Government expects for record yield of crops this year - Tymoshenko
Gov`t has provided for an increase of agricultural sector financing
In the amendments to 2008 State Budget the Government has provided for an increase by 0.5 bn UAH of financing of Agrarian fund targeting stabilizing of market prices and prevention from cornering crops at prices lower than the market ones. This was stated by Prime Minister of Ukraine Yulia Tymoshenko during the selector meeting with heads of regional state administrations, according to the government’s press-office.
The Gov’t approved resolutions concerning price making according to which the state will purchase crops, notably, the third class of crops – 1251 UAH and at the account of Agrarian fund and State Reserve it intends to take surplus from market aiming prevention of landslide of prices.
At the same time Premier of Ukraine formulated an instruction for the regional state administrations together with all power bodies locally to form extra financial reserves to ensure purchase from the crops market three-months’ amount of the necessary for the region volume at the prices determined by the Government – “in order working in synergy to prevent landslide of prices for the yield of crops.”
According to Yulia Tymoshenko, in addition the changes to the State Budget of 2008 contain significant increase of allotment to reduce credits for the agrarian sector, by 400 MN UAH, and plus a series of decisions aimed at simplifying of procedure of issuing the money is approved.
Yulia Tymoshenko also reminded that corresponding Government Resolutions stipulate for improvement of subventions for sugar beet crops (up to 750 UAH per 1 ha); strengthen state subsidies for livestock breeding especially in terms of cattle.
“Firstly, over the recent years Ukraine demonstrates improvement of all economic indices in agrarian sector,” Prime Minister of Ukraine announced. She is also convinced that agrarian sector will provide Ukraine with additional strength and return the country a fame of granary of Europe.
Yulia Tymoshenko considers that owing to increase of financing agrarian sector by 40% this year, thanks to the tuned work of agrarians and local power bodies a twofold better harvest is expected this year against the previous year’s.
At this Yulia Tymoshenko drew attention to the problems of the area connected to fuel price hike. “No market grounds for increase of prices for diesel oil exist and it implies we have to take under control the prices at which wholesale suppliers provide villagers with diesel oil,” Yulia Tymoshenko opines. She imparted that the Gov’t is ready to render assistance to stabilization funds in order to decrease speculative supplies for diesel oil for agrarians.