Parliament gave a first reading to a draft law to introduce support measures for farmers affected by drought. From the moment of entry into force of that law and until October 31, 2025, a moratorium on the payment of outstanding debts will be in force. The bill was being examined against the background of the protest staged by farmers in front of the Parliament Building, IPN reports.

Farmers with at least 40% of the affected harvest, on an area of at least 40% of the land owned, will be able to benefit from these protective measures.

It is also proposed to introduce a new criterion, according to which farmers who manage no more than 1,800 hectares will also benefit from these measures. Another criterion says that indebted farmers must not be in insolvency proceedings confirmed by a court ruling.

The document also provides for the revision of the deadline by which farmers will have to notify creditors of the damage suffered by agricultural crops and will invoke the suspension of the obligation to pay outstanding debts. This notification can be made until February 28, 2025.

At the same time, the document of forced execution or other debt recovery measures will be suspended. Also, applications to initiate insolvency proceedings for overdue debts, resulting from loan and leasing agreements concluded until September 1, 2024 with banks, non-bank lending organizations or savings and loan associations, could not be submitted.

This provision also refers to debts arising from contracts for the sale and purchase or supply of phytosanitary products and seeds concluded until September 1, 2024.

The new provisions also ban, until October 31, 2025, the assigning of receivables without the debtor's consent.

The draft law is to be given a second reading.