The Cabinet decided on Tuesday to push back to 1 January 2028 the requirement for farmers to hold a valid licence for the use of state forest land as a condition for receiving subsidies from the Cyprus Agricultural Payments Organisation (CAPO). The decision also provides for transitional and support measures from the Forestry Department to help affected farmers comply with the licensing framework.
The move gives affected farmers, particularly in the Kokkinochoria region, the time they need to adjust to the new licensing regime without facing a sudden loss of the subsidies they currently receive.
The proposal was submitted by Agriculture Minister Christos Senekis in response to an urgent issue facing a number of growers, particularly in the Famagusta area. The extended deadline gives affected farmers the time to adapt to the new licensing regime without an abrupt loss of their subsidies or complications tied to producers' multi-year commitments.
A condition
A Cabinet decision of 15 February 2022 had set 31 December 2022 as the date on which all existing licences for the agricultural and livestock use of state forest land would expire, with new licences to be issued only in cases of lawful use, free of serious violations or outstanding debts. At the same time, holding a valid licence was made a condition for receiving CAPO subsidies.
A subsequent Cabinet decision on 23 December 2025 pushed the start date of that condition from 1 January 2023 to 1 January 2026. Farmers using state forest land, mainly in the Kokkinochoria, then requested a further transitional arrangement extending to the end of the current CAPO programming period, on 31 December 2027, so that subsidy payments could continue while they were given the necessary time to comply with the regulatory framework. As a result, the extension of the licensing requirement to 1 January 2028 was proposed and approved.
Agricultural subsidies
According to the rationale behind the ministerial proposal, the arrangement ensures a smooth transition to the new licensing regime, giving affected farmers sufficient time and institutional support to regularise their use of state forest land, resolve any unacceptable agreements and settle their financial obligations. It also avoids a sudden loss of agricultural subsidies during the current programming period, supporting the continuity of farming activity and the sustainability of rural areas.
The Cabinet decision does not remove the underlying obligation to comply with the licensing framework. The Forestry Department will proceed with the necessary transitional and support measures, guiding affected farmers towards securing a valid licence, ending any unauthorised interventions and settling any outstanding debts.
