Russian Agriculture Ministry raises estimate on drought losses
MOSCOW. Sept 24 (Interfax) - Losses to Russian agriculture producers caused by the 2012 drought are estimated at 14 billion rubles, the Agriculture Ministry says.
"That is a large amount, but it does not scare us," Agriculture Minister Nikolai Fyodorov said in an interview with the TV channel Rossiya 24 on Monday.
We are currently discussing allocation of three-year budget loans for agriculture producers that have suffered losses, he said. This money would enable them to complete winter sowing. The ministry also plans to compensate agriculture producers for spending on feed, mineral fertilizer and seeds.
The regions are taking about even greater losses - 43 billion to 45 billion rubles including indirect losses, Fyodorov said. Direct losses are estimated at 21 billion to 22 billion rubles.
The ministry approved estimate was lower last week at 12 billion rubles.
Fyodorov also confirmed the grain harvest forecast for 2012 at 72 million to 73 million tonnes, which with rollover stock of 20 million tonnes will give Russia export potential of 10 million to 14 million tonnes and cover domestic market consumption.
The wheat harvest is forecast at 40 million tonnes. That is lower than in 2010 (41.5 million tonnes).
Russia harvested 94.2 million tonnes of grain in 2011 and 60.9 million in 2010.