternatives," he told the Redaktionsnetzwerk Deutschland (Saturday).
According to industry figures, the earnings situation in agriculture has recently improved. In the 2022/23 financial year, which ended in June, the average profit of farms rose to a record level of 115,400 euros - an increase of 45% compared to the previous year. However, in view of falling prices for grain, oilseeds and milk, the farmers' association had already expressed pessimism about future business prospects before the traffic light plans were announced.
A large demonstration with thousands of farmers from all over Germany and a long convoy of tractors also took place in front of the Brandenburg Gate at the end of 2019. At that time, farmers took part in nationwide campaigns to demand a greater say in new environmental and animal welfare regulations and more appreciation for their sector.
Press release Farmers' association Call for demonstration Farmers' association on the economic situation
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- The traffic light coalition's plan to abolish tax breaks for farmers is being met with strong opposition, with protests scheduled at the Brandenburg Gate in Berlin on Monday.
- The agrarian sector in Germany is concerned about the deletion of regulations on agricultural diesel and vehicle tax exemptions, which could deprive farms of nearly one billion euros.
- Cem Özdemir, the German Federal Agriculture Minister, has criticized the plans, warning about the disproportionate burden and competitive disadvantage that could result.
- Joachim Rukwied, the president of the German Farmers' Association, has said that farmers will send a "clear signal" to the traffic light coalition with a rally at the Brandenburg Gate, and that massive resistance is expected from January if the plans are not withdrawn.
- Finance Minister Christian Lindner has signaled a willingness to discuss alternatives to the proposed plans, stating that he is "open to alternatives."
- The German Farmers' Association had already expressed pessimism about future business prospects before the traffic light plans were announced, due to falling prices for grain, oilseeds, and milk.
Source: www.stern.de
