Project Description
Creation of Producer Groups and Organizations
PEPAC
The PEPAC measure’s Creation of Producer Groups and Organizations incentive aims to strengthen market orientation, improve farmers’ position in the value chain and increase the competitiveness of agricultural holdings, with a greater focus on research, technology and digitalization.
Support Status
Open
Financing
Up to 100.000€ per year
Territory
National Territory
Eligible Entities
Producer Groups
Producer Organizations
Creation of Producer Groups and Organizations
PEPAC
The PEPAC measure’s Creation of Producer Groups and Organizations incentive aims to strengthen market orientation, improve farmers’ position in the value chain and increase the competitiveness of agricultural holdings, with a greater focus on research, technology and digitalization.
Support Status
Open
Financing
Up to 100.000€ per year
Territory
National Territory
Eligible Entities
Producer Groups
Producer Organizations
Incentive Conditions
- The intervention takes the form of support granted to producer groups (POs) and producer organizations (POs) covered by the definition of SMEs and officially recognized in national legislation, based on a temporary Action Plan corresponding to the start-up period of the PO/PA. Support will be calculated according to the respective Value of Marketed Production (VPC).
- This intervention contributes to the following PEPAC targets:
- Percentage of farms participating in producer groups, producer organizations, local markets, short supply chain circuits and quality schemes.
- National Territory.
- Producer Groups or Producer Organizations (AP/OP), involving at least two producer agents, which meet the definition of SMEs and are recognized.
- Under the PEPAC Regulation (EU) and the specific national legislation applicable to the creation of Producer Groups of small economic size, of farmers with Family Farming Status [1] or relating to multi-product production with a sustainable production method, with greater added value, linked to niche markets or local markets;
- Under the Single CMO Regulation (EU) and the applicable National Legislation as a Producer Organization for one of the sectors provided for in Article 1(2) of the same Regulation, with the exception of the horticultural sector, or in the case of the wine sector, producer organizations that have resulted from the merger of two or more collective entities in which each of them represents at least 20% of the total turnover, provided that:
- They present an Action Plan approved by the General Assembly for a minimum period of 3 years and a maximum of 5 years after recognition;
- They have been recognized as a PO for 12 months prior to the approval of PEPAC;
- They meet the definition of an PME;
- Demonstrate that they have the means to ensure their own financing of the actions proposed in the action plan.
- Adapting the production of producer members to market requirements;
- Joint marketing of products, including preparation for sale, centralization of sales and supply to wholesalers;
- Establishment of common standards for production information, in particular with regard to production and availability;
- Development of entrepreneurial and commercial skills;
- Organization and facilitation of innovation processes (including field trials for demonstration and preparation of technical crop guides);
- Software and computer equipment to modernize the management of joint production structures, including the storage and conservation of production by producer members;
- Harnessing the potential of products through initiatives to strengthen their competitiveness;
- Creation or improvement of specific traceability systems and development of methods and tools to improve product quality at all stages of production, processing and marketing;
- Market, commercialization and marketing studies;
- Creation of collective brands;
- Activities necessary for the preparation, implementation and dissemination of the action plan
- The support is granted annually, progressively, on a flat-rate basis up to a limit of 10% of the VPC (Value of Marketed Production) and a maximum of €100,000 per year.
- The rates to be applied are as follows: 10%, 9%, 8%, 7% and 6%, respectively from the 1st to the 5th year, with the total period of support per beneficiary not exceeding five years.
- In the first tranche, if it is not possible to calculate the PCV, the aid will be calculated on the basis of the average annual value of the marketed production of its members during the three years prior to joining the group.
- The last tranche will only be paid once it has been verified that the Action Plan has been properly implemented and that the respective objectives and targets have been met.
Incentive Conditions
The intervention takes the form of support granted to producer groups (POs) and producer organizations (POs) covered by the definition of SMEs and officially recognized in national legislation, based on a temporary Action Plan corresponding to the start-up period of the PO/PA. Support will be calculated according to the respective Value of Marketed Production (VPC).
This intervention contributes to the following PEPAC targets:
Percentage of farms participating in producer groups, producer organizations, local markets, short supply chain circuits and quality schemes.
National Territory.
Producer Groups or Producer Organizations (AP/OP), involving at least two producer agents, which meet the definition of SMEs and are recognized.
Under the PEPAC Regulation (EU) and the specific national legislation applicable to the creation of Producer Groups of small economic size, of farmers with Family Farming Status [1] or relating to multi-product production with a sustainable production method, with greater added value, linked to niche markets or local markets;
Under the Single CMO Regulation (EU) and the applicable National Legislation as a Producer Organization for one of the sectors provided for in Article 1(2) of the same Regulation, with the exception of the horticultural sector, or in the case of the wine sector, producer organizations that have resulted from the merger of two or more collective entities in which each of them represents at least 20% of the total turnover, provided that:
They present an Action Plan approved by the General Assembly for a minimum period of 3 years and a maximum of 5 years after recognition;
They have been recognized as a PO for 12 months prior to the approval of PEPAC;
They meet the definition of an PME;
Demonstrate that they have the means to ensure their own financing of the actions proposed in the action plan.
Adapting the production of producer members to market requirements;
Joint marketing of products, including preparation for sale, centralization of sales and supply to wholesalers;
Establishment of common standards for production information, in particular with regard to production and availability;
Development of entrepreneurial and commercial skills;
Organization and facilitation of innovation processes (including field trials for demonstration and preparation of technical crop guides);
Software and computer equipment to modernize the management of joint production structures, including the storage and conservation of production by producer members;
Harnessing the potential of products through initiatives to strengthen their competitiveness;
Creation or improvement of specific traceability systems and development of methods and tools to improve product quality at all stages of production, processing and marketing;
Market, commercialization and marketing studies;
Creation of collective brands;
Activities necessary for the preparation, implementation and dissemination of the action plan
The support is granted annually, progressively, on a flat-rate basis up to a limit of 10% of the VPC (Value of Marketed Production) and a maximum of €100,000 per year.
The rates to be applied are as follows: 10%, 9%, 8%, 7% and 6%, respectively from the 1st to the 5th year, with the total period of support per beneficiary not exceeding five years.
In the first tranche, if it is not possible to calculate the PCV, the aid will be calculated on the basis of the average annual value of the marketed production of its members during the three years prior to joining the group.
The last tranche will only be paid once it has been verified that the Action Plan has been properly implemented and that the respective objectives and targets have been met.
