economy

March 24, 2026

"Abolish excise duties like farmers in the region": State's "gift" is an insufficient measure before sowing

Before the start of sowing, Serbian farmers are facing increasing costs of key inputs, primarily fertilizers and fuel, whose prices are following global disruptions in the energy market. Although the state announces price caps and additional subsidies, producers warn that the calculation still doesn't add up – especially under conditions of stagnant purchase prices and increasingly certain climate risks.

"Abolish excise duties like farmers in the region": State's "gift" is an insufficient measure before sowing

TL;DR

  • Serbian farmers are facing significantly higher costs for fertilizers and fuel leading up to the sowing season.
  • Global energy market disruptions and geopolitical events are contributing to increased input prices.
  • The Serbian government has announced a price cap on fuel for farmers and increased excise tax refunds.
  • Farmers argue that these government measures are insufficient to cover their production costs, especially with stagnant purchase prices.
  • Climate risks, such as drought, are also a growing concern for farmers.
  • Experts suggest that transitioning to regenerative agricultural practices can help reduce production costs by decreasing the need for machinery, fuel, and artificial fertilizers.
  • Regenerative agriculture aims to improve soil health and fertility over time, potentially leading to similar yields with lower input costs.
  • The adoption of regenerative agriculture is limited due to a lack of awareness and education among farmers.
  • The article also notes that lower fertilizer use leads to reduced yields and quality, a trend exacerbated by the financial inability of many small producers to afford adequate fertilization.
  • Alternative fertilizers like organic and microbiological options are discussed, but availability of organic manure is limited due to a declining livestock population, and microbiological fertilizers are expensive.