2 billion UAH in livestock in 2018: who is for and who is against?

 

The Draft Law of Ukraine "On the State Budget of Ukraine for 2018" provides for an increase in financing of the livestock sector by 13.5 times the cost. In 2017, according to the Law of Ukraine "On the State Budget of Ukraine for 2017", funding under the budget program "State Support to Livestock" is 170 million UAH, and in 2018 the figure should grow to 2.3 billion UAH.

 

According to the Ministry of Agrarian Policy, as reported on October 3 at a meeting of the Committee on Agrarian Policy and Land Relations of the Verkhovna Rada of Ukraine on the consideration of the draft Law of Ukraine "On the State Budget of Ukraine for 2018" on the financing of the agricultural sector, additional funding for the livestock sector is planned to partial reimbursement of the cost of construction and reconstruction of livestock farms, the purchase of breeding stock and the reduction in the cost of interest on loans to builders the reconstruction of animal complexes and milking parlors.

 

However, some representatives of agrarian associations do not support this decision. Mykhailo Sokolov, deputy chairman of the All-Ukrainian Agrarian Council, spoke against increasing the financing of the livestock sector in 2018 and noted that the livestock farmers will not be able to absorb these funds. Iryna Palamar, chairman of the Ukrainian Stock Breeders Association, objected to this position: "The livestock sector needs state support: for the construction or reconstruction of pig farms, fattening centers for bulls, construction of embryonic centers for cattle, and others. The livestock keepers have enough problematic issues or projects that require financing from the state budget, so we will be able to absorb an additional 2 billion UAH in 2018. Ukraine needs to increase its own livestock, so that in stores it is represented, first of all, not foreign but our meat. "

 

Another positive moment for the livestock sector in the current draft budget is a significant increase in funding for antiepizootic measures: that increased from 113 million to 687 million UAH, or 6 times. Iryna Palamar supported such an initiative in the way that livestock producers now suffer from serious losses as a result of ASF and the state should take maximum measures to prevent ASF from running into farms.

 

In general, according to the analysis of the Association of Livestock Breeders of the submitted draft Law of Ukraine "On the State Budget of Ukraine for 2018", the general tendency of financing the agro-industrial complex is growing. In 2018, it plans to increase by 1.3 times compared with the current 2017 year. In comparison with 2017, there was a decrease in financing of such expenses as financial support of activities in the agro-industrial complex (by 92%), agricultural producers (by 39%), and support for measures in the agro-industrial complex by cheapening loans (4.5 times). A new expenditure item was introduced for farms in the amount of UAH 1 billion.

 

Financing of the services of the agro-industrial sector is also planned to increase: the State Service for Food Safety and Consumer Protection - 1.5 times, the State Service of Ukraine for Geodesy, Cartography and Cadastre - 1.7 times, the State Agency of Forest Resources - 1, 2 times, the State Agency of Fisheries of Ukraine - 6%. However, during the discussion at the committee meeting on October 3, some institutions and services, in particular NAAS and the State Forest Resources Agency, made demands for increased funding, since, despite the percentage increase in expenditures compared to 2017, they do not fully cover their needs. According to the representatives of the State Forest Resources Agency, the draft budget for 2018 does not provide for sufficient financing of forest management and covers only 51% of the Agency's needs.

 

The Ukrainian Stock Breeders Association once again supports the initiative to increase the financing of livestock development costs and hopes that this will find its reinforcement in the very Law "On the State Budget of Ukraine for 2018".