Thousands of farmers from around Germany converged on Berlin's Brandenburg Gate in tractors on Monday to protest against government plans to abolish tax breaks for agriculture.
"We will not accept this," the head of the DBV farmers' association, Joachim Rukwied, shouted at the rally, which according to the organizers drew 8,000-10,000 people.
Many held banners with slogans like "Enough is enough" and "Tractors instead of tanks" as an estimated 3,000 of the farm vehicles also rolled into the capital.
An end to the favourable regulations on agricultural diesel and motor vehicle tax exemptions would be "a declaration of war," said Rukwied, who had already threatened major protests in January if the government went ahead with the cost-cutting plans.
"In which case, from January 8, we will be everywhere in a way that the country has never experienced before," he said.
According to the DBV, agriculture would lose almost €1 billion ($1.1 billion) if farmers cannot claim a partial refund of the energy tax on diesel, or have to pay vehicle tax on agricultural and forestry vehicles. The fuel subsidy currently allows them to buy agricultural diesel at a tax rate of 25.56 cents per litre compared to the full rate of 47.04 cents.
The German government is facing a roughly €17 billion budget gap for the coming year as the result of a landmark court decision against plans for debt-backed spending. It has justified the cut-backs in agriculture with the need to reduce climate-damaging subsidies.
However, Agriculture Minister Cem Özdemir, who was present at the rally, expressed sympathy for the farmers' grievances and promised further consultations within the government.
"I know that you have come here to Berlin with a huge amount of anger," Özdemir said to sporadic whistling and heckling. It was clear that more budget savings had to be made – but not disproportionately in agriculture, he told the crowd.
"I don't believe in cuts on this scale," he said. "That's why I'm fighting in the cabinet to ensure that it doesn't happen to this extent." Özdemir, who is from the Greens – one of three parties that comprise Germany's ruling coalition – had previously spoken of a disproportionate burden on farmers if the tax breaks are cancelled.
Finance Minister Christian Lindner from the pro-business Free Democratic Party (FDP), which forms the coalition together with the Greens and Chancellor Olaf Scholz' centre-left Social Democratic Party (SDP), has signalled a willingness to talk. "I am open to alternatives," Lindner told German media on Saturday.
The main opposition alliance, the CDU/CSU, sharply criticized the coalition's savings plans for 2024.
"Without any consideration, the federal government is putting German farmers in dire straits," CSU General Secretary Martin Huber said.
However, the environmental group Greenpeace said an end to the fuel subsidy needed to be seen in the context of record-breaking agricultural and food prices and agricultural subsidies.
"With all due sympathy for the farmers – making agricultural diesel cheaper by the state is expensive, harmful to the climate and should be abolished," said Greenpeace agricultural expert Martin Hofstetter. Contrary to the DBV's claims, the end of diesel subsidies will not result in a massive loss of farms, he added.
According to industry figures, the earnings situation in agriculture has recently improved. In the 2022-23 financial year, which ended in June, the average profit of farms rose to a record level of €115,400 – an increase of 45% on the previous year.
At the same time, falling prices for grain, oilseeds and milk have all eaten in to profit margins.
- Germany
- Tractor
- Strike
Source: www.dailyfinland.fi
