Agriculture Needs Change: Public Funds Should Drive Progress, Not Patronage

Agriculture Needs Change: Public Funds Should Drive Progress, Not Patronage

The “PARTNERING FOR THE FUTURE: BIOEAST and Beyond” conference, held under the auspices of Hungary's 2024 Presidency of the Council of the European Union, was an inspiring event. It showcased rich content, policy discussions, and collaboration opportunities, bringing together experts striving for innovation in agriculture.

Hungary’s Minister of Agriculture, István Nagy, delivered a keynote address at the gala dinner, calling for collective support to tackle challenges and enhance the country’s agricultural success. However, a deeper dive into the Ministry’s actual support mechanisms reveals a troubling disconnect between words and actions.

Missed Opportunities for Innovation

During a conversation with a Ministry representative, I learned that no funding, pilot support, or advisory services are available for technology solutions aiming to improve soil health, optimize fertilizer efficiency, or reduce fungicide use. The rationale? There are already “over 850 input materials available.” This blanket dismissal raises questions about how Hungary evaluates the potential of new technologies to transform its agricultural sector.

Despite the lack of support, our project - a biostimulant technology - has achieved significant milestones, including regulatory testing and patents in Europe and the U.S., without any Hungarian public funding. Yet when we sought help from the Ministry’s agricultural attachés to explore export opportunities, we were met with silence and internal opposition. Even the Ministry of Foreign Affairs, which could have bridged this gap, deferred to avoid stepping on the Agriculture Ministry’s toes, citing political considerations.

A Broader European Challenge

Hungary’s case reflects a broader European issue. One panelist at the conference highlighted how technology companies are increasingly moving operations elsewhere due to inconsistent policies, lack of funding, high energy costs, and limited market rollout opportunities. This exodus undermines Europe’s resilience and competitiveness, leaving it at a crossroads.

Europe cannot afford to be complacent. Incremental internal improvements won’t suffice to maintain global competitiveness. Bold, realistic strategies free from ideological constraints are urgently needed. Talent and technology flow to where opportunities are nurtured - not where bureaucracies hinder progress.

The Role of EU Funding

A recent article in Index.hu spotlighted Hungary’s agricultural sector’s struggles and the significant EU funds available in the coming years. Yet if these funds exist, why are technology developers still expected to fend for themselves? Where is this money going, and how will it drive meaningful progress?

https://index.hu/gazdasag/2024/12/05/agrarium-mezogazdasag-tamogatasok-beruhazas-papp-zsolt-gyorgy-nemzeti-agrarkamara-nak-kap-fenntarthatosag/

For those seeking clarity, The Guardian’s investigation into billionaires benefitting from EU agricultural subsidies offers sobering insights. It’s a wake-up call to rethink how public funds are allocated to ensure they drive real, measurable outcomes instead of perpetuating inefficiencies.

https://www.theguardian.com/environment/2024/nov/03/revealed-billionaires-ultimate-beneficiaries-linked-to-eu-farming-subsidies

KYC in Agriculture: Know Your Clients, Not Just Your Voters

The concept of “Know Your Customer” (KYC) is critical in banking and equally applicable to agriculture. Technology providers like us have adapted to the needs of our clients, focusing on improving their systems' profitability and sustainability. We’re not trying to overhaul the system but contribute to its success. Yet politically motivated roadblocks make us question the long-term viability of operating in such an environment.

A Call for Change

Despite these challenges, there are bright spots. Organizations like EIT Food have provided invaluable support, underscoring the importance of fostering innovation within Europe. We remain committed to collaborating with such partners to enhance Europe’s agricultural competitiveness.

The Hungarian Ministry of Agriculture, and Europe more broadly, must prioritize creating an ecosystem that attracts technology, talent, and investment. Public funds should not be tools for political patronage but catalysts for real progress. Agriculture needs change - now more than ever.

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