The war in the Middle East and the resulting surge in fuel prices are putting Austrian farmers under immense pressure. The country's government is now responding with a diesel subsidy for agricultural and forestry machinery, allocating more than $100 million in support.
"The extra costs we're facing now are enormous," Vienna-based farmer Maria Trunner told CGTN while putting some more fuel into her grubber machine. "A tractor like this one holds just over 200 liters of diesel, and that only lasts a full working day when you're plowing."
High diesel prices have forced the 38-year-old to reconsider her business decisions. Twelve years ago, she took over her father's wheat and soybean farm. Back then, however, growing these machinery-intensive crops was far less expensive.
Now, some relief is on the way. The government has offered farmers a subsidy of 18 US cents per liter, covering both this year and next year.
"It's brilliant that the diesel subsidy is coming now. Otherwise, many farms wouldn't be able to find the cash to pay for fuel before the harvest," Trunner says.
But there may not be much of a harvest after all. Over the past six months, many regions of Austria have experienced their driest conditions in over 140 years, with experts warning this year's harvest could be down by 30%, maybe even halving. Add soaring diesel and fertilizer costs, and many farmers say their livelihoods are under serious threat.
"I think this year has been an extremely difficult one, we're experiencing severe droughts," says Norbert Walter, president of Vienna's Chamber of Agriculture. "And, of course, we would have liked to see more financial support for farmers. But with tight budgets, we have to be grateful that we've managed to secure any support at all."
Despite the diesel subsidy, the cost of running tractors remains too high for many farmers, prompting some to move away from wheat production and towards vegetable crops that require less machinery.
"If there are alternative crops that require less use of the tractor, it might well be more financially viable," Trunner says.
But vegetables also require more rainfall – something that has been in short supply this year. Difficult times for farmers in Austria, and across much of Europe.
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