How to obtain subsidies for the modernization and automation of agricultural technology

Are you considering investing in modern agricultural technologies – for example, in business automation, precision farming or digitization of agronomic decision-making processes? Then it is ideal to consider how to use public support in the form of subsidies, especially from the the Rural Development Program (RDP), but also from other sources.

With a well-prepared application, you can:

    • save hundreds of thousands to millions of crowns from acquisition costs,

    • improve the long-term economic health of the company

Dotace na chytré technologie v zemědělství

What types of subsidies can you take advantage of?

1. Subsidies from the Rural Development Program (RDP)

The RDP is a tool for co-financing agricultural investments in equipment, technology, and innovation. As part of the operation Investments in agricultural holdings , you can apply for, for example:

  • Precise seed drills with variable seed application options 
  • Fertilizer spreaders with GPS and weighing system
     
  • Agricultural ISOBUS technologies
     
  • Weather stations, sensors, and monitoring
     

Subsidy amount: Up to 50% of eligible costs, up to 60% for young farmers or LFA areas. The minimum investment amount is usually CZK 250,000 or more, with no fixed upper limit.

2. National subsidies from the Ministry of Agriculture

Every year, the Ministry of Agriculture announces national subsidies, some of which enable the purchase of modern technology or consulting services. These may include, for example:

  • Subsidy title 9.F.d. – Support for precision farming
     
  • Acquisition of of technologies for more sustainable management and automation of operations
     

Who is eligible for the subsidy and what requirements must be met?

If you want to draw on agricultural investment subsidies, especially under the RDP (Rural Development Program), you must meet several clearly defined criteria. These are not just formal requirements, but also proof of the economic stability and feasibility of the project.

Who is an eligible applicant?

  • Natural person engaged in business (e.g., a sole proprietor registered as an agricultural entrepreneur) 
  • Legal entity (e.g., limited liability company, joint stock company, cooperative) whose main activity is agriculture

The condition is that:

  • The applicant is registered in the Register of Agricultural Entrepreneurs (EZP).
     
  • Has been actively engaged in agricultural activities for at least the last 12 months 
  • Reports at least 30% of income from primary agricultural production (according to the latest tax return) 
  • It is not in liquidation or bankruptcy, has no outstanding debts to state institutions (not only at the time of application, but also for the duration of the subsidy – at least 3 years, more often 5 years).

 

What documents do you need to submit with your application?

In order for your application to be considered valid, you will need:

  • Tax returns for the last 2 years (SZIF requires the latest tax decisions, financial statements, or confirmation from the tax office)
  • Profit and loss statement (the statement is a standard part of project documentation according to SZIF manuals)
  • Price quotations for the planned investment (for investments up to CZK 500,000, a minimum of two independent quotations is sufficient. Above this amount, a tender procedure with a minimum of three quotations is required).
  • Description of the project and its benefits for the company (Each application must include a detailed technical and economic description of the project, along with a justification of how it will contribute to increased efficiency and revenue.)
  • Land registry (it is necessary to provide title deeds for land, buildings, or rental agreements in the case of leases)
  • Proof of no outstanding debts (the applicant must not have any outstanding payments to the tax authorities, the Czech Social Security Administration, health insurance companies, or the State Agricultural Fund)
  • Financial statements confirming economic performance (financial statements from, for example, FADN or accounting books are required to prove economic sustainability)

How to proceed when applying for a modernization grant?

Obtaining a grant can fundamentally change the economics of your business. If you want to maximize your chances of success, it is crucial to proceed systematically and prepare a project that stands up not only in terms of formalities, but also in terms of logic, return on investment, and benefits for your farm.

1. Prepare a detailed business plan and technical and economic analysis.

The success of an application begins with high-quality project preparation. It is not enough to know that you want a new seed drill—you must describe exactly which one, why, for how much, and what benefits it will bring.

Focus on these parts:

  • Project description: what you are purchasing (type of technology), how it will be used, and what problems it solves.

  • Technical Specifications: specific machine parameters, e.g., GPS control, ISOBUS compatibility, variable dosing option, etc.

  • Economic return: Calculate your return on investment with and without the subsidy – the more accurate your calculations, the more sense the subsidy will make for your business.

Use historical data from the Agdata system (e.g., records of applications or input consumption) as a supporting argument in your grant application. This data serves more as added valuerather than a requirement.

2. Keep track of current calls for proposals and selection procedure conditions

Most subsidy titles (especially PRV) are announced in the form of time-limited calls. These are often open only for 4 to 8 weeks, so it is necessary to monitor the situation on an ongoing basis.

Where to watch:

  • SZIF farmer portal – the official portal for accessing calls for proposals, documents, and submitting applications.

  • Website of the Ministry of Agriculture – information on national subsidies.

  • Cooperating consulting firms and agencies – often provide emails with current challenges.

Before submitting your application, carefully review the terms and conditions of the call. Each title has its own requirements for:

  • Minimum and maximum investment amounts

  • Type of eligible equipment

  • Requirements for documentation of selection procedures

  • Point scoring (e.g., preferential treatment for LFA areas, young farmers, etc.)

3. Secure high-quality supplier offers and comparisons

The application almost always includes documentation of price quotes from various suppliers for comparable equipment. And this is where many applicants unnecessarily lose points or fail to obtain a subsidy at all due to formal errors.

What to watch out for:

  • Offers must be comparable – i.e., the same or very similar equipment.

  • There must be no suspicion of collusion. – therefore, it is advisable to choose from different entities, not just from one dealer chain.

  • Keep an eye on service facilities, warranty conditions, and technical support. – this can also be an evaluating factor.

  • Compatibility with current systems on the farm – e.g., ISOBUS connection to tractors, communication with Agdata software, possibility of processing application maps.

4. Project implementation and documentation of expenses

After your application has been successfully approved, you will receive a decision on the provision of a subsidy – and this marks the beginning of the second phase, i.e. implementation of the investment and proof of expenditure.

How to proceed correctly:

  • Adhere to implementation deadlines – Most calls for proposals anticipate implementation within 12–24 months.

  • Carefully archive invoices, contracts, delivery notes, photographic documentation, and acceptance reports. – You will provide all documentation as part of the final settlement.

  • Take advantage of the option of advance payment or pre-financing with a loan – In some cases, you can obtain an advance on the subsidy or use bridge financing through a bank.

  • Record the equipment as an asset in accordance with accounting rules – subsidies are tied to the sustainability of the project (usually 5 years).
Dotace na chytré technologie v zemědělství

Subsidies are the key to a modern farm for many businesses

Thanks to current subsidy programs , you have a real chance of getting up to 50% back on the price of technologythat will enable you to automate your operations, optimize costs and systematically increase revenues. However, this requires timely monitoring of calls for proposals, a well-prepared project, and technical compatibility of the entire investment with your operations.

V Agdata , we believe that the transition to data-driven management is no longer just a competitive advantage – it is a necessity. It is precisely the ability to to back up your investment plan with real figures from your farm, connect individual pieces of technology into a functional whole, and effectively manage agronomy using software determines whether your application will be successful – but above all, whether the investment will pay off.

Use subsidies wisely. Invest systematically and with data.

Agdata will help you:

  • Help prepare an application for individual consulting on the implementation of precision farming directly at your farm

  • Design the optimal combination of technologies for full subsidy compatibility

  • Ensure hardware and software integration into a single functional solution

✅ Let us advise you on subsidies

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