Funding in the Area of Market Structure Improvement (Food Industry / Sales Promotion)
Funding of investment measures for the collection, processing, and marketing of agricultural products in Brandenburg. Applications can be submitted immediately; the guideline is valid from 09.11.2024 to 31.12.2026.
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Grant criteria
Funding objective
The funding of investment measures for the collection, processing, and marketing of agricultural products aims to achieve a better alignment of the type, quantity, and quality of supply with market requirements. This is intended to create the conditions for higher revenues for producers. It serves to increase competitiveness and enhance the added value of domestic products.
Eligible expenses
- Recording of agricultural products
- Storage
- Cooling
- Sorting
- Market-oriented preparation
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Non-eligible expenses
- Investments at the retail level
- Processing of products from third countries
- contributed land, buildings, and technical equipment
- residential buildings including accessories
- acquisition costs for passenger cars and sales vehicles
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Eligible to apply
- Companies
- Interest Groups and Other Associations
Funding requirements
- Proof of 40% supply contracts for at least five years after investment completion
- Independent expert opinion on economic profitability and efficiency
- Start of investment only after approval (exception for early start in exceptional cases)
- Fulfillment of SME criteria (<250 employees, <€50 million turnover or <€43 million balance sheet)
Documents required for application
- Extract from the commercial or cooperative register
- Articles of association or partnership agreement
- Land register excerpt
- Annual financial statements for the last three years
- Investment concept and profitability calculation
- Cost plan with cost estimates
- Construction drawings and building descriptions
- Necessary public-law permits
- Supply contracts for raw material procurement
- Contract/cooperation agreement and business plan for cooperations
- Subsidy-relevant declaration for EIP projects
- Contract and business plan of the producer association
- Confirmation from the house bank for investment volumes from €50,000
Evaluation criteria
- Economic efficiency of the project
- Proof of long-term supply contracts
- Innovation potential
- Sustainability and efficiency improvement
- Regional value chains
Description
The initiative of the Ministry of Agriculture, Environment and Consumer Protection of Brandenburg supports investment projects for the collection, processing, and marketing of agricultural products in the state of Brandenburg. The goal is to optimally align supply and market requirements in terms of type, quantity, and quality, thereby increasing the revenues of producers. Eligible for funding are micro, small, and medium-sized enterprises (SMEs) in the processing and marketing sector with fewer than 250 employees, as well as producer organizations (excluding fruit and vegetables) and quality producer associations with at least five members. Among other requirements, proof of supply contracts covering at least 40% of the investment capacity for five years after implementation, an independent profitability assessment, and compliance with SME criteria are mandatory. The guideline is valid from November 9, 2024, to December 31, 2026; applications are accepted continuously, but approval will only be granted after the federal budget has been released.
Eligible expenses include new construction, expansion, and modernization of technical facilities, including collection, storage, cooling, sorting, preparatory packaging, labeling, and internal restructuring. Investments at the retail level, in land, used equipment, office furnishings, sales vehicles, leasing and rental costs, as well as interest, are excluded. The funding rate ranges from 10% to 60% depending on the project, supplemented by bonuses for quality or regionally bound products. Applications must be submitted formally via the Investment Bank of the State of Brandenburg (ILB) using the forms provided there. Early engagement with the detailed requirements and evaluation criteria ensures the best possible chances of funding approval.
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