State support for dairy production is really working

12/12/19 15:40

State support for dairy production is really working

By the end of the year, the number of recipients of grants increased to 32 households

Tiraspol, December 12. /Novosti Pridnestrovya/. Government measures to support milk producers are really working - production volumes have stopped declining and have begun to grow gradually. Recall: the need for government intervention was discussed several years ago, when production became unprofitable due to low purchase prices. The dairy livestock began to decline sharply. To stop this process, firstly, the purchase price was increased (the processing plant had no right to offer below 5 rubles per kg). Secondly, since last year the state began to pay producers - legal entities and peasant farms - 50 kopecks for each kilogram of milk brought for processing. This helped to increase profitability without increasing the final price for the consumer.

Many Stepped out of the Shade

Initially, there were only 15 households applied for subsidies, by the end of this year their number doubled.

“This contributed, firstly, to the formation of conditions that the manufacturer is obliged to comply with: no debts to the budget, the presence of a veterinary certificate, compliance with sanitary requirements and the transparency of work. Secondly, during this period the number of recipients of grants increased to 32, many enterprises registered, stepped out of the shade and became legal entities with stable production,” Oleg Diligul, First Deputy Minister of Agriculture and Natural Resources said.

Since this year, they began to pay extra 1 ruble. The results were not long in coming. Last year, milk production increased by 13.4%, the volume of processed milk increased by 16.3%. This year the trend is the same. And this despite the fact that the livestock remained the same. Many enterprises have changed the approach to organizing production itself: they have acquired modern equipment for distributing feed, their preparation, and cleaning.

The State Will Help Increase the Dairy livestock

Livestock should be increased to move on. This was recently discussed at a meeting in the Government. In 2020, manufacturers are planning to allocate funds for the purchase of heifers. Young growth is planned to be imported from abroad.

“This will increase the growth of milk production and processing. Over the 7 years of the State Agro-Industrial Complex Development Program (already adopted), it is planned to purchase 2,200 livestock. The average productivity of a cow is about 6 thousand liters per year, that is, it will turn out 12-13 thousand liters of milk additionally. Today, the republic is provided with 44% of the need with its own milk and products using it. According to the program, it is planned to bring this indicator to 58%,” Oleg Diligul said.

60% of our own milk is good enough. This indicator guarantees food security, that is, providing the population with quality and healthy products.

Now in the republic there are about 10 thousand heads of dairy livestock. Most are in the private sector. As for processing, there are three large enterprises operating in this area - Tiraspol Dairy Plant, LLC Fialt-Agro (Blagoda trademark) and LLC Plemzhivagroelit.

Support Measures

The agricultural development program adopted for 2019-2026 provides for other measures to support various sectors of agriculture.

“Enterprises that are involved in animal production (and milk production in particular) have incentives for tariffs on electricity and gas. They can receive preferential loans through the State Reserve Fund, participate in a subsidy program (when the state pays the bank a part of the interest rate on the loan). The state also provides budget loans through state administrations at 1% per annum for the acquisition of young animals,” the First Deputy Minister of Agriculture and Natural Resources explained.

The goal of all these measures is to stimulate the sphere of animal production (especially milk production) to a level that will allow the republic to provide the necessary volume of its own production.

 

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