Minister of Finance Alena Schillerová today approved the release of three billion crowns from the budget reserve for the Agricovid Potravinářství relief program. The minister announced it on Twitter.
“I have signed a measure whereby we will release CZK 3 billion from the budget reserve for the Agricovid Potravinářství program. It will help up to 10,000 businesses who have no one to supply food to because of closed school or company canteens.
According to the Ministry of Agriculture, the program’s maximum rate will be CZK 200,000 per company and up to CZK 20,000 per employee.
Food producers who have already received support for the same purpose, to maintain the viability of a company whose activities are limited due to a coronavirus pandemic, will not receive the subsidy.
The principles of the subsidy program were approved by the government a month ago. In addition to direct financial support, the Ag Chamber of the Czech Republic calls for a partial waiver of social security contributions. The pandemic also meant higher labor costs due to border closures, family members’ treatment, or quarantined employees. The Chamber proposes the waiver of social security contributions from October to the end of the year for all agricultural holdings for the first 50 employees. According to the association, larger companies often engage in the cultivation of state-sponsored sensitive commodities, such as fruit, vegetables, hops, or animal production.