Farmers do not always properly apply the regulations introduced last month in relation to the use of farmland, the Ministry of Rural Development's Deputy State Secretary for Legal, Administration and Agrarian Vocational Training Attila Simon said at a press conference in Budapest on Wednesday.

Mr. Simon said that the provisions of the Act on Agricultural and Forestry Land that relate to land use have been amended, meaning that requirements regarding the form and content of statements made by those who acquire valid leasehold rights to farmland have also changed. These, however, are still disregarded by many, he added.

The Deputy State Secretary said that the most important change was that both the leasehold agreement and the statement of acceptance made with relation to it must be made within a public document or a fully private document providing full evidence.

Changes relating to content involve the fact that those with leasehold rights must provide the necessary statements in accordance with the land trade act. They must officially state that they conform to the requirements regarding farming of agricultural production organisations, and that the area of farmland within their estates does not exceed 1200 hectares. In addition, they must also state that they wish to lease land because they wish to perform farming activities on the land themselves.

These statements are integral parts of the contract and the package of documents that must be submitted to the land office, the Deputy State Secretary stressed.

Mr. Simon indicated that no official authorisation is required to conclude contracts during this transitional period until 30 April. However, he also drew attention to the fact that people who make false statements can expect to face sanctions. If such discrepancies are discovered during the course of future monitoring, the agreement concluded will become invalid and a fine will be imposed by the authorities equal to the amount of funding the farmer has received during the period of leasehold; such fines can be collected just like taxes.

The Deputy State Secretary indicated that the statements that farmers must now make until 30 April will no longer be needed in future, because from that time the nation agricultural producers' database will begin functioning. A similar national database will also be established with regard to land use, and starting on 1 May 2014, the authorities will gain information from only these databases.

Pest County Director of the Hungarian Chamber of Agriculture Mihály Péter said that the NAK was helping farmers apply the new regulations.

(MTI)