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“Milk” subsidies are having an effect

Thanks to the subsidization of livestock farms on the principle of "a fixed amount for each kilogram of milk submitted for processing", the supply of raw materials to Moldovan dairy factories from local farms has more than doubled," Logos Press reports.
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“Milk” subsidies are having an effect

The management of the Association of Milk and Dairy Producers Lapte believes that the multiple increase in the supply of milk to factories from professional (i.e. authorized by the ANSA Food Safety Agency – a prerequisite for direct subsidies) farms can be considered a serious achievement. Some factories, especially in the south and center of the country, have completely shifted to accepting raw materials directly from industrial farms.

From January 20 to March 7, 2025, the Agency for Interventions and Payments in Agriculture conducted the IV phase of accepting applications from livestock farmers for direct subsidies for milk delivered to factories between July 1 and December 31, 2024. A total of 216 applications were received from potential beneficiaries, of which 213 were authorized for a total amount of 85.61 million lei. In total, just over 28 thousand tons of dairy raw materials were subsidized.

However, the dominant role in the systems of purchase/delivery of milk for processing continues to be played by the so-called procurement points. These intermediary enterprises accept milk from “non-professional” operators of the raw milk sector – small farms and households. They are already de facto legalized by law, but they are not yet beneficiaries of the state budgetary Fund for Agricultural and Rural Subsidies, as they are not authorized by ANSA.

Moldovan dairy factories process more than 300 thousand tons of raw milk annually. That is, even taking into account the growth of supplies from local industrial (professional) livestock farms, their share in the total flow of raw materials to the factories, as a whole, is still not large.


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