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from 02.02.2016

Andrei Kobyakov held a session of the Council of Ministers Presidium

Belarusian agribusiness operators, who will carry out projects outlined by the government program on agribusiness development in Belarus in 2016-2020, will get state support in the form of preferential loans. The statement was made by Prime Minister of Belarus Andrei Kobyakov during the session of the Council of Ministers Presidium held on 2 February to discuss agriculture development prospects.

Andrei Kobyakov said that Belarusian agribusiness companies, which will carry out projects outlined by the government program, will be granted preferential loans for the sake of implementing effective projects that will have to be selected via contests. The existing practices of preferential lending will be preserved. The government intends to grant 100% compensations to projects in dairy cattle husbandry, vegetable farming, potato farming, fruit farming, and fish farming. 50% compensations were promised to projects involving big breeding, poultry farming, artificial selection and seed farming, retooling, and manufacturing of agricultural products.

Andrei Kobyakov underlined that the government program will have to stipulate economically advisable agricultural output figures taking into account the domestic demand and effective export. He mentioned 10 million tonnes of grain as an example. The figure has to be justified taking into account the capacity of the domestic market as well as the export potential of the dairy and meat industries and their demand for forage.

According to the Prime Minister, it is advisable to raise the export potential of milk and dairy products up to 5.9 million tonnes and that of meat and meat products up to 376,000 tonnes only if quality parameters are improved, the competitive ability is secured, and foreign target markets are diversified.

Andrei Kobyakov pointed out that the agriculture development programs that were in progress in 2005-2015 were of utmost importance for resolving the food problem. They also helped greatly increase the country’s self-reliance with regard to staple agricultural products and foods. They also helped form the export potential.

The Prime Minister also informed, that Belarus’ state program for agrarian business development up to 2020 provides for the consistently high levels of agricultural production."Consistently high levels of production are not an overproduction. Given the growing international trade they will form the export potential of the country, which is envisaged in Belarus’ state program for agrarian business development in 2016-2020,” the head of government said.

He drew attention to the fact that since 2005 the level of consumption of staple foodstuffs has increased by 12% in Belarus. The volume of agricultural production per capita corresponds to the level of developed countries and exceeds the level in the countries of the Eurasian Economic Union across many positions.

Last year, in the face of unfavorable trends in foreign markets, food exports amounted to $4.4 billion, down $1.2 billion over 2014, but up 1.3 times as against 2010. The share of food exports in total exports increased from 13% in 2010 to 17% in 2015.

Andrei Kobyakov cited the data to show that over the past five years the agricultural production has increased by 9% at farms of all categories and by 14% at agricultural organizations. In 2010-2015 Belarus built 322 new dairy farms and reconstructed 1022 dairy farms, built 14 pig farms and reconstructed 41 ones. In 2015 the sale of milk to processing plants went up by 23% as compared to 2010, that of cattle and poultry by 11%.


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