Commission for problems invoked by Moldovan farmers at last November protests ends work

Chisinau, 9 February /MOLDPRES/ - The commission for the analysis of the problems invoked by farmers at the protests from November 2023 has ended its work. The main results of the commission’s activity today were announced by the state secretary at the Agriculture and Food industry Ministry (MAIA), Vasile Sarban, who led the aforementioned commission.  

According to the official, since the beginning of the commission’s work, decision-makers have interacted with nine creditors, including commercial banks, micro-financing companies and distributors of inputs. The goal was to analyze the real situation of the farmers at financial risk and to facilitate the communication between the sides, in order to find the most efficient solutions for the rescheduling of the debts.  

The sides jointly analyzed various indicators in specific conditions, which highlighted that the situation of each farmer was distinct. ‘’According to the creditors, the reschedulings take place at the request of clients and based on the presentation of a financial analysis of the business and the measures of foreclosure are applied only when all other solutions are exhausted. Reschedulings and mediations in the case of 17 loans are envisaged in this process,’’ Sarban said.   

The official stressed that, on this period, decision-makers had noticed that a significant number of farmers did not know the exact procedures for getting the force majeure certificates and many of them did not have the documents needed. To ease this process, the ministry initiated discussions with the State Hydrometeorological Service and the result was the minimizing of the cost of the certificate in the area where the economic agent hit by the drought works. ‘’In this case, it is worth mentioning that the profile associations play an important role in the informing and preparing of farmers when they face such situations,’’ Vasile Sarban noted.    

Another option identified is the capacity to enter insolvency independently, in order to improve the situation through the approval of a plan on the enterprise’s economic reorganization. Following the analysis of the files, decision-makers found out that some producers had accumulated excessive debts during time, collected during 3, 4 and 5 years. ‘’To prevent similar situations in the new agricultural season, we call on all farmers who deal with the cultivation of cereals to take into account the foundation and the joining of a profile association. Through the latter, decision-makers can identify contracts on export and get updated information on the evolution of markets,’’ Sarban also said.       

In the context, the MAIA official stressed that the subsidization of 70 per cent of the insurance premium stayed, in continuation, a measure of backing the Agriculture and Food Industry Ministry through the Agency of Intervention and Payments for Agriculture (AIPA). ‘’Another instrument, for the farmers to be protected in unforeseen situations, is the inclusion of the clause concerning the force majeure events or the ‘’impediment which justifies the non-fulfillment of the obligation’’ in the contract reports and the editing of this clause in line with the legislation in force,’’ Sarban noted.   

An integral part of the dialogue between the authorities and farmers was the Chamber of Commerce and Industry (CCI) of Moldova. CCI backed the informing of farmers about the conditions and the procedure of issuance of the force majeure certificates, as this is one of the solutions identified within the Commission and communicated to the profile associations. According to the information available, CCI received over 200 calls from farmers and there are about 100 files submitted.      

„We end the work of the commission with the confidence that the latter had its effect, as it was an efficient platform of constructive dialogue between the sides, taking into account the fact that the state, in this case the Agriculture Ministry, cannot intervene in private commercial relations,’’ state secretary at the Agriculture and Food industry Ministry, Vasile Sarban added.