Investment aid for market structure improvement

Investment grants for market structure improvement support companies and non-profit organizations in Baden-Württemberg that process or market agricultural products. With subsidies ranging from 10% to 40% of eligible expenses, the program supports both the new construction and expansion of technical capacities as well as internal rationalization measures, architectural and engineering services, and building permit costs. The goal is to strengthen competitiveness through the bundling of supply, quality enhancement, and market positioning of regional agricultural products. At the same time, the program contributes to climate protection by requiring documentation of efficiency improvements and emission reductions. Funding is continuously available and targets small and medium-sized enterprises as well as recognized producer organizations and associations under the Market Structure Act.

Funding prerequisites include, among others, a five-year commitment of at least 40% of intake capacity through supply or service contracts with producers, as well as proof of normal sales opportunities for the respective products. A prerequisite for application is that the project is economically viable and that an agricultural product serves as the basis from the start of the project. Ineligible costs include, among others, land acquisition, residential buildings, lease costs, leasing and hire-purchase costs, used machinery, office equipment, and projects already underway. The minimum investment volume is €50,000 in eligible expenses. Through this support, modern market and processing facilities can be realized, which contribute in the long term to a leaner agricultural chain and sustainable regional value creation.