Bulgaria – an ideal business environment

Program for Rural Development

Program for Rural Development is the successor for the SAPARD program. The majority of existing measures under SAPARD will continue to apply, but with a partial change in conditions. The program subsidizes investments in agriculture, manufacturing, forestry as a purchase of agricultural farm equipment, advanced production equipment, technological lines, machines, construction of storage facilities, water treatment plants, establishment of farms, orchards, greenhouses, vineyards and more. In rural communities to support projects to improve infrastructure, repair of roads, street paving, plumbing systems, starting a small business, rural tourism and other alternative activities. This Program is the biggest europrogram with budget for period of 3,24 billion euro. The advance payment is in amount of 20 % and there is option for interim payments.
Program for Rural Development 2007 – 2013 aims to:
• Improving the competitiveness of agriculture and forestry by supporting restructuring, development and innovation;
• Improving the environment and the countryside through support for land management;
• Improving the quality of life in rural areas and encouraging diversification of economic activity in these areas.
• Priority 1 – Development of competitive and innovative agriculture, forestry and food industry by etablishment of young farmers; modernisation of agricultural holdings; Improving the economic value of forests; Adding value to agricultural and forestry products; Supporting semi-subsistence farms; Establishment of producer organizations;
• Priority 2 – Protection of natural resources and the environment in rural areas
• Priority 3 – Improving quality of life and diversification of employment opportunities in rural areas by Diversification into non-agricultural activities; Support for the creation and development of micro; Encouragement of tourism activities; Basic services for the economy and rural population; Renovation and development of villages.


Priority 1 – farmers, semi-subsistence farms, young farmers, producer organizations, who are employed in agriculture and forestry, including forest owners. associations – private and public, micro, small and medium enterprises in the food processing sector, institutions or organizations (public or private) providing consulting services, training and information activities;
Priority 2 – farmers in disadvantaged areas, farmers wishing to engage in organic farming, including forest owners. associations, owners and / or users of forests and agricultural land, whose land is covered by the European ecological network Natura 2000;
Priority 3 – rural municipalities (listed in Appendix № 6 of the RDP): farmers, microenterprises, municipalities, non-profit organizations (including community centers), legal entities and individuals, educational institutions and qualified;


Possible activities for 2013:
• Tourism infrastructure (Measure 313)
• Upgrading of roads, water and sewage systems (Measure 321)
• Modernization of the educational and social infrastructure (measure 322)

Under Measure 313 financial assistance is available to small municipalities with fewer than 10,000 people and non-governmental organization based in these municipalities. Financial assistance is for investments in building or reconstruction tourism infrastructure, development and marketing of tourism products. Maximum amount of financial assistance is in the amount of 200,000 euro.
Under Measure 321 financial assistance is available to municipalities and non-government organizations. Eligible expenses are for building, reconstruction of municipal roads and building and reconstruction of water supply and sewerage systems. The maximum amount of investment projects is 3 million euro if project is a municipal and 500 000 euro if beneficiary is non-government organization.
Under Measure 322 beneficiaries could be 178 rural municipalities, legal non-profit entities. Eligible costs for one project are 1 million euro if beneficiary is rural municipality.

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