An entrepreneur suggested doubling the subsidy

This year has been a difficult one for Kazakh farmers: drought, saigas, locust attacks and, finally, continuous rains during the harvest. In addition to these natural factors, there are other constraints on agricultural development: lack of subsidies, export restrictions, wear and tear on equipment, and geopolitical conditions. Farid Abitayev, a businessman and director of Astana-Business LLP, raised these issues at the meeting of entrepreneurs with the President, World of NAN reports with reference to the press service of Atameken NCE.

According to the entrepreneur, in the current weather conditions, agricultural producers need help and support from the state.

"We propose to grant extension to agricultural producers until next year on the obligations of ACC and CPC, as well as to pay debts on subsidies as of today's date 177 billion tenge", - said Farid Abitayev.

The speaker also touched on the reform of seed production and agricultural science. He noted that the reform will increase yields in the country by 20% in the most inexpensive and correct way - by sowing with updated and quality seeds .

"Reforming NASEC and transferring the agricultural experiment station to universities should be done jointly with business by transferring under management or public-private partnership with regional leaders in local seed sales. In this way, farms will receive areas for seed multiplication and preparation, and students will receive practical training in advanced enterprises in the regions," the speaker suggested.

Abitayev raised the issue of subsidy deficit and proposed to increase the amount of subsidies to agribusiness at least twice. According to his data, the annual deficit of subsidies has led to the fact that every year at the beginning of the year after receiving general transfers in the regions, debts of the previous year are closed, then debts of the current year, and as a result, the money runs out in March, and then again debts on subsidies to agricultural producers are accumulated.

The entrepreneur also asked the government to pursue a more flexible policy on bans and restrictions on exports of agricultural products.

"Over the past three years, the country has imposed 15 bans and restrictions on agricultural exports. This severely undermines long-standing business ties, reduces the investment attractiveness of agribusiness and gives away our traditional markets to competitors," he said.

The last question of the entrepreneur was the support of competitiveness. According to him, due to the fall of the ruble and because of the well-known geopolitical events, the market of Kazakhstan and Central Asia has been filled with the flow of agricultural goods of our neighbors. He proposed to waive VAT on agricultural machinery.

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