Russian govt to reimburse milk processors up to 70% of cost for labeling equipment

MOSCOW. Aug 30 (Interfax) - The Russian government intends to reimburse milk processors up to 70% of the cost for purchasing product-labeling equipment, the press service of Deputy Prime Minister Victoria Abramchenko said following a meeting with the agencies for improving support measures for agricultural enterprises.

"Beginning in 2023, it has been proposed to provide government support to milk processors who have incurred expenses for modernizing their agribusiness facilities related to purchasing and installing equipment for labeling dairy products," the press service said.

The government is preparing the corresponding amendments to the regulations. It is proposed to supplement the rules for bringing subsidies with terms and conditions on the possibility to reimburse agricultural producers and milk processing enterprises for 70% of the directly incurred cost for purchasing labeling equipment.

"It is very important to respond promptly to farmers' requests and fine-tune existing support measures amid sanctions pressure. Milk processors will receive a new measure related to reimbursing the cost for labeling equipment," Abramchenko was quoted as saying in the press release.

The meeting attendees also discussed issues related to increasing the amount of reimbursement for creating facilities in the area of breeding, fish seed and feed, as well as supporting personal subsidiary holdings.

Consequently, there are plans to increase from 20% to 50% the amount of compensation for part of the directly incurred cost for creating and modernizing breeding and seed centers in crop production.

Funds for implementing the proposed support measures will come from the budget. Revenues from export duties on agricultural products are being considered as additional sources of financing, according to the press release.