September 27 2005, 13:20

State will improve intervention mechanism on agriproducts market - V. Putin

State will be improving the mechanisms of interventions on the market of agricultural products, Russia's President Vladimir Putin said answering questions of Russian citizens in a live TV and radio broadcast on Tuesday.

"The practice of state interventions on foodstuffs market will be extended and improved", he said.

He emphasised that the state purchases had to be properly timed and their volumes and prices had to be elaborated well in advance.

"Not AFTER the harvest, but BEFORE. In order that the prices keep stable, both for producers and consumers of agricultural products", said Russian leader.

Besides that, he promised that funds would be allocated from budgets of different levels for development of infrastructure and creation of enterprises, "which could provide timely sales of agricultural products, in order to reduce dependence of agricultural producers on the services of mediator resellers."

The President also assured that Russian government would continue the practice of providing reduced-interest loans to small farming businesses, operated by an individual (these meant as opposed to large farming enterprises, successors of Soviet kolkhozes, which represent the stem of Russia's agricultural production), and to rural inhabitants, keeping small plots of land and producing small quantities of products.

"The extra source of funding for the purpose has been already envisaged", he said.