Moldova allocates €5.5 million in diesel tax relief to support spring farming
The Government of Moldova is set to provide financial relief to farmers by compensating diesel fuel costs for the 2026 spring season. Under a new draft resolution, the state will allocate 108 million MDL (approx. €5.5 million) from the Government Intervention Fund to mitigate the impact of volatile energy markets.
Eligible farmers will receive a refund of nearly 3,979 MDL (€203) per ton of diesel purchased between March 1 and May 31, 2026. This amount represents 100% of the fuel excise duty set for the current year. To ensure equitable distribution, the total aid for a single beneficiary is capped at 200,000 MDL (approx. €10,200).
According to the Ministry of Agriculture and Food Industry, the compensation will be calculated based on standard average consumption rates per hectare or livestock unit. This ensures that the relief remains focused on active production rather than total fuel volume purchased.
Application and transparency
Minister Ludmila Catlabuga stated on Wednesday, March 12, that the measure aims to reduce financial pressure during the critical spring sowing campaign. Farmers must submit their applications to the Agency for Agricultural Intervention and Payments (AIPA), supported by tax invoices and local administration certificates.
The Agency will verify all documentation to authorize payments directly to the farmers' bank accounts. The government emphasizes that diesel is a core input for every stage of production, from soil preparation to sowing and phytosanitary treatments.
Industry concerns regarding supply
While welcoming the financial aid, some industry representatives remain cautious. Alexandru Brînza, President of the "Farmers' Force" Association, noted that market availability remains a significant hurdle.
Brînza reported that some fuel suppliers are currently limiting bulk sales or increasing prices for large volumes. Farmers have expressed concerns that these supply chain bottlenecks might prevent some producers from acquiring the necessary fuel within the specified eligibility window.
Translation by Iurie Tataru
