The cabinet and agricultural specialists inked on Tuesday a framework agreement valued at 10 billion MAD aimed at elaborating a long-term program to mitigate the impact of rainfall deficiencies and the global economic crisis on agricultural activities.
The program has three primary cornerstones: protection of animal resources, conservation of plant resources and its associated sectors, and strengthening Crédit Agricole’s financing capabilities.
Under the terms of this agreement–signed in the presence of the Head of Government, the Minister for Economy, the Minister for Agriculture, and the Minister Delegate of the budget–a sum of 5 bln MAD will be allocated for the protection of livestock through the subsidy of barley and imported feed for poultry and other agricultural fauna.
Four billion MAD is committed to conserving plant capital and supporting its revenue growth by reducing production costs of fruits and vegetables by subsidizing the price of specific inputs such as seeds and fertilizers.
In this regard, the initiative will subsidize tomato production by providing a subsidy of one bln MAD, and will encourage the proliferation of the potato crop worth 580 million MAD. A budget of 120 million MAD will be set aside to offset the cost of onions to the consumer, while 2.3 bln MAD will be allocated to subsidize fertilizers.
Finally, a budget of one bln MAD will be earmarked to boost the financial capabilities of the Crédit Agricole Bank in order to assist farmers.
Akhannouch emphasized the government’s commitment to assisting farmers and livestock breeders in order to alleviate their financial burden and to contribute to lower overall agricultural production costs from all angles, as it is anticipated that this holistic strategy will ease the eventual retail cost to the consumer.