VLADIMIR PUTIN
ARCHIVE OF THE OFFICIAL SITE
OF THE 2008-2012 PRIME MINISTER
OF THE RUSSIAN FEDERATION
VLADIMIR PUTIN
ARCHIVE OF THE OFFICIAL SITE
OF THE 2008-2012 PRIME MINISTER
OF THE RUSSIAN FEDERATION
VLADIMIR PUTIN
Transcript of the beginning of the meeting:
Vladimir Putin: Ms Skrynnik, this is a good time to make preliminary harvest forecasts. So my first question is - what harvest can we expect this year?
Previously, we conducted interventions and bought considerable amounts of grain from farmers. This proved an effective way of supporting the agriculture sector. At the same time, it incurs significant costs in grain storage. This works out as a billion roubles per month, this is no small sum of money. Therefore, I would like to ask you to think how such work will be organised this year and in the longer-term, and what you plan to do about previous years' grain that is being stored.
Yelena Skrynnik: Mr Putin, the ministry estimates this year's grain harvest at 90 million tonnes. Taking into account substantial reserves from 2009, it exceeds previous harvests by 15%. Unfortunately, I have to mention negative trends in prices on the global market. I propose a series of measures that, with your support, would facilitate the stability of our agricultural companies and would help maintain our grain exports.
First and foremost, we should reduce our intervention fund, as you have correctly noted. I would like to make the following proposals in relation to this. We are able to issue five-year subsidised loans to our agricultural companies, which will then buy intervention fund grain, from the 2005-2008 harvests. We will reduce our surplus and save about three billion roubles on servicing the intervention fund. Moreover, we will free our agricultural companies from an excessive burden.
With this system in place, our intervention fund will be reduced by three million tonnes under five-year loans, agricultural companies will use this grain to expand the livestock-breeding sector, for processing and so on. This requires an instruction to the Russian Agricultural Bank. The ministry can facilitate these small subsidies and five-year loans.
Vladimir Putin: How much credit do you think should be extended thus, and what resources will these subsidies require?
Yelena Skrynnik: In all, 700 million roubles in subsidies and then funding to sell three million tonnes at former prices, which totals about 16 billion roubles.
Vladimir Putin: Good. We will now discuss this issue in greater detail. Now for my next question. What is the state of affairs within the agriculture sector? We will now start gradual preparations for the harvest season the more so as the harvest season in the South is nearing. How are preparations for the harvest season proceeding? What is the situation like in the farm machinery sector?
Yelena Skrynnik: I would like to say a few words about the spring sowing season. This work has been completed in the South and North Caucasus Federal Districts. Other districts are also completing their work. Given the planned 90 million tonne harvest, we realise that the harvest will soon be in full swing.
And now a few words about the farm machinery sector and equipment levels. The ministry has been active in this area. We have subsidised 70 billion rouble loans issued to our agricultural companies to buy farming machinery. They were able to purchase Russian-made machinery in accordance with their financial standing and particular needs.
Vladimir Putin: Good.
