German Farmers Protest Against Proposed Tax Increases

Agriculture Minister Cem Özdemir Promises Reevaluation of Measures Amid Concerns of Bankruptcy in the Farming Sector

German farmers protested in Berlin against the government's plan to cut tax breaks for diesel used in agriculture, a move aimed at filling a €17 billion hole in the 2024 budget.
The tax increases, which farmers say would cost the sector about €1 billion per year, were part of a compromise reached by the governing three-party alliance to find alternative sources of funding after a court ruling deemed the use of 'special funds' unconstitutional.
Agriculture Minister Cem Özdemir, who spoke at the protest, expressed reservations over the plan and promised to push for a reevaluation of the measures, which still require parliamentary approval.
The farmers' biggest worry is that the tax increases will force many in the sector, which already faces razor-thin margins, into bankruptcy.
The coalition would still have to find the money it hoped to generate through the farm sector taxes elsewhere if the decision is reversed.