Income support

The new CAP is linked to a significantly higher budget for core agricultural payments. Austria has around 678 million euros a year at its disposal for direct payments. They stabilise the income situation and provide planning security, especially in times of multiple crises.

Basic income support for sustainability (basic payment)

With around 483 million euros (71 %), the basic payment for homestead land (“Heimgutflächen”) continues to account for the largest share of direct payments. The basic payment is granted for each eligible area in the form of a uniform per-hectare premium, with a differentiation being made between homestead land and alpine pastures.

• Basic payment for homestead land: About EUR 208/hectare (arable land, permanent grassland and permanent crops).
• Basic payment for alpine pastures: Around EUR 41/hectare.

The maximum basic payment per holding is EUR 100,000 (“capping”). Wages related to the agricultural activity, including taxes and social contributions related to the employment, can be considered, provided that they appear in the last available wage account and that compliance with the collective agreement regulations can be proved by means of service contracts or service slips.

Complementary redistributive income support (redistributive payment)

The new CAP focuses on a fairer distribution and more effective targeting of direct payments. With an average farm size of 25 hectares, Austrian agriculture has a very small structure compared to the rest of Europe. In order to further support these structures, a redistributive payment totalling 67.8 million euros is provided in Austria. This corresponds to 10 % of the ceiling for direct payments. This additional payment for the first 40 hectares of homestead land (other than alpine pastures) will provide even greater and more targeted support than before for small-scale family farms.

The redistributive payment is granted for all holdings in two stages: In the first stage, up to 20 hectares, the premium is twice as high as in the second stage:

• 1^st stage: Up to 20 hectares: About EUR 44/hectare.
• 2^nd stage: > 20 to 40 hectares: About EUR 22/hectare.

Complementary income support for young farmers (payment for young farmers)

Young farmers are the future of Austrian agriculture. In order to provide young people who have newly set up for the first time with targeted support, 14.2 million euros are dedicated to a payment for young farmers in the 1st pillar. This corresponds to 2.1 % of the direct payment ceiling (for more information, see article Support for young farmers).

Direct payments for alpine farming

For alpine pastures, a total of 30 million euros are provided in the 1st pillar: 12 million euros for the basic payment for alpine pastures and 18 million euros for the coupled alpine pasture premium for cattle, ewes and goats (for more information, see the article Support for alpine pastures