Loan

Agriculture – Production Security

Low-interest loan of up to €10 million for agricultural enterprises to secure operational financing needs. Application through the house bank, program limited until 30.06.2028.

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Grant criteria

Application Deadline: Ongoing
Application level: Advanced
Region: Germany (nationwide)
Company size: SME
Funding amount: up to €10,000,000 per year
Funding rate: 100%

Funding objective

The Landwirtschaftliche Rentenbank supports agricultural enterprises in financing their working capital needs as well as follow-up investments such as land and business acquisitions, acquisition of operating resources, delivery rights, animals, investments in drainage or irrigation systems, debt restructuring in the context of farm succession, and compensation for departing heirs.

Eligible expenses

  • Acquisition of land
  • Business purchases and takeovers
  • Acquisition of operating resources
  • Acquisition of delivery rights and payment entitlements
  • Acquisition of animals
  • Show more

Non-eligible expenses

  • Measures in the fisheries and aquaculture sector
  • Value-added tax, if input tax deduction entitlement exists

Eligible to apply

  • Companies

Funding requirements

  • EU SME definition
  • Enterprises not in difficulty within the meaning of the EU guidelines
  • Measures in the fisheries and aquaculture sector are excluded

Documents required for application

  1. De minimis aid declaration
  2. Cumulative aid declaration

Description

The program "Agriculture – Production Security" of the Landwirtschaftliche Rentenbank offers agricultural enterprises throughout Germany a low-interest loan of up to €10 million annually to cover operational financing needs. It is aimed at small and medium-sized enterprises (SMEs) in primary agricultural production, including farms in agriculture, horticulture, and viticulture according to the EU SME definition. The loans are applied for through the respective house bank and can be used both for operating resources and follow-up investments. These include the acquisition of land, business purchases or takeovers, the acquisition of operating resources, delivery rights, or animals, as well as investments in drainage and irrigation systems. Additionally, debt restructuring within the framework of farm succession agreements and the compensation of departing heirs are eligible for funding. The funding covers 100% of the eligible costs and is limited until June 30, 2028.

Special support is provided to young farmers under 41 years of age as well as ecologically certified enterprises in the form of an interest bonus or LR top conditions. The prerequisite is that applicants are not considered "undertakings in difficulty" and do not carry out measures in the fisheries or aquaculture sector. For the application, a de minimis aid declaration and a cumulation declaration must be submitted to ensure compliance with EU aid ceilings. The program ensures planning security through individual fixed interest rates and terms ranging from three to 50 years, thereby supporting the sustainable development and competitiveness of agricultural production enterprises in rural areas.

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