A new joint fund will see agricultural producers chip in a percentage of their profit and recoup losses when facing difficult times.

Finance Minister Tonio Fenech yesterday announced the setting up of a joint fund between producers and the Government.

When producers register the expected profit, they allocate a percentage to the fund and the Government contributes the same amount. When they do not reach these targets, parts of their losses are recouped through the new fund.

The scheme will cost €300,000.

The Government will also be presenting a scheme that will balance out the financial burden carried by farmers who pump water for their animals through the Water Service Corporation mains while fellow farmers use groundwater.

A scheme announced last year, which will help ease farmers’ burden of fuel expenditure, will be implemented.

Mr Fenech added that the Government would be investing €4 million in the Pitkalija’s infrastructure and information system.

In the case of fishing, €3 million will be invested in a fish market in Marsa this year. More than €6 million is being allocated over three years for a project that will see the construction of a new breakwater and the restoration of an existing breakwater at Marsaxlokk Port.

This year, the Government announced the provision of VAT exemption on diesel to fishermen and this initiative will be extended to 2013.

The Finance Minister noted that the Government was aware of the eventuality of a closed season for fisheries, such as tuna catches. In this case, the Government will launch an administrative scheme whereby fisherman can be financially compensated and be able to cover their social security contributions during this inactive period.

Nearly €165,000 will be allocated if the season remains closed for four weeks, €247,380 if it closes for six weeks, €410,300 for 10 weeks and €535,990 in the eventuality of 13 weeks.