Estimated losses for agricultural production this year could amount to about 1.5 billion lei

Farmers will suffer losses that will amount to approximately 1.5 billion lei, if the quantity of rainfall will not increase to prevent the effects of the current dry weather, academician Mihail Vronschih stated during a meeting of the Economic Press Club, on Thursday, June 28. According to the expert, the situation is not as severe for the first group of grains, while the loss of the farmers due to decreased levels of crops amounts to 1 billion lei. The prognosis for this year on grain is more pessimistic when compared to the one of previous years, when the forecasts stood at 500 thousand tons. According to Vronschih, this volume will be 150 thousand tons less compared to last year’s harvest and the annual necessities of the republic, which will inevitably lead to the need to import grains and to a price increase. The academician compared the dry weather conditions from last year to the dry weather of 1946-47, a year when the population suffered of hunger. According to the cited source, drought is a natural phenomenon, a result of the natural soil cycles. Therefore, in the period from the 1970-80s, rainfall levels were abundant, in the 80-90s these were average, and now Moldova is entering a period of extreme dry weather. The only solution for the future, according to the experts, is to regenerate the irrigation systems. It is suggested that the level of state subventions increases for the expenses on irrigation, including the irrigation equipment in the list of mechanisms that are important and for which the state reimburses the tax on revenue. The vice chairman of the “Uniagroprotect” Farmers Union, Alexandu Slusari, stated during the meeting of the Economic Press Club, that farmers have requested the Government to decree this situation as an exceptional one. In such conditions, the farmers could be absolved of penalties and the state could ask for help from international organisations. Moreover, the Government was asked to acquire for the State Reserve a volume of 80 thousand tons of food grains from the producers, compared to 50 thousand tons initially announced, at the established minimal price of 2.8 lei. This price is relatively similar to those on the international and regional markets and would allow for the reduction of loss incurred by agricultural producers. This price would also allow for savings with regards to public money, because the state could then avoid importing grains, at prices over 3.5 lei per kilogram, said Slusari, quoted by Info-Prim Neo.