Saturday, January 6, 2024

What Is This German Farmer Strike All About?

 Well....mostly the cost of diesel fuel.

If you run a successful German farm....there's probably three to five vehicles involved, and they all run off diesel.  Current cost per liter for diesel?  1.72 Euro.  Yeah....so it's a big deal.

Up until the end of 2023....there was a plan to use funds from a supplemental budget....to help farmers pay for diesel fuel in some fashion.  That supplemental budget got tossed by the court system.  On priorities with the coalition....farmers weren't high on the list.

So there's been frustration building up over the past month.  The coalition came out in the past week and said a 'deal' was achieved.....just  that it won't be as good as it was before.

In simple terms.....a tax relief for 'agricultural diesel' would exist....but would be reduced by 40 percent this year.  For 2025 and 2026, there would be further reductions of 30 percent each, until it is completely deleted.

To reach full happiness with the farmers?  The money simply isn't there.

The Ministry of Agriculture?  They had a talk and said 'more talk' with farmers was possible, but presently.....there's no more money in the bucket.

What's curious is that there was talk of a new tax on grocery stores discussed....this relating to a special tax on on plastic bags, cigarette butts and disposable drink cups, for example. 

So as you shopped in your grocery....buying things....you'd pay revenue into the system for the farmers to benefit in some way.

Yeah, there's more inflation invented with this.

All of this disturbing public sentiment?  2023 was a year with a fair amount of strikes and people talk about this more than ever. 

1 comment:

Schnitzel_Republic said...

In the case of Ukraine....if Putin's crew had run a successful 21-day war and taken Kiev....providing massive assistance to Ukraine would not have happen.

In the case of Putin's short-war, almost two years now, public opinion swayed to provide 'help'...which eventually meant war materials.

Last week, I read among the 11-million migrant workers legally in Russia (not even the illegals without papers)....there's some effort to grab them off the street...recruiting for immediate service in the Army. Merely the rumor which (whether partially true or 10-percent true)...started a discussion of exiting Russia. If this crew exits...a whole lot of commercial operations will suddenly collapse without the manpower. If you were looking for the next level of crisis in Russia....this would be it...no one to do the crap-work, except Russians.