Main reason – expenses increase, deficit of floating assets and limited crediting

Agrarians reduce sowing areas for harvest 2014. According to analysts this season over 1 million hectares will be left unsown, comparing to approximately 600 thousand last year. The reporter of “AgroNews” IA learned at “Chas” program at 5 channel.

Upon the estimation of Ministry of Agrarian Policy and Food, on condition of fulfilment all technological rules the cost of sowing campaign this year is to make 52 billion UAH. But agrarians may give only 42. And 8 billion are to be found by them. As they specify in the Ministry, banks gave to economies less than 2 billion UAH.

In particular, due to absence of budget financing of such credits reduction in price program. Director of financial and credit department of Ministry of Agrarian Policy and Food Bagrat Akhidzhanov says that there is no financing for such program, though they do have the program itself. If the credit is attracted averagely for 25% yearly to make it twice less expensive they need 1,5-2 billion UAH as of today.

Source Agronews