Market organization

The basic division of forms of support for common market organisation:

  • Market mechanisms
  • Plant commodities
  • Animal commodities

Brief information about the supports:

Market mechanisms

represent one of the stabilisation factors of import and export of selected agricultural products in the EU's external trade with non-member countries

Market mechanisms include: licences, securities, export refunds on agricultural products and processed agricultural products (NON ANNEX I)

Licences entitle and bind the licence holder within the period of their validity to export or import certain amount of the designated commodity into or from non-member country.

Forms of licences:

  • import licence AGRIM,
  • export licence AGREX,
  • export licence with advance fixing of the refund AGREX,

Securities Together with the licence application a security must be lodged in the cases where its amount exceeds EUR 100.

Export refunds on agricultural and processed agricultural products

are paid to exporters of agricultural and processed agricultural products in order to balance the differences between the higher prices in the internal EU market and lower prices in the global market. In the current period they are not applied.

Plant commodities

The following measures are applied through APA within the framework of the common organisation of the markets in plant commodities:

Public intervention in cereals – in order to regulate the market in agricultural commodities a public intervention system funded by the European Agricultural Guarantee Fund (EAGF) is applied. This measure involves intervention purchase, storage and sale of intervention stocks. Intervention stocks may be sold within the internal EU market or exported outside the EU market.

Regulation of the sugar market – in order to regulate the sugar market a production quota system for sugar, isoglucose and inulin syrup is applied. For the 2014/2015 marketing year the production quotas for sugar and isoglucose were fixed as follows: Považský cukor, a.s. - 68 478.50 tons of sugar, SLOVENSKÉ CUKROVARY, s.r.o. - 43 841.00 tons of sugar, Amylum Slovakia, spol. s.r.o. - 68 094.50 tons of isoglucose.

Wine and vineyards

Restructuring of vineyards – support is granted for individual measures or their combination: grubbing up and replanting, e.g. by changing wine variety and, if appropriate, changing the spacing between plants, changing the spacing – applies only for the wine-growing region Tokaj, or grubbing up and moving the vineyard.

Vineyard harvest insurance – can be granted for insurance against natural disasters, adverse climatic conditions, wine diseases and pest infestation.

Support for promotion in the Member State market or third-country market – is aimed for establishing public relations through promotion and advertising, participation in trade fairs and exhibitions, information campaigns focused on designation of origin and the research of new markets for market expansion.

Support for investments in winegrowing enterprises – is aimed for purchasing of interior equipment of retail premises and showrooms in the production establishment, and for designation of wine products with new labels with QR codes.

Fruits and vegetables

Support for producer organisations and associations of producer organisations in fruit and vegetables sectors within the framework of operational programmes implementation – this support is granted to recognised and registered producer organisations and associations, not directly to individual fruit producers.

Programme promoting consumption of fruits, vegetables and products thereof at schools – so-called School Fruit and Vegetables Scheme – this support is granted to approved applicants for supplying fruits, vegetables and products thereof to schools for a specific school year. School fruit and vegetables are intended for children in kindergartens and for primary and special school pupils in the 3-15 age category.

Special support for fruit and vegetables sector – this support is granted in case of price volatility and surpluses in fruit and vegetables production market. Specific conditions are laid down in the relevant EU legislation.

Animal commodities

Promotion of agricultural products in the internal EU market and third-country markets – Information and promotion activities are related to agricultural products and their method of production as well as food products based on agricultural products, on the internal market and on third country markets. Applicants are granted support for public relations, promotional or advertisement actions, information campaigns, participation in events, fairs and exhibitions of international or European importance, as well as high-level trade missions. The EU's financial contribution for selected programmes is 60% of total eligible costs; the rest shall be funded by the applicant.

Support for measures to encourage better conditions in production and trading of apiculture products – Eligible applicant is a beekeepers association which brings together more than 30% of beekeepers and represents the beekeepers who receive grants through the beekeepers association. The support can be granted for individual measures:

  • Technical assistance to beekeepers and beekeepers associations
  • Control of varroasis
  • Rationalisation of transhumance
  • Support for laboratories carrying out analyses of the physico-chemical properties of honey
  • Support for the restocking of hives
  • Cooperation with specialised bodies for the implementation of applied research programmes in the field of beekeeping and apiculture products.

Support for school milk – this support is granted to approved applicants for supplying milk products. The beneficiaries of the aid are pupils in regular attendance at the following types of educational establishment: nursery schools/other pre-school establishments, primary and secondary schools, administered or recognised by the Member State's competent authority.

Private storage of butter – this support is granted in the cases of price volatility and surpluses in milk production market. Specific conditions are laid down in the relevant EU legislation.

Private storage of skimmed milk powder – this support is granted in the cases of price volatility and surpluses in milk production market. Specific conditions are laid down in the relevant EU legislation.

Private storage of cheeses – this support is granted in the cases of price volatility and surpluses in milk production market. Specific conditions are laid down in the relevant EU legislation.

Private storage of pigmeat, sheepmeat and goatmeat – this support is granted in the cases of price volatility and surpluses in meat production market. Specific conditions are laid down in the relevant EU legislation.

Intervention purchase, sale and storage of butter – this support serves for price stabilisation in the Member State internal market. Specific conditions are laid down in the relevant EU legislation.

Intervention purchase, sale and storage of skimmed milk powder – this support serves for price stabilisation in the Member State internal market. Specific conditions are laid down in the relevant EU legislation.

Intervention purchase and storage of beef – this support serves for price stabilisation in the Member State internal market. Specific conditions are laid down in the relevant EU legislation.

First purchaser of milk – means entrepreneur who purchases milk from primary producer. The entrepreneur has to make their operation known to APA and submit monthly data on the quantity of raw milk, actual fat content and estimated purchase price.

Producer organisations, associations of producer organisations and interbranch organisation in the milk sector – APA submits a proposal for recognition of these organisations to the Ministry of Agriculture and Rural Development. The aim of these organisations is to strengthen the bargaining power in negotiations about milk deliveries with milk processors and guarantee a profitable development of cow's milk production for their members.

ATIS

Agrarian Market Information of Slovakia (ATIS) was established in 1995 based on the PHARE project "Restructuring of selected branches of the food industry". The main goal is to help to create a transparent market environment. After the completion of the PHARE project, ATIS was organizationally integrated into the Research Institute of Agricultural and Food Economics in 1996, and in 2004 it became part of the APA.

The agricultural market of the Slovak Republic has changed significantly in recent years. Changes in the agrarian and agri-food market are reflected in production, processing and consumer prices.

ATIS monitors the development of prices and the market for commodities and agricultural products in the Slovak Republic. PPA thus contributes to the transparency of the market environment, allowing equal access to information to businesses and individuals in the field of agriculture and agri-food.

The APA performs the collection and processing of agrarian price information and agrarian market information for the Slovak Republic in accordance with Act no. 280/2017 Coll. on the provision of support and subsidies in agriculture and rural development and on the amendment of Act no. 292/2014 z. Z. on the contribution provided from the European Structural and Investment Funds and on the amendment of certain laws as amended, pursuant to §10, letter g).

Monitoring of the agricultural market is performed by ATIS for commodities and products:

- animals for slaughter and meat,

- fruits and vegetables,

- cereals, oilseeds and potatoes, flour, bread, croissants, pasta

- milk and milk products,

- poultry and eggs,

- sugar and sugar beet.

Price and market monitoring performed by ATIS is not an exhaustive statistical survey, but a sample survey. In contrast to statistical surveys, respondents as well as other users receive feedback in a relatively short time, i.e. are informed of the current state of the market.


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