The Regional Secretary for Agriculture and Forestry stated that 2016 was a "year with some constraints in the agricultural sector, namely due to external factors." He stressed that "the challenges were overcome with the immediate response of the Government and the commitment of associations representing the sector, industries and farmers."
 
João Ponte pointed out that these challenges arise from "the decision to abolish the quota system in the European Union that penalises producers from peripheral countries and regions; they were substantially aggravated by the Russian ban on dairy products and the decline of consumption in major international import markets."
 
The Government of the Azores is undertaking all efforts to help the sector overcoming this unfavourable situation as best as possible.
 
In this regard, he stressed that the Government has been fighting in Brussels to defend specific measures to support regional producers. It has "implemented all possible measures" in the Region to support the sector within the resources available and the reach of its powers.
 
João Ponte pointed out, as an example, "the allocation of about five million Euros to specific measures for the milk sector. The amount is higher than the 4.8 million Euros that the European Union had initially allocated to the entire country."
 
In addition, the Government has implemented a series of measures, namely "the increase of 3.25 million Euros in the allocation of funds from the regional budget to the premium for milk producers under POSEI in 2015 and 2016 and the establishment of line of credit - SAFIAGRI III. The latter allows Azorean farmers to rely on a public reimbursement of 30% in the interest on loans for agriculture. It may encompass a volume of loans that increased to 140 million Euros at the last Council of the Government," added the government official.
 
These measures also comprise the creation of Agrocrédito, a support measure for Azorean agriculture in the form of a line of credit with low interest rates and PROAMAF - Programme to Support Agricultural and Forest Modernisation.
 
The government official also mentioned the relevance of ongoing investments in the Regional Slaughter Network, with the systematic increase in the number of cattle slaughtered in the archipelago's slaughterhouses and exported to external markets. This has contributed to the improvement of meat products, which has largely benefited the Azorean economy and meat producers.
 
João Ponte also stated that agricultural diversification is "an investment that is becoming increasingly important as the Region has great potential for fruit and vegetable production. It has already made significant advances in this area last year, either in increasing the number of producers or in expanding the cultivated area."
 
Moreover, the government official mentioned the work developed to improve the quality of vineyards and wine production processes as well as the significant increase in the cultivated area.
 
This trend will be consolidated in the coming years and reflects the Government's strategy to reinforce visibility in external markets.
 
We have also taken important steps in the field of animal production and health, nutritional quality of milk delivered to factories, size of farms, animal husbandry and genetic enhancement.
 
There has been an increase in the number of farms with access to water and electricity supply, which has brought several benefits for farmers.
 
The industry has heavily invested in modernisation with very significant investments in efficiency and processing capacity, namely in the emergence of new lines aimed at the production of differentiated products with higher value to conquer new markets.
 
"This shows a strong confidence of farmers and the industry in the future of one of the most important regional sectors in wealth generation and job creation," said João Ponte.
 
The Regional Secretary assured that, "although the challenges are huge, the Government of the Azores will always be focused on improving the results of the agricultural sector and rely on those who want to boost the industry."
 
João Ponte spoke at the end of a meeting with the Board of the Agricultural Cooperative of the East Coast of São Miguel Island. He reaffirmed the importance of the cooperation sector in the development of agriculture in the Region. It has "contributed to the improvement of farmers' income by promoting sales and prices paid to producers and reducing costs on farms."