The support scheme runs until 30 June 2021, with grants available to beef, pork, goat and mutton farmers.

Agriculture minister Romain Schneider (LSAP) on Tuesday said prices for pork were expected to collapse 30% in the coming year because of difficult market conditions.

Dry summers have added to the woes of farmers as self-grown feed crops are insufficient resulting in higher costs to buy fodder for the animals.

Beef cattle farms in Luxembourg last year produced an average turnover of just €21,200 because of high costs compared to income.

Expected turnover across different agriculture branches is expected to be at €59,300 per farm, down from €60,200 in 2019, which was already down 3.5% from the previous year.

The EU heavily regulates state aid programmes although it has suspended some of its criteria in light of the virus outbreak’s economic toll.

The Commission previously approved aid programmes worth more than €1bn, such as direct aid for small and medium-sized enterprises.

The meat industry grants form part of a €5m package to support Luxembourg’s agriculture in the wake of the pandemic.

There are around 1,300 registered farms in Luxembourg, with more than a third specialising in dairy.