An agreement, prepared yesterday, has been signed today April 19, 2011, between Deputy Prime Minister and Finance Minister Simeon Dyankov, Minister of Agriculture and Food Dr. Miroslav Naidenov and Tzvetan Filev, President of the National Association of Tobacco Producers in Bulgaria.
The parties have agreed as follows:
Funds under the 2010 Complementary National Direct Payments Scheme for tobacco sector to be paid as follows: the Government will make two tranches - BGN 35 million in subsidy payments to tobacco farmers by May 2011 and a further BGN 35 million by August.
Decision on the allocation of those resources between the tobacco varieties groups will be taken at a meeting of the Advisory Tobacco Council.
The first tranche will be paid to tobacco growers in advance on100% at the amount of BGN 35 million.
The State Fund has also pledged to disburse BGN 70 million of national co-payments to the direct subsidies in one tranche by March 2012 for this year's harvest.
It has been decided certificates of inheritance to be submitted to the competent institutions in cases of deceased account holders.
Local tobacco manufacturers, as well as grain producers, had been planning to launch protests over the delays in national co-payments to direct subsidies.