The Ministry of agriculture of Krasnodar region: subsidies for a liter of milk in 2020 increased, but not fully spent

The main volume of milk is produced under contracts.

‘At the moment, everything in the region is within seasonal fluctuations. There are no significant jumps as in other regions (up to 15-20%), but there is a traditional price increase of 5-10% for this period. In Stavropol, on the contrary, there was a shortage of milk. This is due to the fact that the dry season continues in the region, which reduces the amount of feed. Stavropol enterprises are ready to buy excess milk fr om Kuban,’ said one of the respondents to The DairyNews.

In Krasnodar region, there is traditionally a surplus of milk. According to official data, the production volume in the region is 1.5 million tons, and only 900 thousand tons are processed.

‘2/5 of production goes to the foreign market. It includes Adygea, as there is a large-scale processing of milk, but there is not enough of its own livestock, and the regions of the North Caucasus, wh ere mainly meat cattle and not so much dairy,’ the industry representative said.

In addition, he said that the Ministry of agriculture of the region announced a cut in subsidies, which will reduce support for a liter of milk. This will transfer the subsidy amount to the price. In accordance with this, the price of milk, depending on the region, will increase by about 2 rubles.

The Ministry of agriculture of Krasnodar region denied this information.

‘State support for 1 kg of milk sold and (or) shipped for own processing is provided in the form of a subsidy. In 2020, 958.8 million rubles were allocated for this sector from the Federal and regional budgets, which is 296.2 million rubles, or almost 45% more than in 2019. As of October 26, 2020, the funds have not been fully spent. Subsidy payments continue,’ said in the Ministry.

The Ministry also told about the reasons for changing the amount of subsidies.

‘The increase in funds allocated for this sector is due to the importance that the regional administration and the Ministry of agriculture and processing industry of Krasnodar region give to the development of dairy farming,’ stressed in the regional agrarian Department.

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