Agri-food - Primary Production and Processing of Agricultural Products - Fishing - Aquaculture.
"Agrifood - Primary Production and Processing of Agricultural Products -
Fisheries - Aquaculture"
of the Development Law 4887/2022
Purpose:
The purpose of this regime is to strengthen business activities of primary agricultural production and the processing of agricultural products.
Beneficiaries:
Beneficiaries of the aid, granted on the basis of this regime, are the investment entities that are established or have a branch in the Greek Territory at the time of the start of the investment project and have one of the following forms:
Commercial company,
Partnership,
Social Cooperative Enterprises (Coun.S.Ep.), Agricultural Cooperatives (AS), Producer Groups (OP), Urban Cooperatives, Agricultural Corporate Partnerships (A.E.S.),
Joint ventures engaged in commercial activity,
Public and municipal enterprises and their subsidiaries, subject to conditions
Sole proprietorships with a maximum eligible investment project cost of two hundred thousand (200,000) euros
The following are excluded from aid and from being included in this scheme:
a. companies, against which, at the time of the submission of the investment plan application, an aid recovery procedure is pending (Deggendorf principle),
b. troubled businesses, as long as at least one of the conditions set out in par. 18 of article 2 of the G.A.K.
c. businesses which, during the two (2) years prior to the submission of the aid application:
They have relocated the business establishment, in which the initial investment for which the aid is requested is to be made or
refuse to commit that they will not relocate the above business establishment, for a period of two (2) years, after the completion of the initial investment,
d. businesses, which implement investment projects carried out on the initiative and on behalf of the State, based on a relevant contract for the execution of a project, concession or provision of services.
Total Budget:
The total budget of this regime for the year 2022 amounts to one hundred and fifty million (150,000,000) euros, of which seventy-five million (75,000,000) euros concern the type of tax exemption support.
The other seventy-five million (75,000,000) euros concern the types of support for the grant, the leasing subsidy and the subsidy for the cost of the employment created and come from the Public Investment Budget of the Ministry of Development and Investments.
Content of Investment Plan
The investment plans submitted must have an integrated nature of initial investment and be implemented in a Regional Unit, and in particular meet one of the following conditions:
a. Create a new unit.
b. Expansion of the capacity of an existing unit.
c. Diversification of a unit's output into products that have never been produced or services that have not been provided by it provided, for large enterprises, that the aided expenditures exceed by at least two hundred percent (200%) the book value of the assets that are used again, as this value has been recorded in the tax year, which precedes the application for inclusion of the investment project.
d. Fundamental change of the entire production process of an existing unit. For large enterprises, it is also required that the supported investment costs exceed the depreciation of the last 3 tax years of the assets, which are linked to the activity to be modernized. If the activity-related depreciation of the assets is not clearly recorded, it is considered that the above condition is not met.
Eligible Expenses:
The eligible costs of investment projects for which regional aid is granted, subject to more specific terms and conditions provided for herein, are the following:
Tangible assets:
-Construction, expansion and modernization of building facilities, as well as special and auxiliary facilities of the buildings and constructions to ensure accessibility for disabled and disabled people, as well as shaping the surrounding area.
These costs, cumulatively, cannot exceed forty-five percent (45%) of the total supported costs of a regional nature. This coefficient is set at sixty percent (60%) for the corresponding costs related to investment projects for plant production in greenhouses and at 80% for investment projects implemented in buildings, which are classified as preserved.
-Purchase of all or part of the existing fixed assets, such as buildings, machinery and other business installation equipment, under the following conditions, which must be cumulative:
i. the business establishment has
closes at least two (2) years before the date of submission of the affiliation application,
ii. the purchase is made by the entity of the investment plan, which is not related to the seller of the business establishment of c. i unless it is a small business, which is acquired by an employee of the original owner, who is not related up to the 3rd degree to the owner/owners of the unit that ceased operation (in the case of a legal entity, the owner means the natural persons who own a share/shares of the company/share capital) and the employment relationship lasted at least two (2) years,
iii. the relevant transaction is carried out under normal market conditions. These eligible costs shall deduct the cost of assets which have previously been granted or subsidized through development laws or other aid schemes prior to their purchase;
-Purchase and installation of new modern machinery and other equipment, including technical installations and means of transport that move within the area of the integrated unit.
-Leasing of new modern machinery and other equipment, the use of which is acquired, provided that the leasing contract stipulates that the equipment becomes the property of the lessee at the end of the contract.
-Modernization of special facilities that do not concern buildings, and mechanical facilities.
- Ice trays (for the milk utilization and dairy product production units).
Intangible assets
-Technology transfer, through the purchase of intellectual property rights, licenses, patents, know-how and unproprietary technical knowledge,
- Quality assurance and control systems, certifications, supply and installation of software and business organization systems.
The above expenses must cumulatively meet the following conditions:
i. to be used exclusively in the business establishment that receives the aid and to remain connected to the project, for which the aid is granted, for the period of compliance with the long-term obligations of paragraph b of article 25,
ii. to be included in the company's depreciable assets,
iii. to be purchased in accordance with the terms of the purchase by third parties unrelated to the buyer.
For large enterprises, the subsidized costs for intangible assets cannot exceed thirty percent (30%) of the total subsidized regional aid costs. For
For SMEs the maximum percentage is set at fifty percent (50%).
Wage cost
The salary cost of the new jobs created as a result of the implementation of the investment plan is calculated for two (2) years from the creation of each position. The above salary cost is an eligible expense only independently and not in combination with para. a' and/or b' and if an initial investment is implemented.
Salary cost support conditions:
1. The investment project entails a net increase in the number of employees expressed in Annual Labor Units (ALUs) in the business establishment and respectively in the enterprise, compared to the ALUs. of the previous twelve months from the date of submission of the affiliation application,
2. The filling of the jobs should be done within 3 years from the date of completion and start of production,
3. Each job created through the investment is maintained in the specific aided facility for a period of at least five (5) years for large, at least four (4) years for medium-sized enterprises and at least three (3) years for small enterprises, from the date of first payment thereof.
Eligible costs of Primary Agricultural Production
1. The eligible costs of the investment projects for which aid is granted in accordance with Regulation 702/2014 are those referred to in article 6 with the exception of the costs of sub. ab and ae of para. a and subp. b of para. b, par. 1, thereof.
2. In the investment projects of the vegetable agricultural production sector, the subsidized costs of agricultural tractors, agricultural accessory machinery, etc., should not exceed 30% of their total subsidized costs.
Other categories of expenses
-Expenses for consulting services to SMEs:
They relate to studies and consultancy fees for investment projects of new small and medium-sized enterprises and cannot be the subject of continuous or periodic activity, nor be linked to the usual operating costs of the enterprise.
-Costs for the restoration of contaminated sites:
In the case of the restoration of contaminated sites, all the costs incurred by a company during the restoration of its site can be
