on financial instruments under the European
fi-compass is a platform for advisory services
Structural and Investment Funds (ESIF)
be an important tool for boosting EU agriculture.
Investments, in a variety of forms, will help create a modern, dynamic agri-food
sector to create jobs and enhance growth in the EU. Financial Instruments will
Financial instruments using the European Social Fund
can support a wide range of financially viable
investment projects

Factsheet (Potential role of market responsive EAFRD financial instruments Feasibility study – initial findings)


Price volatility in agriculture can discourage farm investments and hinder farmers’ access to affordable finance. Ultimately, it can negatively impact on the achievement of rural development policy objectives. Financial instruments, supported by the European Agricultural Fund for Rural Development (EAFRD), could play a useful role in helping to mitigate the impact of such issues. As part of fi-compass activities, Directorate General for Agriculture and Rural Development (DG AGRI) at the European Commission and the European Investment Bank have started a study into the feasibility of a market responsive financial instrument supported by EAFRD. The study is seeking to assess:

  • The market needs and gaps for a market responsive financial instrument in the dairy sector
  • The potential to build on/replicate an existing fund called “MilkFlex” in Ireland
  • The key success factors and possible value added of a such an instrument
  • Potential replicability in other agricultural sub-sectors

This brochure provides some initial information from the study.

1 Methodological advice
FI phase: