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Farmers mobilize against the end of the agricultural diesel subsidy

The unpleasant news from Advent has caught farmers off guard: they are to be hit twice over by austerity plans. Outrage about this is now set to become visible in the capital.

Demonstrations - Farmers mobilize against the end of the agricultural diesel subsidy

Farmers want to mobilize in Berlin today, Monday, to protest against the planned abolition of tax breaks by the traffic light coalition. A rally is planned at the Brandenburg Gate under the slogan "Too much is too much". 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 The proposals on agricultural diesel and vehicle tax must be completely withdrawn.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.

Reduction of climate-damaging subsidies

According to the association, agriculture would be deprived of almost one billion euros. Up to now, farms have been able to claim 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 Redaktionsnetzwerk Deutschland.

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 percent 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 industry.

Read also:

  1. The farmers are planning to demonstrate against the proposed elimination of tax breaks for agricultural diesel by the Traffic Light coalition in Berlin.
  2. The German Farmers' Association wants the traffic light coalition to reconsider its decision to abolish regulations on agricultural diesel and vehicle tax exemptions, citing potential economic impact on farmers.
  3. Joachim Rukwied, the president of the German Farmers' Association, has stated that farmers will send a clear signal to the coalition with the traffic light system if their demands are not met, promising resistance starting from January.
  4. Cem Özdemir, the German Federal Agriculture Minister, has expressed concern over the potential disproportionate burden on farmers if both the agricultural diesel subsidy and motor vehicle tax exemption were to be abolished.
  5. Finance Minister Christian Lindner (FDP) has signaled openness to alternatives for the proposed plans to reduce climate-damaging subsidies, indicating a potential for compromise.
  6. In 2019, large demonstrations with thousands of farmers and long convoy of tractors took place in Berlin, leading to nationwide campaigns demanding a greater say in environmental regulations and more appreciation for the farming industry.
  7. Agricultural subsidies and tax exemptions, such as those for agricultural diesel and vehicle tax, have been subject to protests and controversy in Germany, with some advocating for their deletion while others argue for their continued support to maintain the livelihoods of farmers.

Source: www.stern.de

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