Hungarian agriculture ministry: Hungary corn farmers to get HUF 6 bn in EU compensation for Ukraine grain glut

Hungary has managed to secure 6 billion forints (EUR 15.8m) in compensation for corn farmers from Brussels for the impact of grain imports from Ukraine, the agriculture ministry said on Wednesday.

Hungarian farmers received HUF 5.9 billion in compensation for their losses as a consequence of EU measures affecting Ukrainian farm products last year, the ministry said in a statement. The European Commission compensated Hungary with EUR 15.9 million in response to pressure from the member states affected, it added.

It said the flood of Ukrainian farm products into Europe as a result of the protracted war between Russia and Ukraine and the “ill-advised” sanctions imposed by the EU had put farmers in neighbouring EU countries in “an extremely difficult situation”. In the absence of steps taken by the EU, Hungary was forced to impose a national ban on the import of Ukrainian farm products, it noted.

Hungary also considered it important for farmers to receive compensation, the ministry noted, adding that the EC had acknowledged the losses incurred by farmers and had approved partial compensation for them.

Corn farmers who are eligible for compensation were able to submit their application to the state treasury between Oct 1 and 15, the ministry said, adding that HUF 5.9 billion  were paid out by the end of last year.

The ministry noted that Hungary was upholding its national ban on Ukrainian grain imports in the interest of restoring the earlier market conditions and vowed that the country would continue to fight for farmers interests in Brussels together with other affected member states.

Tags: Ukraine, corn, grain, imports, Hungary, compensation