The Ministry shouldn’t cut or disclaim subsidies per liter of commercial milk
According to producers’ words, subsidies per liter of milk do not have an effect because of arrears in payment. “<…> I am surprised! To allocate subsidies in June – and to wait for an effect now…”, - says Sergey Baizudinov, Trudovoy Stud Farm Director (Saratov Region, Russia).
First Deputy Chairman of the State Duma Committee on Agriculture Ayrat Hayrullin answered DairyNews question regarding the possibility of subsidies reallocation. According to his words, this possibility exists, though the official considers the existing subsidy (per liter of miklk) to be effective. The subsidy is declared to be ineffective too early, it needs time to draw any conclusion. Secondly, as per the expert’s words, the existing subsidy allows the Ministry to detect the actual milk production in the country. At the moment milk production in Russia is decreasing; the Ministry is afraid to declare this fact – that is why the problem occurred.
Mikael Nanushyan, Working Group of the Agricultural Sector Development Expert Council Affiliated to the Government Deputy Director, also considers it necessary to leave the subsidy per liter of commercial milk. The subsidy doesn’t work only because of ineffective criteria, which needs to be changed, believes the expert.
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