Key Benefits:
The Minister of Economy, Finance and Industry, the Minister of Agriculture, Food, Fishing and Rural Affairs and the Minister Delegate to the Budget and the Minister Budget reform, Government Spokesperson,
Given the Rural Code, including articles R. * 341-4 and R. * 343-3 to R. * 343-18-2;
In light of Decree No. 2004-1308 of 26 November 2004 on aid for the installation of young farmers, to Some medium-term loans and changes to rural code,
Stop:
This Order sets out the financial conditions for the medium-term loans referred to in Article R. * 341-4 and Article R. * 343-13 et seq. Of the Rural Code, for installation projects approved as from 1 December 2004.
The special installation medium term loans referred to in R. * 343-13 et seq. Of the Rural Code are accompanied by a 2 % interest rate if the borrower's operation is located in the agricultural areas Disadvantaged by Articles R. 113-13 to R. 113-17 of the Rural Code, and 3.5 % outside these areas, during the period in which they receive a subsidy.
The period during which special installation medium term loans benefit from a state subsidy is 15 years in the agricultural areas Disadvantaged and twelve years outside these areas.
The maximum amount of grace period for special medium term loans is set at three years. This period may exceptionally be exceeded for investments of perennial crops, but may not exceed one third of the total duration of the loan.
1 ° The production ceiling for special installation medium term loans, referred to in Article R. * 343-16 of the Rural Code, is equal to EUR 110 000 for the same Recipient.
2 ° Within the limit of the amount fixed in 1 ° of this Article, the maximum amount for financing the acquisition of land and social units representative of land, referred to in Article R. * 343-15 of the Rural Code, shall be fixed at 20 000.
3 ° The minimum amount of implementation of the special medium-term loans for installation, to request a special modernisation loan under the conditions laid down in Article R. * 343-15 of the Rural Code, is set at EUR 90 000.
The medium-term loans referred to in Article R. * 341-4 of the Rural Code are allocated to the same financial conditions as the medium-term loans for the installation of this Order. However, investments made with special medium-term loans to farm groups in common may not be financed for more than 70 % of their non-tax amount after deduction of all public aid May also be granted.
The September 11, 1991 Order relating to special medium-term loans to young farmers is being repealed.
The provisions of section 4 of this Order also apply to approved installation projects before December 1, 2004.
The Director General of the Treasury and Economic Policy at the Ministry of Economy, Finance and Industry, the Director of Financial Affairs and the Director The Ministry of Agriculture, Food, Fisheries and Rural Affairs and the Director of the Budget in the Ministry of Budget and Budget Reform shall each be responsible for The execution of this Order, which shall be published in the Official Journal of the French Republic.
Done at Paris, 30 December 2004.
Minister of Agriculture, Food,
de la pêche et de la ruralité,
Dominique Bussereau
Minister of Economy,
Finance and Industry,
Hervé Gaymard
The Minister Delegate to the Budget
and Budget Reform,
Government Spokesperson,
Jean-François Copé
