German Farmers start nation wide protests against govt’s plan to cut subsidy on agricultural diesel

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German Farmers start nation wide protests against govt’s plan to cut subsidy on agricultural diesel

09 Jan 2024 | Germany| ANN

Convoys of tractors and trucks carrying protest banners reading “No beer without farmers” gathered on roads on Monday in Germany braving sub-zero pre-dawn temperatures. Farmers have blocked roads with tractors and trucks across the nation to protest against German government’s plans to cut tax breaks for agricultural diesel.

Farmers said government plans to end two tax breaks that currently save them about 900 million euros ($980m) per year would drive them out of business.

After farmers’ protest erupted last week, German Chancellor Olaf Scholz-led coalition government modified plans to cut subsidies for agriculture.

According to new amendments, the subsidy on agricultural diesel will be cut by 40% this year, by 30% in 2025, and will end from 2026.

Government said, a discount on the vehicle tax for farmers would remain in place while a diesel subsidy would be phased out over several years instead of being abolished immediately.
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