Parliament of the Balearic Islands

The Government attacks Damm over the closure of Agama: "They have deceived us and will have to return the money"

The Ministry of Agriculture announces support for future projects in the dairy sector of Mallorca

10/03/2026

PalmThe Prime Minister, Marga Prohens, has accused the Damm Group of deceiving the Administration and livestock farmers with the closure of the Agama factory in PalmaA leading figure in Mallorca's dairy industry. Furthermore, during the plenary session of the Balearic Islands Parliament, it was announced that the Government will revoke the declaration of regional interest which the multinational had requested and will demand the return ofa grant of more than one million euros"We will stand with the sector and support its initiatives to guarantee the continuity of the dairy industry," the president stressed.

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Prohens, a native of Campos, claimed that he knows "by name and surname" the affected producers and described as "betrayal" the fact that Damm had promised to buy milk until the end of the year and finally the closure has progressedDuring his speech, he also framed the agricultural, livestock, and industrial sectors linked to innovation as "strategic for the transformation and economic diversification" of the Islands, and recalled that the Government is working on a new agricultural law and an industry plan.

For his part, Lluís Apesteguia, spokesperson for MÁS per Mallorca, denounced the closure of Agama as evidence of "how multinationals operate in this region." He noted that Damm achieved record profits last year, yet not only failed to ensure Agama's viability, but actively "sabotaged" it. The eco-sovereignist politician proposed increasing the Sustainable Tourism Tax (ITS) and allocating all of the additional revenue to the primary and secondary sectors.

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The government is looking for ways to help dairy farms

For his part, the Minister of Agriculture, Fisheries, and Natural Environment, Joan Simonet, announced this Tuesday in Parliament that the Government will support the "future projects" of the farmers affected by the closure of Agama, a leading dairy company in Mallorca. Simonet explained that the Government tried to prevent its closure by creating a public-private cooperative, in which the Government would have held a maximum stake of 30%. Despite finding a private investor, the farmers rejected the proposal to focus on other future projects, which will now have the support of the Administration.

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The regional minister also recalled the aid granted to the company, such as a one million euro subsidy that Damm will have to return after the closure, detailing that the company renounced other subsidies, such as one of three million euros, and also did not apply for the program to increase milk in schools. In response to criticism from the Socialists, who attributed the decrease in milk production during their term to the government, Simonet stressed that when Damm bought Agama "it was all promises and good intentions," and that the situation changed over time, especially with the fact that they finally acquired products like Lacca.

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