Moldovan government to identify additional funds for agricultural subsidies, says prime minister

20:43 | 26.03.2015 Category: Official

Chisinau, 26 March /MOLDPRES/ - Prime Minister Chiril Gaburici today met with representatives of organisations appointed to act in the interests of farmers in Moldova. The discussions focused on diesel pricing, value-added tax (VAT) for phytotechnical and zootechnical products, guaranteeing loans for agriculture, the government’s communication and media relations department has reported.

The dialogue between farmers and prime minister focused on issues related to the agricultural subsidy fund. Farmers want it to be increased up to one billion lei. At the moment, the drafts for 2015 stipulates for 610 million lei, of which 200 million are debts from 2014. To supplement the grant fund, farmers request the government to allocate the first tranche in the amount of 350 million lei from the ENPARD programme to support agriculture and rural development, funded by the EU, signed in Chisinau today.

"Moldova is an agricultural country and farmers will not leave it to chance," said the prime minister. Chiril Gaburici assured that the government he leads would identify in optimal terms, additional sources to replenish the fund to subsidise agriculture.

The participants to the dialogue reached consensus on the subject of the VAT on phytotechnical products. Farmers welcome the 8 per cent VAT, considering that negotiations in this field progressed. At the same time, they claim a tax change for livestock products, which is 20 per cent.

At the end of the meeting, the prime minister said that to improve the state of agriculture, the authorities would create working groups that would connect legislation in the field to European standards. In particular, Chiril Gaburici referred to the package of laws on secured loans in agriculture and the law on agricultural subsidies.

Present at the talks, Finance Minister Anatol Arapu said that spending the first tranche of the ENPARD programme for Moldova would be possible, starting in 2016.

(Editor M. Jantovan)

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