Portugal: another €15 million (≈ $16.8 million) for farmers' diesel, 10-cent-per-liter discount stays through the end of 2026

Portugal's Ministry of Agriculture and Sea said on November 2 that an additional €15 million (≈ $16.8 million) will go to emergency support for fuel costs in agriculture and forestry. This keeps the payment of 10 cents (≈ $0.11) per liter of dyed and marked diesel in place through the end of 2026.

Key figures

• Added funds: €15 million
• Support: 10 cents/liter
• Through end of 2026
• Azores: up to €1.25 million
• Madeira: up to €250,000
• Paid by: IFAP

What changed

The order was signed by the finance minister and the minister of agriculture and sea. It extends an emergency measure created to soften rising fuel prices. The decision came after an assessment of energy markets: the government believes the circumstances that gave rise to the mechanism are still in place. The money will go into the budget of the Agriculture and Fisheries Financing Institute (IFAP), which pays the support to recipients.

Payment schedule

The money will arrive in stages:

• Support for July and August 2026 consumption is paid in October 2026.
• After that, payment arrives at the end of the second month following the month of consumption.
• For example, November fuel will be paid for at the end of January.
• Azores: additional support of up to €1.25 million (≈ $1.4 million).
• Madeira: additional support of up to €250,000 (≈ $280,000).

What it means for farmers in Portugal

Support of 10 cents per liter lowers diesel costs for field work, but it arrives nearly two months late, so a farm still has to buy fuel out of working capital. The measure has been announced through the end of 2026, which means the 2027 fuel budget should be calculated without it for now. When planning costs, it helps to work out annual diesel use per hectare: against that backdrop, machinery fuel economy becomes a noticeable cost item.

Background

Minister of Agriculture and Sea José Manuel Fernandes said the stronger support is a response to the sharp rise in fuel costs and should give farmers predictability and stability. The government calls the measure an important tool for softening rising energy costs in agriculture and forestry.

Source: Government of Portugal, Ministry of Agriculture and Sea