Russian Government to Enlarge Grant Support for Agriculture

Russian Prime Minister Mikhail Mishustin signed a government decree on amending the state program for the development of agriculture. In accordance with the document, starting from 2021, a new grant for agricultural producers,  will emerge in the Russian Federation.

A new grant titled as “Agroprogress” is intended for small businesses which have been working in rural areas for more than two years. The maximum grant amount will be RUB 30 million. These funds will be able to cover up to 25% of the cost of a project implemented with the help of an investment loan. State support funds are allowed to be used for the acquisition or construction of new facilities for the production, storage and processing of agricultural products, for completing these facilities with equipment, agricultural machinery and special vehicles. In addition, the grant can be spent on the purchase of animals, poultry and fish breeding material.

Russian support for agriculture

Also some other changes have been made to the state program for the development of agriculture. In particular, for farmers from the regions of the Far East, the amount of grants that are provided for the development of family farms and agricultural cooperatives is increasing. Now the volume of such state support will reach up to 70% of the project cost (previously - up to 60%), while up to 20% of the remaining costs can be compensated for from the regional budget.

Another change in the state program concerns flax producers: they will be able to buy equipment and machinery for primary processing of products with state support funds.

Part of the production costs will also be reimbursed to farmers who breed sheep and goats: for this they will be provided with incentive subsidies.

Source: https://potatosystem.ru