Description of the Program

The Agricultural Development Contracts aim to support large-scale investments in the agri-food, agro-industrial, industrial, and environmental sectors. To access this financing, a minimum total investment of 20 million euros is required, with an exception for activities related to the transformation and commercialization of agricultural products, for which the minimum requirement is lowered to 7.5 million euros.

The Cds (Development Contracts) support investment programs in the following sectors:

  • Agri-food and manufacturing sector.
  • Activities aimed at improving energy efficiency, including cogeneration plants and industrial waste management.
  • Service, information, and communication activities.

Thanks to the Ministerial Decree of November 13, 2020,the evaluation procedures for Development Contracts, Program Agreements, and Development Agreements have been simplified. Furthermore, fast-track approval procedures (Fast Track) have been introduced for large-scale projects with significant impact on the regional and national production system.

Grant and Subsidized Financing

In the context of the Agricultural Development Contracts, the benefits are available in various forms, depending on the type of project, its location, and the size of the company, with particular attention to environmental projects.

Enterprise Size Least Developed Regions Other Regions Areas under Article 107.3.a Areas under Article 107.3.c Other Areas
Small Enterprises 50% ESL 40% ESL 45% ESL 30% ESL 20% ESL
Medium Enterprises 50% ESL  40% ESL 35% ESL 20% ESL 10% ESL
Large Enterprises 50% ESL  40% ESL 25% ESL 10% ESL Not Eligible

The Agricultural Development Contracts cover a wide range of investments, with different minimum amounts depending on the type of project:

  • Industrial Sector: The minimum total investment amount is 20 million euros, of which at least 10 million belong to the Proponent and 1.5 million to other participating companies.
  • Agri-food Industrial Sector: For this sector, the minimum requirement is lowered to 7.5 million euros, with 3 million allocated to the Proponent and 1.5 million to other participating companies.
  • Environmental Protection Sector: Investments in this sector must amount to a minimum of 20 million euros, of which 5 million belong to the Proponent and 1.5 million to other participating companies.
  • Agritourism Sector: Also for the agritourism sector, the minimum requirement is 7.5 million euros, with 3 million allocated to the Proponent and 1.5 million to other participating companies.

Furthermore, it is important to note that for companies operating in the processing and marketing of agricultural and agri-food products, the total interventions of the Development Contract must exceed 7.5 million euros. The Proponent Subject must present investments exceeding 3 million euros, while the participating companies must commit at least 1.5 million euros.

Beneficiaries

The benefits offered by the Agricultural Development Contracts are intended for the following categories of subjects:

  • Companies presenting an investment program in the agri-food sector, in the processing and marketing of agricultural products.
  • Participating companies that implement investment projects within the scope of the Development Contract.
  • Subjects responsible for the implementation of research, development, and innovation projects.
  • Agro-industries, Producer Organizations (O.P. & A.O.P), Cooperatives, and Agricultural Companies.

Eligible Expenses

The investment projects financed by the Agricultural Development Contracts are aimed at strengthening the agro-industrial production structure and can include various types of eligible expenses:

  • New Production Unit: Creating a new production site.
  • Expansion: Increasing the production capacity of an existing site.
  • Conversion: Changing the use of an existing site.
  • Restructuring: Significantly improving an existing site.

These expenses may cover:

  • Purchase and preparation of land (maximum 10% of costs).
  • Masonry works (maximum 40% of costs).
  • Development of company infrastructure.
  • New machinery, plants, and equipment.
  • Acquisition or development of software, patents, licenses, copyrights, and trademarks.
  • External consultancy (maximum 4% of the total amount).

Eligibility Conditions

To benefit from the facilities in the agro-industrial and agri-tourism programs, at least one of the following conditions must be met:

Agro-industrial Programs

  • Have a significant presence in the international market.
  • Carry out investments that lead to significant innovations in products, production processes, company organization, or marketing methods, with particular emphasis on those in line with the objectives of the National Industry 4.0 Plan.

Agro-industrial and Agri-tourism Programs:

Plan the recovery and requalification of disused or underused structures within the program.

Demonstrate the program's ability to develop or consolidate direct and extended supply chain systems.

How May We Assist You

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We offer a complete and professional consulting service for the entire process of accessing the measure. With experience and expertise, we guide you in the accurate compilation of all the necessary documentation for the application, ensuring compliance with the required criteria and current regulations, respecting the deadlines, up to the precise accounting of eligible expenses, with continuous support to manage any verifications or requests for integration by the authorities.

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