Subsidizing 1 quarter of pig fodder would imply budget expenses of millions

If the Government subsidized only 25 per cent of the cost of the fodder for pigs, as many as some 600-800 million lei would be needed to be allocated from the state budget, Alexandru Gamangi, expert of the Expert-Grup independent analytical center, estimates, Info-Prim Neo reports. According to official statistics, about 45-50% of the meat produced in Moldova is pork. Although in 2006 there were 4.6 % more pigs than in 2002, in 2007 the number dropped by 20 %. The drought conducted to more expensive fodder and production expenditures. The pork price is up, but also the cost of production factors. The expert underlines the profit gained cannot allow for buying sufficient food to keep the pace of the previous year. The losses incurred by the Moldovan producers are determined by their low productivity. The daily weight progress of pigs fattening in Moldova varies from 100 to 300 grams, compared with 500-600 grams in Romania and Ukraine, or with 1,000 grams in Denmark. A number of processing factory managers it is cheaper and more advantageous to import pork than to buy it in Moldova. Analyst Alexandru Gamangi thinks the state is unable to grant substantial subsidies to buy fodder for pigs; and there is also a question: why not for producing veal or bird meat. In the expert’s opinion, enhancing the industry’s efficiency can be realized not through subsidies, but through a better organization of production and labor, through forming a better network among pork producers, fodder suppliers and meat processors. Alexandru Gamangi recommends pork producers and processors to cooperate, and not to compete.