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  • «Razvitie «Corporation» at the II International vegetable crops agrarian forum «OvoschKult – 2016»

«Razvitie «Corporation» at the II International vegetable crops agrarian forum «OvoschKult – 2016»

II International vegetable crops agrarian forum «OvoschKult – 2016» took place at Moscow region Government house from 13 to 14 April.

The first forum day gathered together more than 2000 representatives of the agricultural sector from Moscow, Moscow region, other Russian regions and 35 countries of near and far abroad.

Event was opened by the Moscow region Governor Andrei Vorobyov who welcomed Russian and foreign experts, specialists and investors and noted that "OvoschKult" has already become a traditional event.

- Business communication here is expanding partnerships in the agricultural sector, contributes to the search for innovative ideas and investment flows and this is important to accelerate the process of self-Moscow agricultural and food security - said Andrey Yurevich. - The purpose of the meeting to determine the current state of the agricultural industry and to provide information for further development. The Russian Government has conducted extensive work on vegetable import substitution both open and protected ground. At the same time Moscow region has special advantages and the corresponding subsidy program.

Russian Federation Minister of Agriculture Alexander Tkachev noted that earlier vegetables production in Russia was not among the priority areas due to the large number of imports but now when the objective conditions for agricultural sector growth such as sanctions and devaluation also the incentives to invest in this sector appeared.

Alexander Tkachev mentioned that last year 1 billion rubles has been allocated, in the current year - 3 billion, and the next is planned to allocate 5 billion rubles. - The pace of development should be redoubled with 2.000 hectares of greenhouses, which will give in a period of five years the required output.

Another important topic was the development of a modern wholesale distribution centers network (WDC) to ensure an uninterrupted supply of fresh vegetables and increase the competitiveness of small farms.

- WDC will play a core role in reducing financial losses in the production of agricultural products, - said Deputy Chairman of the Moscow region Government - Moscow region Minister of investments and innovations Denis Butsaev. - Four large distribution centers in Moscow will be able to ensure the redistribution, free exchange and processing of agricultural products including deep processing of products being brought from the south of the country.

Denis Petrovich urged investors to participate in the development of this direction to which the financial support of the state will be provided.

First Deputy Chairman of the Board of «Sberbank of Russia» Lev Khasis announced plans for agricultural sector credit financing.

- Today Sberbank's share in credit provision to agriculture is 35%. In 2016 bank plans to issue 350 billion rubles which is almost 1 billion a day. Credit rate in rubles for up to 10 years will amount to 5-7%, this is sufficient for self-support of any project in the field of agriculture, - says Mr. Khasis.

Ambassador Extraordinary and Plenipotentiary of Italy to the Russian Federation Cesare Maria Ragalini stressed that the economic crisis does not threaten Russian businesses. On the contrary, it opens up new opportunities for cooperation between Italy and Russia. Mr. Cesare noted that "many Italian companies are investing in Russian agriculture: Russia is no longer a market - it is the production base for other countries".

Professor of Israel Institute named after Volcani Idit Ginsberg said that Israel is interested in cooperation with Russia. Already implemented are the joint programs financed by the Ministry of Agriculture and the program for Russian students who come to study and internships.

Iran as well is aimed at partnership in the agricultural field.

- Our country is ready to cooperate actively supplying products that are not produced in Russia, - said the Adviser to the governor-general of the province of Mazandaran Islamic Republic of Iran, the President of the international holding “Internacionai Ghadi Group” Hamidreza Gadi. - Thanks to the excellent logistics, development of sea, air and road links, Iranian producers are willing to supply tangerines, oranges and kiwi in the shortest possible time.

The forum discussion was also attended by representatives of agricultural production leading regions.

Thus, the Head of «Razvitie «Corporation» JSC Horticulture Department Mikhail Korolev reported on the situation on the fresh products market, manufactured in Belgorod region, as well as presented the «Strategy for the Belgorod region protected ground development in the framework of the «Greenhouse cluster 500 ha» concept: first results, new challenges» sharing successful region experiences in the sphere of protected ground projects management.

The share of regional agribusiness production in the gross regional product by the end of 2015 is 30%, and the volume of agricultural production is 218.1 billion rubles. Belgorod region ranked first in total Russian production of agricultural products in terms of meat and animal feed production, the second largest producer of soybeans, the third largest producer of eggs and sixth place in the beet harvest. Also, the Belgorod region is in the top 15 regions on sunflower gathering and production of greenhouse vegetables, ranking the 12th place.

With regard to the development of the greenhouse industry there are 7 greenhouses in Belgorod region with total area of 71 hectares. Back in 2012, the region have hold a course for the development of the greenhouse cluster by defining «Razvitie «Corporation» JSC responsible for the concept of greenhouses complexes construction on the area of 500 hectares implementation till 2020.

The second day of the forum was devoted to the case-session "Banking hours" where representatives of «Sberbank», bank «Vozrozhdenie» and other Russian financial companies informed the AIC experts on the benefits of their credit products and explained the details of getting funds for business development.

Director to work with the authorities of the Central Russian bank Sberbank of Russia Vitaly Doroshenko said that the general conditions of interaction with the AIC projects are funded for up to 15 years with the possibility of a delay in the payment of principal debt up to 3 years. The share of borrower participation must be at least 20% which confirms its willingness to share project risks with the bank.

The Head of Mid Russian bank Sberbank of Russia Crediting Department Alexander Gerusov told about the requirements to borrowers and about what kind of support can be provided by authorities when granting a credit.

Senior VP Corporate business Department Head of «Vozrozhdenie» bank Irina Semenova said that a significant proportion of «Vozrozhdenie» customers in Moscow region are representatives of agribusiness among them both large and small enterprises.

- Our bank in Moscow region cooperates with the SME Bank on the implementation of the state program of financial support for small and medium-sized businesses for five years already. During this time 480 loans totaling 8.5 billion rubles was issued and over 100 investment projects worth over 2.1 billion rubles were financed, - said Irina Semenova. – When interacting with entrepreneurs we assist them to structure the project and to receive subsidies which helps us to work closely with the Ministry of Agriculture of Moscow region.

Adapted from Forum «OvoschKult- 2016» press service

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