Overview Of The Compensation Initiative

The Ministry of Agriculture, Rural Development, and Environment has completed a compensation payout of €10.2 million to farmers and production groups affected by severe drought conditions in 2025. The Agriculture Department announced that a total of 2,516 compensation claims were approved within the year, providing critical financial support for those impacted by last year’s extraordinary dry spell.

Structured Support Under The Agricultural Development Programme

This targeted financial assistance was implemented under Measure 23 of the Agricultural Development Programme 2014-2020, aimed at delivering lump-sum payments to affected producers. The initiative covered a broad spectrum of agricultural sectors including cereals, citrus, olives, vegetables, potatoes, vineyards, avocado, apiculture, and producer organizations. Eligibility was determined through official assessments and records from regional offices, ensuring that both professional and non-professional farmers received the aid under specific conditions.

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Impact And Distribution Of The Aid

According to the Agriculture Department, the majority of claims came from professional farmers. However, it was noted that approximately 50% of the eligible plantations—particularly deciduous orchards, walnut, and almond groves—did not submit claims. The drought of 2024, described as one of the most challenging in the history of Cypriot agriculture, coincided with below-average rainfall and unusually high temperatures, resulting in reduced production capacity and compromised product quality in key sectors such as cereals, olives, fruits, vegetables, and vineyards.

Coordinated Government And European Responses

Designation of the drought as a natural disaster by the relevant authorities prompted governmental decisions (1540/2024 and 1383/2024) that paved the way for these compensatory measures. In addition to domestic intervention, the European Commission approved an emergency fund of €3.5 million from the agricultural reserve, disbursed in September 2025, to mitigate broader economic repercussions.

Ongoing Support And Future Measures

The Ministry continues to work in close collaboration with local agricultural organizations to monitor the ongoing effects of the drought, which began in December 2023 and is now in its fourth consecutive year. With systematic data evaluation and open dialogue with the farming community, the government is prepared to activate additional support measures to ensure the sustainability of agricultural production amid the evolving challenges of climate change.

Additional Aid Disbursements And Investment Programmes

Furthermore, the Cypriot Agricultural Payments Organization (KOPA) disbursed over €22 million in December alone, addressing not only drought-stricken farmers but also those affected by severe wildfires in the Limassol region. As part of the 2025 Unified Emergency Subsidy Scheme, 15,577 applications have already received payments totaling approximately €9.76 million. Progress on investment measures under the Agricultural Development Programme indicates that while €43 million was disbursed by November, an additional €7.6 million is expected to finalize the payment period, ensuring comprehensive support for ongoing agricultural investments.