● MONDAY, May 25
Can producers seek state assistance in preventing collapse of sector
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. 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.
Rascani farmers build industrial cold storage facility with WB support
An industrial cold storage facility with the capacity of 1,000 tonnes will be built within a project launched by the group of producers “Fruva Natural” based in Varatic village of Rascani district. A sorting line will be installed within the same project to the value of over 11 million lei. Of this sum, 4 million lei is the grant provided by the World Bank through the Moldova Agricultural Competitiveness Project (MAC – P). The grant was disbursed after the farmers presented confirmation of the own contribution of over 7 million lei. The cooperative “Fruva Natural” was founded in March 2014 by five farmers growing apples and plums. They managed to consolidate 50 ha of plantations and annually produce over 1,000 tonnes of apples and plums of eight sorts.
● TUESDAY, May 26
Fruit growers anticipate lower apple harvest
The apple harvest this year is projected to be lower than the previous years. There are fewer fruits on the trees as the flowers fell down owing to last yearend’s drought and because many apples remained on trees last year. Mihai Turcanu, fruit grower from Floresti district, has told that the current drought also affects the fruits forming on the trees. As to the prices at which the apples are now sold on the home market, of over 20 lei per kg, Mihai Turcanu said the high prices are due to the shortage of apples. Owing to the ban imposed by Russia and because of the lack of storage conditions, the growers last autumn sold the apples to processing factories at very low prices.
AGEPI will have a new status
The State Agency on Intellectual Property (AGEPI) will be reorganized by being transformed into a public institution managed by the Government. Under the relevant bill, the institution that will be created as a result of the reorganization will take over the rights and obligations of AGEPI. The institution will include two commissions – the Challenges Commission and the Mediation and Arbitration Commission.
● WEDNESDAY, May 27
World Bank supports Moldovan fruit farmers
The Government approved and submitted to Parliament for adoption the bill to ratify the agreement on the provision by the World Bank of a US$12 million additional financing to the Moldova for the Agriculture Competitiveness Project, which will support small-scale farmers in coping with difficulties in exporting to Russia. The agreement will take effect in 90 days of the signing. The US$12 million will be used to provide targeted compensatory grants to small-scale apple, plum and grape growers, with farms of less than 15 hectares, who sold their produce domestically for processing in the fall of 2014. The grants will compensate about 50 percent of the difference between the estimated normal price and the processing sales price in 2014.
MPay service extended
The Government E-Payment Gateway (MPay) is being extended. Following changes made by the executive to a number of normative documents, the private individuals and legal entities will be able to pay taxes, fines and make other payments into the national public budget or to pay for services of public interest, like public amenities, from a distance. The informative note to the bill says the procedure for calculating the costs of the given services will be improved and the payment will be refunded if the MPay service is provided inappropriately. The commission will be 1% for each paid invoice, but not less than 1 leu and not more than 2.5 lei in case of payments in cash and through Internet Banking.
Tiraspol imposes import duties on dairy
The import of dairy products into Transnistria is subject to taxation. The region’s administration said this measure is a temporary one and is taken with the aim of supporting the local producers that are affected by the decrease in the dairy prices on the right side of the Nistru River and in Ukraine. According to the local press, given that the Moldovan leu and Ukrainian hrivna depreciated, the dairy products from Ukraine and the right bank of the Nistru are by 10-25% cheaper than those made in the Transnistrian region. As a result, Transnistrian producers’ sales declined. The Tiraspol-based dairy factory in April sold products to the value of 7 million Transnistrian rubles, compared to 10 million in January.
● THURSDAY, May 28
Chamber of Trade and Industry to create association to support businesses
The executive bureau of the Camber of Trade and Industry of Moldova decided to found a business support association whose nucleus will include the bilateral chambers of trade of Moldova. The measure is aimed at enhancing the cooperation between the Chamber and its partners and at offering more efficient development services to Moldovan companies. “The role of the business support organizations with the creation of the Deep and Comprehensive Free Trade Area with the EU is increasing. This is one of the conclusions I drew at the EaP Riga Summit. We thus considered it necessary to complement the physical infrastructure and human potential of our organizations so as to offer assistance to Moldovan companies in making use of the opportunities provided by the DCFTA and in increasing competitiveness,” said the chairman of the Camber of Trade and Industry Valeriu Lazar, quoted in a communique of the institution.
● FRIDAY, May 29
Compensations for apple and grape growers
The apple and grape growers that were affected by the import restrictions imposed by Russia will receive compensatory grants. The assistance is intended for producers with farms of less than 15 hectares, Minister of Agriculture and Food Industry Ion Sula told a news conference. The allocation of compensations became possible after Parliament on May 28 ratified the agreement on the additional financing for the Moldova Agricultural Competitiveness Project (MAC-P), signed by the Ministry of Agriculture and Food Industry and the International Development Association of the World Bank Group. Based on the agreement, Moldova will receive a loan of US$12 million. The World Bank’s intention is to help small and medium-sized producers restart their businesses following the sustained losses, said the minister.
● SATURDAY, May 30
Experts of Rosselkhoznadzor on visit to Moldova
A team of experts of Russia’s Federal Service for Veterinary and Phytosanitary Surveillance (Rosselkhoznadzor) is in Moldova. Minister of Agriculture and Food Industry Ion Sula, in an interview for Radio Free Europe, said he will have discussions with the experts in a meeting that will involve representatives of the National Food Safety Agency. The meeting will center on problems related to the export of products of vegetal origin to Russia. “The agency Rosspotrebnadzor is responsible for cans and wine. We sent by a letter to both of the institutions and had a dialog with the embassy of Russia in Moldova. They reacted to this invitation. I hope those from Rosspotrebnadzor will also react. They told us they want to see how several producers work and how the food safety system works. They also want to visit the National Food Safety Agency,” stated the minister.
