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Moldovan agriculture minister unveils authorities' solutions to present situation in agricultural sector

14:57 | 30.11.2023 Category: Economic

Chisinau, 30 November /MOLDPRES/ - I am aware of the problems of the farmers who produce cereals or in the office I held, this subjects is among the principal priorities both on my agenda and on the one of the entire ministerial team. Deputy Prime Minister Agriculture and Food Industry Minister Vladimir Bolea made statements to this effect at a today’s news briefing, touching upon the current events in the sector, especially the farmers’ protests.   

„We had the first meeting, in order to analyze the Regulation on the setting up of the Commission on the finding out of farmers’ insolvency. The document was subjected to consultations, with the participation of different sides interested, in order to establish a dialogue, as we can reach a finality only through dialogue, by establishing a framework of support for the farmers,’’ Bolea said.  

According to the official, two categories of producers were identified at this meeting. ‘’It is about the farmers who have the damage inspection reports on drought, issued by the district commission for emergency situations, on the basis of which force majeure certificates are issued, which can be presented at banks or creditors, other entities with which they have commercial relations. The second category of farmers producing cereals are those who were not hit by the drought, but have other impediments in work, such the cereals’ selling price,’’ Vladimir Bolea noted.     

„As far as the claims of Farmers’ Force are concerned, including the so-called moratorium on the calculation of penalties, it cannot be enforced, as there is no legal form for this process in Moldova. Also, neither the country’s Commission for Emergency Situations have such powers. Or Moldova’s legislation quite clearly sees that there is no entity which might intervene in the private relations between two economic agents. Therefore, we focus on things which can be done; we identify a legal framework, based on which we can intervene with real support,’’ the deputy PM also said.     

The agriculture minister specified that he had scheduled a meeting with banks’ representatives today, in order to see what can be done. ‘’I want to specify that we have 11 commercial banks in Moldova, of which only six provide loans in agriculture, while as for five banks, the agriculture is not a sector which interest them too much. We are to establish with these six representatives the list of those who borrowed loans from banks, up to the last economic agent. Subsequently,  we will make a well-grounded study, for the last years, on how the situation was as regards the insolvency, sending to insolvency, etc., in order see from what period their problems come. We should recognize that some farmers made irrational investments and mistakes in planning the business. We must come up with quote targeted answers and see the situation for each farmer, why he/she got into insolvency,’’ the agriculture minister said.          

Last week, more farmers came with their tractors to the centre of Chisinau, in order to take part in a protest action organized by the Farmers’ Force Association and the National Federation of Farmers. Among other things, the protesters demand the introduction, by CSE decision, for the period till 31 October 2024, of a moratorium on the calculation of penalties, foreclosure of obligations and starting of the procedures of insolvency with the micro-, small and medium-sized farmers, who have at least 70 per cent cereals and oily crops in the structure of their farmlands.   

In the last two years, the Agriculture and Food Industry Ministry has doubled the sum of subsidies in the agricultural sector and at the last budgetary rectification, it allocated another 300 million lei to farmers.   



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