Food Industry News

The Ministry of Agriculture is introducing new subsidy rules

The development of agro-industrial complex (AIC) in the Russian city of 2016 224 will be allocated bln., According to the Ministry of Agriculture. Officials have repeatedly said that in 2017, the

reduce state aid is not planned. In early September, the representative of the Ministry of Agriculture said the newspaper "Kommersant" that the agribusiness financing in the next year may be about 214 billion rubles.

"Vedomosti" familiar with the project changes in the state program of development of agribusiness to 2020 city and found out how the Ministry of Agriculture plans to distribute between farmers money. A person close to the Ministry of Agriculture, confirmed the contents of the document.

In the summer of 2016, the Minister of Agriculture Alexander Tkachev at a meeting with Russian President Vladimir Putin proposed to reduce subsidies selhoztovaroproizvoditelyam 54 to seven. A new approach to "extend the powers of the regions in determining the priorities of agricultural policy, increase efficiency and timely delivery of funds," the minister explained then.

Until now, each of the sub-sectors of agribusiness - plant cultivation, production of poultry meat and pork, dairy and beef cattle, etc. -. Received grants under the relevant article of the state program. Now, it is assumed that 189,9 billion rubles. They will be divided into seven main sub-programs (see. chart). Even in 25,2 billion rubles. Budget cost of the state program management, including office maintenance Ministry of Agriculture and its subordinate institutions.

The most "money" sub-program - "Development of agroindustrial complex branches" (69,7 billion rubles.) And "Encouraging investment activities in the agro-industrial complex" (78,6 billion rubles.).

According to the "development of the industry of agriculture", for example, 12 billion rubles. go to support dairy farming, 21,7 billion rubles. - Unrelated to support crop production and the remaining 36 billion rubles. - To "contribute to the achievement of targets the implementation of regional development programs." Priority areas, according to the document - production support in the meat and dairy cattle breeding, grain, vegetables, berries and fruits, small farms, land reclamation.

Two years ago, when a separate line for supporting dairy cattle breeding appeared in the state program, the industry began to invest more, the gross production of marketable milk began to grow, recalls Soyuzmolok executive director Artem Belov. Support now is substantial: subsidizing interest rates on bank loans, subsidy 1 rub. For 1 kg of milk, compensation 20% of capital costs, he lists. According to the current version of the state program, 26,6 billion rubles are allocated to support dairy cattle breeding. If in the final version of the state program there is no support line for dairy cattle, investors will find it difficult to convince them to invest for 15 years, he fears.

New sub-program to stimulate investment 58,8 billion rubles. It is proposed to support agrarians in investment credit support, 8,2 billion rubles. - for concessional loans, and 11,5 billion rubles. - to compensate for direct costs for the construction and modernization of the AIC facilities According to what principle will state support among agricultural producers be distributed, the representative of the Ministry of Agriculture did not answer.

The general director of Rusagro Maxim Basov believes that the state has correctly defined the benchmarks: it supports the sectors where import substitution is possible, such as milk, beef, vegetables, fruits. But the cattle breeders doubt that it is necessary to "consolidate" the subsidies, says the head of the executive committee of the National Meat Association Sergei Yushin. Investors fear that the benchmarks will be "diluted" and the banks will not be able to give loans, as they will not understand whether the project will receive state support or not, he explained. The discussed innovations will make the situation incomprehensible and unpredictable, a representative of a large agro-holding believes.

In the draft changes to the state program, there is no production of pork and poultry in the list of priority areas for support. And pig production should remain one of the priorities, the representative of Miratorg does not agree. In Russia there are many inefficient production facilities and personal subsidiary farms that will leave the market, the drop-off volumes are estimated at 1 million tons to 2020 and they will have to be replaced, he argues. In addition, the industry has a good export potential, the representative of Miratorg continues. Without growth due to new productions for which state support is important, such a potential is not realized, he fears.

The program lists the priority sectors, but indicated the most important thing - how much will each specific area of ​​agriculture, complains Yushin. This may slow down investment activity, as investors will not understand how to work the new system, he adds. By giving the regions more powers, the state runs the risk of not only work program, the expert fears: the regions can be your view on the proper distribution of money.

See also ... 16/07/2012 The WTO has already improved agriculture by reducing funding for the agricultural sector by 40% 21/12/2012 Russian agro-industrial complex in 2012: on a new path with old problems05 / 06/2012 Agriculture lined up for the cash desk05 / 09 / 2012 The rate of sowing of winter grain crops in the Russian Federation is higher than last year - the Ministry of Agriculture 09/08/2012 The government compensates the agricultural sector for losses, but will not touch the grain market 19/07/2012 The new head of the Ministry of Agriculture spoke about the reasons for leaving the ministry Alexey Gordeev30 / 08/2012 Russia collected 53,4 million tons of grain from more than half of the area - Ministry of Agriculture06 / 08/2012 Ministry of Agriculture before agricultural support measures for regions suffering from drought come to life 07/11/2012 Treasury grain is spared for spring 17/05/2012 Federal funds for village support were brought to the regions by 50 percent 07/09/2016 Ministry of Agriculture refused additional financing29/04/2016 Ministry of Agriculture will wait until fall / 12/02 Russia will be fed their milk and meat by 2016 2020/03/02 The state program for the development of the agricultural sector of Russia may be cut 2016/09/07 China is interested in feed grain from Russia

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