Turkey: New Turkish Agricultural Policy and Projected Impacts

Turkey will start to implement a new subsidy program for agricultural products in 2017, the National Agriculture Project, which has an anticipated annual budget of nearly US$4 billion. According to announcements thus far, the country of Turkey will be divided into 941 agricultural basins based on climate and soil to subsidize 19 strategic crops, with a specific set of crops for each basin. It is expected that planting area of corn will decrease by an amount up to 30 percent in MY 2017 in response to the new policies because the Turkish Grain Board, a favorite buyer for Turkish corn farmers, likely won’t purchase corn from farmers in basins where corn is not on the subsidized list. Livestock subsidies will be increased in 2017 with the aim of boosting livestock inventory in Turkey and reducing feeder cattle imports.

Turkey: New Turkish Agricultural Policy and Projected Impacts