PARIS, Sept 4 (Reuters) - France on Friday announced more than €1 billion ($1.16 billion) in aid for farmers after record heatwaves and drought caused major damage to crops, pastures and water supplies.
The support comes as the government is working on a politically perilous budget for next year, with Paris seeking to keep the deficit under control ahead of a 2027 presidential election.
"One billion euros represents a massive effort given the current budgetary context," Agriculture Minister Annie Genevard told reporters.
About half of the package, at €520 million, will be used to provide rapid payments after weather damage, she said.
The aid plan also creates a local recovery fund to help farms buy seeds, plant and animal feed after droughts have left farmland parched. Further measures include land-tax relief, help with social-security payments and fuel subsidy.
France's main farmers' union, the FNSEA, said agricultural production losses this summer would surpass €10 billion, with more than €5 billion already estimated for both livestock and crop sectors.
Another heatwave is expected this week in the European Union's largest farm producer.
(Reporting by Sybille de La Hamaide, Gus Trompiz, Dominique Vidalon, Sudip Kar-Gupta, editing by Inti Landauro and Tomasz Janowski)
