Subsidies to Modernise the Balearic Countryside in the Face of Climate Change

The project promotes agricultural investment to improve productivity, savings and resilience

What does it consist of?

Farmers in the Balearic Islands will benefit from a new line of support to modernise their production systems and adapt to climate change. The project aims to reduce costs, make the sector more competitive and support investments in energy efficiency, sustainability and added value in a particularly difficult economic context.

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Data

PROJECT TITLE IN THE CALL
Investment in the modernisation and adaptation to climate change of agricultural holdings
LOCATION
Mallorca, Minorca, Ibiza, Formentera
Entity submitting the PROJECT
Govern de les Illes Balears
Entity that executes the project
Fons de Garantia Agrària i Pesquera de les Illes Balears (FOGAIBA)
Project code
ITS2023-023
Total project amount
6.000.000 €
ITS granted amount
6.000.000 €
Executed amount
5.985.398 €
Call year
2023
Execution status
Executed
Purpose
Environment
Budget execution
Executed: 99.76%
Last data request
13.03.2026

The project

The primary sector plays a modest role in the Balearic economy in terms of its contribution to GDP, but its territorial and environmental significance is far greater. Crop and livestock farming take up a large part of farmland and forest across the archipelago; this means their continuity affects not only food production, but also the landscape, the ecological balance and the maintenance of the rural environment.

Against this background, the project aims to strengthen the adaptability of farms through investments to improve competitiveness. Insularity makes costs more expensive, limits economies of scale and forces them to compete under less favourable conditions than in other regions. For this reason, one of the key goals of this action is to ensure improvements that reduce dependence on raw materials, make processes more efficient and raise the value of products.

The initiative will provide FOGAIBA (Balearic Islands Agricultural and Fisheries Guarantee Fund) with €8.6 million to subsidise investments in farms across the four islands. The aim is to allow crop and livestock farmers to adopt technologies, equipment and practices that contribute to both climate change mitigation and adaptation, while strengthening the profitability of their businesses.

Beyond direct support to the sector, the measure is intended to be an investment that benefits the entire region. In a region where 87% of the land is used for farming and forestry, improving the capacity of these farms to remain active also means protecting the land and sustaining an activity which, although minor in macroeconomic terms, continues to be crucial for balance in the Balearic Islands.