May 14, 2013
Russia launches programme to subsidise feed
Russia's Prime Minister, Dmitry Medvedev announced the launching of a new programme that will give financial support to agricultural producers to purchase animal feed.
According to the final document 90% of investments will be financed from the federal budget, approximately RUB15 billion (US$500 million). Another RUB2 billion (US$70 million) is to come from regional budgets.
"We agreed that it was possible to manoeuvre state resources and additionally subsidise livestock enterprises to compensate for the rising costs of feed - to allocate certain funds. Initially RUB15 billion (US$500 million) will be allocated, however the total amount of subsidising during this year is expected to reach RUB42 billion (US$1.4 billion)," Medvedev said.
According to the Agricultural Minister, Nikolai Fyodorov, most of the funds will go to compensate the rising costs of feed in the poultry and pig industries.
"We are allocating RUB11,800 million (US$390 million) immediately to be used to support poultry and pork producers," Fyodorov said. About RUB3.2 billion (US$110 million), is planned to support the dairy industry.