With the Organic Action Plan that Adema presented this week, the Ministry of Agriculture, Nature and Food Quality (LNV) will collaborate with the agricultural sector, food industry, and supermarkets to promote organic production and consumption.
Suppliers, processors, supermarkets, and banks play a major role in determining sales and pricing. The Agricultural Agreement will include arrangements designed to lead to revenue growth and better prices for farmers.
The investment fund is part of the Sustainable Agriculture Conversion Program, which also includes other subsidies that farmers can utilize. In addition, existing organic farmers and those converting can receive compensation under the National Strategic Plan (NSP), which is funded by European money from the Common Agricultural Policy (CAP).
The Netherlands has the ambition that within eight years 15% of agricultural land will be used for organic farming. Therefore, LNV is also extending the investment fund that currently makes it easier for farmers to obtain financing for transitioning to organic farming.
Minister Piet Adema says that the market for organic farming is still small and the conversion costs are still high. Organic farming must become a more attractive choice, with better prices for both consumer and farmer.
A team from LNV, the sector, and other interested parties will try to increase the sales of organic products. LNV also supports an awareness campaign for consumers about organic products.