SwedenLivingWorld world_2_fill WorldBusiness BusinessSports sports-soccer SportsEntertainmentEntertain

Farmers Risk Losing Billions in EU Funding

Swedish farmers risk missing out on 1,5 billion kronor in EU support because the government is unwilling to allocate funds from the Swedish exchequer, according to the Swedish Farmers' Federation (LRF). It is a large sum that Sweden is not utilising, says Palle Borgström, chairman of LRF.

» Updated: 16 July 2024

» Published: 25 June 2024

Farmers Risk Losing Billions in EU Funding
Photo: Fredrik Sandberg/TT

Swedish farmers risk missing out on 1,5 billion kronor in EU funding because the government is unwilling to provide matching funds from the Swedish treasury, according to the Swedish Farmers' Association (LRF).

It's a large sum that Sweden is not utilising, says Palle Borgström, chairman of LRF.

Between 2025-2027, Swedish farmers risk losing half a billion kronor per year in compensation from the EU that will not be utilised.

This is because EU funding is tied to the euro and Swedish farmers receive their compensation in Swedish kronor. And since the krona has weakened against the euro, they are losing billions.

LRF is demanding that the government takes action to ensure that the EU funding does not remain in Brussels.

It's a large sum that Sweden is not utilising, and instead, the money is burning a hole in Brussels, continues Palle Borgström.

Increased costs

Half of the EU funding is financed by the Swedish state, and the other half by the EU.

The reason they are not getting the money is that the Swedish state is not willing to pay its share, according to LRF.

Of course, it costs the Swedish state 500 million, but it means that you put in one krona and get two kronor back.

TT: Swedish farmers are still getting 4.5 billion kronor in EU funding over these three years – isn't that enough?

The costs have increased due to the weak krona. And when the state does not compensate for it, it puts Swedish farmers in a worse competitive position compared to farmers in other countries.

This leads to us reducing production in Sweden and importing more.

"Following the issue"

LRF believes that there are several areas where EU funding has significance. Among others, in animal welfare, environmental measures, and investments.

Agriculture Minister Peter Kullgren (KD) writes in a comment to TT:

"I am aware of the issue and have understanding for LRF's perspective. We are clearly following the issue closely and will get back to it."

Finance Minister Elisabeth Svantesson (M), who is also responsible for this, has declined to comment.

Tags
TTT
By TTThis article has been altered and translated by Sweden Herald

More news

Electricians called to civil defence duty
2 MIN READ

Electricians called to civil defence duty

Sources: Biden wants to stop Tiktok shutdown
2 MIN READ

Sources: Biden wants to stop Tiktok shutdown

Hard to choose mortgage rate: "Unique small differences"
2 MIN READ

Hard to choose mortgage rate: "Unique small differences"

Upwards in Asia
1 MIN READ

Upwards in Asia

Still Male Dominance in Stock Exchange Companies
1 MIN READ

Still Male Dominance in Stock Exchange Companies

Banker led a broad upswing on Wall Street
1 MIN READ

Banker led a broad upswing on Wall Street

Tiktok may shut down for Americans on Sunday
1 MIN READ

Tiktok may shut down for Americans on Sunday

Unexpectedly Low Core Inflation in the USA
1 MIN READ

Unexpectedly Low Core Inflation in the USA

USA: Mortgage interest rate exceeds 7 percent
1 MIN READ

USA: Mortgage interest rate exceeds 7 percent

Summer Train Malmö-Oslo Launched on a Trial Basis
1 MIN READ

Summer Train Malmö-Oslo Launched on a Trial Basis

USA's banks are doing better than expected
2 MIN READ

USA's banks are doing better than expected

Blackrock: Record in customer investments
1 MIN READ

Blackrock: Record in customer investments

This is how nuclear power will be accelerated
2 MIN READ

This is how nuclear power will be accelerated

Slight increase in European industrial production
1 MIN READ

Slight increase in European industrial production

Ahead of the Davos Meeting: War the Greatest Threat
1 MIN READ

Ahead of the Davos Meeting: War the Greatest Threat

German economy continues to shrink
2 MIN READ

German economy continues to shrink

Thedéen: Likely with another interest rate cut
3 MIN READ

Thedéen: Likely with another interest rate cut

Continued low inflation pressure in France
1 MIN READ

Continued low inflation pressure in France

A Record Number of Tourists Visited Japan in 2024
1 MIN READ

A Record Number of Tourists Visited Japan in 2024

Skandia raises fixed mortgage rates
1 MIN READ

Skandia raises fixed mortgage rates