Agriculture

Financial support for the rural cooperation in Russia will be increased

В. Свеженец в Усманском районе Липецкой обл

The Director of the Department of rural territories of the Ministry of agriculture of the Russian Federation V. Svezhenets said that the support of rural cooperation will be increased. In 2016 the agreement on the allocation of subsidies to agricultural cooperatives signed 42 regions from the Federal budget allocated funds in the amount of 900 million rubles. Support was already received by 147 cooperatives. For 2016-2017 it is planned to create about 1’500 new agricultural cooperatives.

“The system development of agricultural cooperation is a strategic challenge that will bring the industry to a new level, will strengthen the village and will enhance the profitability of small and medium producers”, – said Vladimir Svezhenets.

Agricultural cooperative – an Association of 5 or more private farms (LPH), or peasant (farmer) farms (KLF), or 15 workers in the agricultural organizations and peasant (farmer) farms (KLF), gardeners, farmers or breeders. It is based on the Association property shares. Distinguish between production and consumer cooperatives.

The Ministry of agriculture is working to achieve the targets of the State program of development of agriculture and regulation of markets of agricultural products, raw materials and food for 2013 – 2020. Measures that have become the concern of the Department of rural territories of the Ministry of agriculture, belong to the routine support of small farms.

In General the aspects of the Programme include:

– achieving the share of Russian food products 87.7%-99.7% depending on the category;

– the achievement of the annual average growth rate of investment in fixed assets of agricultural enterprises in the amount of 3.1% per year;

– the increase in the average profitability of agricultural enterprises of 10-15%

– bringing wages in agriculture to 55% from the average in the economy

– and so on.

For many targets positive results are already achieved. For example, over the past 2013-2015 food imports declined by almost 40% (from $43.2 billion to $26.5 billion).

Sources:

Russian Ministry of Agriculture.