Increase in Drought-Stricken Areas
The recent drought in Hungary has caused significant damage to crops, with hundreds of thousands of hectares already showing signs of distress. According to the Ministry of Agriculture, farmers across the country have declared drought damage on over 300,000 hectares of land as of August 26th this year. Maize and sunflowers are the most affected crops, accounting for 80% of the damaged area, followed by alfalfa and soybeans.
While some regions in the northern and north-western parts of Hungary have seen some relief from the drought, the situation remains dire in the Great Plain and southern Transdanubia. The lack of rainfall has worsened in these areas, leading to a dramatic increase in the number of drought-damaged areas. Even a recent rainfall on Tuesday did not alleviate the situation.
Farmers have until September 30th to declare their drought losses under the relevant legislation, and the final extent of the damage will only be known after that date. The past few years have seen varying levels of drought damage, with 2022 being the most severe.
The government office will calculate compensatory allowances based on the declared damage and expected yield loss. Farmers can apply for compensation electronically through the Hungarian State Treasury from November 2nd to 30th. The amount paid for drought damage has ranged from HUF 6.87 billion (EUR 17.4 million) in 2019 to HUF 49.73 billion (EUR 126 million) in 2022.
Despite the challenges posed by the drought, estimates suggest that there may not be a need to import maize this year. However, unforeseen factors could still impact the actual harvest. The agricultural sector in Hungary is facing a tough year due to the dry conditions, but support measures are in place to assist affected farmers.
Source: World Farm, Image via Pixabay.
