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The Agency for Rural Investment Financing has funded investments in the processing and marketing of agricultural products from 2014 to 2022 through Measure 4.2 of the National Rural Development Program 2014-2020. This funding line received an allocation of approximately 503 million euros, with funding requests totaling over 802 million euros.
"Following the evaluation and selection process, AFIR has signed financing contracts under the PNDR 2020 with 604 processors, with a total contract value of 451.2 million euros. To date, AFIR has disbursed 252.6 million euros for eligible expenses incurred by beneficiaries under Measure 4.2.
In the financial planning that we are opening this year, processors will have access to non-reimbursable funds through DR-22 interventions (agricultural processing) and DR-23 (food and processed products), as well as for on-farm processing through DR-20 (livestock farms), DR-15 (orchards), DR-30 (young farmers)," said George CHIRIȚĂ, General Director of AFIR.
One representative investment in this sector is the project "Establishment of an egg sorting, packaging, and storage unit" implemented by the beneficiary Ovo Product Agricultural Cooperative in the locality of Cristian, Sibiu County. The total value of the investment is 1,158,913 euros, of which 811,239 euros is the value of non-reimbursable funding granted through PNDR 2020. The financing contract was concluded in August 2019, and the investment was completed in December 2022.
"We benefited from non-reimbursable funding of 70% through PNDR to establish an egg sorting, packaging, and storage station, a project completed at the end of 2022. The unit serves cooperative members and other producers within a 200-kilometer radius.
The project aims to create a food chain, especially for those producers who need easier market access. Product marketing is a challenge, especially in our country, and it involves a lot of daily work. We distribute our products in major national stores with which we have collaborated well. AFIR supported us throughout the implementation of the investment, providing assistance whenever needed, and we felt not so much checked but rather helped by AFIR representatives.
All institutions involved have contributed to helping complete these projects through AFIR. I would encourage other producers to have the courage to try to access European funds, to apply for projects because things become simpler when you benefit from non-reimbursable funding," said Alexander GRAFFIUS, the legal representative of the project.
The investment project of the agricultural cooperative obtained funding for the establishment of a unit for collecting, receiving, storing, conditioning, sorting, and packaging eggs, with the purpose of collecting eggs from cooperative members and other authorized local producers and ensuring their marketing to end consumers by creating an integrated food chain.
For this purpose, a production hall of 1,322 square meters was built, and several pieces of equipment were purchased: an egg sorting machine, two folding machines, two input and four output printers, three refrigeration machines, and 252 pallets. The existing capacity at the time of project submission was approximately 57,000 eggs per day, and the capacity achieved after project implementation is 135,000 eggs per day.
The annual quantity of products sold is over 38 million eggs per year. Following the implementation of the project, 85% of the eggs will be sold in packaging, and 15% will be sold in bulk. The investment ensures a substantial increase in production and better quality control with the help of advanced equipment and qualified personnel.