Don deputies asked the government for support for agrarians

The deputies of the Legislative Assembly of the Rostov region adopted an appeal to Deputy Prime Minister of the Russian Federation Dmitry Patrushev regarding additional support measures for agrarians due to the disruption of export logistics in the Azov-Black Sea basin.

As reported by "Caucasian Knot", the diesel fuel shortage has led to losses during the harvest, and the purchase prices for grain are below production costs, farmers said. Maritime exports from southern Russia have faced problems, and shipments through the Baltic or Far Eastern ports seem unrealistic. As a result, the current situation may lead to a series of bankruptcies among agricultural producers, analysts indicated.

As noted by the Deputy Chairman of the Legislative Assembly, head of the committee on agricultural policy Vyacheslav Vasilenko, farms in the region have harvested 13.6 million tons of early grains and legumes this year. However, due to the current situation in the Azov-Black Sea basin and the operation of ports, the opportunities for exporting this product to foreign markets have significantly decreased, "Interfax" reports today.

According to the official, the measures currently being taken to create new logistics cannot fully resolve all the issues related to the sale of grain that was grown this year. This creates a number of difficulties for agricultural producers. "There is practically no logistics for exporting grain produced in the Rostov region," Vasilenko said, addressing the participants of the regional parliament meeting.

The suspension of grain terminal operations in Novorossiysk after drone attacks will lead to a significant reduction in grain exports and increase the risks of bankruptcy among agricultural producers against the backdrop of constantly falling grain prices, analysts indicated. The operator of the grain terminal KSK in Novorossiysk announced the suspension of operational activities in mid-August. Earlier, two other terminals located in the Novorossiysk port had also suspended operations.

In the appeal to the federal government, regional deputies proposed extending the preferential lending terms for agricultural enterprises for another year and providing a deferral on leasing payments. Another measure is the purchase of 5 million tons of wheat for the intervention fund at a price of no less than 15 rubles per kilogram.

In addition, deputies propose to introduce restrictions on the bankruptcy of agricultural producers or establish a moratorium on such procedures until December 2027. They associate the need for this measure with the risk of financial problems for farms that cannot timely sell the grain produced due to disrupted export logistics.

The issue has already become a subject of discussion at the federal level. As reported by the governor of the Rostov region Yuri Slyusar, the Ministry of Agriculture of the Russian Federation is considering the possibility of a temporary moratorium on the bankruptcy of agrarians, as well as maintaining the status of agricultural producer for enterprises in case of forced absence of grain sales. Additionally, partial compensation for the costs of winter sowing is being discussed.

Among other federal measures being considered are the extension of preferential short-term loans, deferral of leasing payments, per-hectare support for sowing, provision of farms with mineral fertilizers and fuel and lubricants. The conduct of state procurement interventions to stabilize domestic grain prices and facilitate its sale is also being discussed.

Source: https://www.kavkaz-uzel.eu/articles/426708