Our objective is to create a modernised agricultural sector, that would bring better living conditions and jobs to rural communities, says Moldovan prime minister

Chisinau, 22 November /MOLDPRES/ - Prime Minister Iurie Leanca made statements to this effect during festivities held in Chisinau today, on the occasion of the Day of the worker in agriculture and manufacturing, the government’s communication and media relations department has reported.

The premier said that farmers’ work was highly appreciated by the government. "The fact that, at the initiative of the government, agriculture and rural development were declared strategic areas for the development of our country and were included in the National Development Strategy Moldova 2020 is proof of that. We therefore decided to strengthen the local economy and rural communities, "said the prime minister.

Iurie Leanca gave congratulated the farmers. "Today, I thank you that despite all the difficulties faced by the sector, 2014 ends with positive results. And we are committed to continue to support you to reach joint success. We do this because agriculture was and is the most important branch of the national economy, "said the prime minister.

The prime minister referred to the measures the government took to support the sector. "We have started a comprehensive reform of public institutions in the agroindustrial sector. Whether we are talking about the Agency of Interventions and Payment for Agriculture (AIPA) or Filiera Vinului (Wine Branch) or the National Agency for Food Safety and the National Office of Vine and Wine - all were created to strengthen and modernise Moldovan agriculture, "said Iurie Leanca. He said that these steps to connect to European standards were the only way to conquer EU markets.

Iurie Leanca added that government was always concerned about the problems and challenges facing the agroindustrial sector. "The value-added tax (VAT) in agriculture was reduced from 20 to 8 per cent. We made joint efforts to offset losses incurred by farmers due to export restrictions to the eastern market. To this effect, impressive budget means were targeted, about 160 million lei, and the subsidy fund was almost doubled", said the prime minister.

The prime minister thanked the people who were not intimidated and did not quit agriculture, but tried to find new markets and thus proved – during this year full of crucial events for Moldova and for the its European future - that, indeed, what does not kill us makes us stronger.

The prime minister confirmed that the government would take the necessary steps to continue help farmers increase their competitiveness. The latest decisions on simplifying the procedure for issuing the phytosanitary certificate, that all vegetable exporters of agricultural products must own, is proof of that fact. "Until recently, to obtain it, seven documents were required, now their number was reduced to three, and they are issued in just two days, instead of five, as it previously was. We reduced about 30 per cent laboratory costs for wine products, and will do the same for other products, such as fruits and vegetables, meat and canned goods", said the prime minister.

The prime minister also said that the government would support business development in agriculture through various training programmes and access to finance under favourable terms, as well as invest in vocational education and research, which are crucial for agricultural development and its adjustment to modern standards.

The government actions in this area are aimed at adjusting the country's agroindustrial sector to EU requirements and standards to ensure the economic integration of Moldova into the European community. "This is our goal for the future - a competitive, restructured and modernised agricultural sector to bring Moldovan people in rural areas better living and working conditions”, said the prime minister.

The agroindustrial sector substantially contributes to the economic growth of Moldova. Over 27 per cent of Moldova's population is involved in agricultural activities.