Europe is to step up its aid package to prop up the Canary Islands tomato production while also accepting the Canary Islands Government’s proposal to support its olive and aloe vera production. Tomato aid will now increase from €11,000 to €15,000 per hectare until the 2020 campaign, with an overall increase to the fund of €9 million.
The Canary Islands Government described this news as very good for the export tomato sector, which has seen its aid of €7,500 euros doubled since 2015. The measures are said to already be having their first impact, with an estimated 25 new hectares.
The grants are to incentivise the modernization of farms, whose productions currently compete with productions from countries like Morocco, where costs are lower. The measures are aimed at reducing costs and supporting the income of producers.
Deputy Minister Abel Morales said that the modification to the POSEI is in line with promoting the diversification of crops in the Islands, such as aloe vera and the olive tree. Producers of aloe vera have been allocated €60,000 this year, while olive tree producers will receive €220,000.