Domicilation of CAP Subsidies

They are the set of grants given to European countries to develop their agriculture, make it profitable and provide farmers with income support. European agricultural policy is set by the EU, which is the organisation that determines how much money is allocated to each country.

By submitting a single application: Agricultural producers and stockbreeders can submit a single application for direct CAP grants. The submission period usually starts at the beginning of the year and remains open until the end of April. Complete the necessary forms: The forms that must be completed may vary depending on the specific grants that are requested. This may be done by farmers themselves using a digital certificate or electronic national ID card or through recognised collaborating entities. The CAP includes three types of grants for the agricultural sector, which are aimed at social, environmental and economic aspects:

1. Income support through direct payments: These grants ensure that farmers have a stable income and reward them for caring for the environment and offering public services that are not paid by the market, such as maintaining the countryside.
   
   
2. Sectoral market measures: These measures help farmers at difficult times, such as when there is a sudden drop in demand as a result of health scares or a drop in prices due to oversupply. They include programmes for fruit, wine and apiculture, and also more recently for traditional olive groves.
   
   
3. Rural development measures: These measures consist of national and regional programmes that address the specific needs and challenges faced by rural areas.

In order to be a grant beneficiary and be able to receive direct payments, one must be an actively engaged farmer and the activity must be significant.

It depends on the grant that is applied for. As a general rule, a minimum eligible area per farm of 1 hectare in non-irrigated areas and of 0.5 hectare in irrigated areas is required. Nonetheless, in the case of certain grants that are only targeted at eligible non-irrigated areas, a minimum eligible area per plot of 0.1 hectare and a minimum eligible area per holding of 0.5 hectare are required.

Being affiliated to the Social Security for your agricultural activity. Receiving at least 25% of your total income from the agricultural activity. Having received direct grants equivalent to or less than €5,000 in the preceding year. Not performing any activities that are incompatible with the grants. Farmers and stockbreeders who wish to apply for CAP grants must have the appropriate registry documents on the holding at hand and meet the specific requirements of the grant they wish to apply for.

The following types of grants can be differentiated among CAP grants:

1. Direct grants: these are grants which farmers and stockbreeders receive for producing certain products or also for maintaining the surface areas of their holdings in good condition. They are in turn divided into:

• Coupled grants: these are granted on the basis of production and crop volumes.
• Uncoupled grants: these are granted on the basis of the number of hectares.

2. Indirect grants: these are any grants that are received for objectives other than the above.