Can producers ask for support from the state in paying interest on the loans that they took out from banks. Director of the Criuleni-based cannery “Fortuna-Plus” Ilie Vainrub told a news conference that owing to the ban imposed by Russia and the difficulties they encounter in penetrating new markets, the medium-sized canneries risk disappearing, IPN reports.
The businessman said that last December, officials of the Ministry of Agriculture and Food Industry promised a subsidization mechanism to the value of 500 million lei for canneries and called on the managers to file applications for financing. But ultimately the authorities didn’t deliver their promises. Recently, Prime Minister Chiril Gaburici promised that the Government will devote attention to the sector, but things didn’t change. The can producers ask for financial support from the state even in the form of loans, but at a reasonable interest rate, as their property could be sequestrated for debts.
Director of the Cantemir-based cannery Nicolae Covali said that during two years the can producers have sought help from all the state bodies so as to save the sector. They are every time urged to find new markets, but this cannot be done in a year or two. The EU market does not experience a shortage of cans, while the national producers need support to meet the European standards.
He added that the storehouse of the cannery he heads contains cans made last year, to the value of 7 million lei. These were to be exported to Russia based on signed contracts. Given that the exports and sales fell, the can producers cannot pay the debts to banks. The Cantemir cannery this year must pay over 700,000 lei interest, but the company does not have this money. They will not cope if the state does not offer assistance.
The cannery directors said there are cans to the value of 250 million lei in the storehouses of the national canning factories. These cans can be used during three years and half of this term already passed. Thus, there is a risk that these products will no longer be in demand.
