Grants for Agricultural Enterprises – Funding for Diversification Investments (FRL-FID)

Agricultural enterprises in Saarland, especially SMEs and sole proprietorships, that want to develop additional income sources outside of primary agriculture, receive support. The goal is to strengthen economic power in rural areas and secure jobs.

Investments to create additional income sources in agricultural holdings in Saarland are funded. This includes construction measures, the purchase of new machinery and equipment, and general expenses such as planning and consulting services. Projects related to primary agriculture (Annex I products), ongoing operating expenses, or energy installations eligible for EEG (Renewable Energy Sources Act) funding are excluded.

Funding is provided as a grant in the form of project and co-financing. The minimum investment volume is 30,000 Euros, and the maximum grant is limited to 249,000 Euros per application, for an eligible investment volume of up to 3 million Euros. The funding rate is generally up to 25% of eligible expenses but can be higher in specific cases.

Applicants must be agricultural enterprises that meet certain turnover and size criteria and are not companies in difficulty. An income ceiling must be observed. The funding is tied to compliance with EU regulations, particularly de minimis rules. There are specific conditions for certain investments and clear exclusions for non-eligible costs and companies.

The complete application, with all required documents, must be submitted to the Ministry for Environment and Consumer Protection by January 31 of each year. Selection is based on a point system, and approval is at the discretion of the authority and depends on available budgetary funds.

The funding is based on the Guideline for the Granting of Subsidies to Agricultural Enterprises in Saarland (Agricultural Investment Promotion and Diversification) FRL-AFP/FID of January 2, 2019. It is supplemented and specified by EU regulations, the Saarland Rural Development Program 2014–2020, the GAKG (Joint Task for the Improvement of Agricultural Structures and Coastal Protection Act), and the Saarland Budget Code.