Thursday, February 26, 2015

The State Duma has proposed eliminating food embargo – Russian newspaper

The State Duma has proposed eliminating food embargo – Russian newspaper

State Duma deputies have proposed to lift restrictions on food imports from the EU, the US, Australia, Canada and Norway, which were introduced as a result of Russia kontrsanktsy. Prepared the corresponding bill, it is placed in the legal framework of the lower house of parliament.

In the explanatory note to the document states that limit the negative impact on the economy of the Russian enterprises, as it is difficult to find an alternative to imported raw materials for production. Also, the authors of the bill are appealing to the interests of consumers and the subtleties of standards-related activities.

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Opinions on food embargo expert community is different. Someone thinks that the ban on food imports has led to a reduction of competition, and thus to higher prices. Someone believes that inflation spurred not limitation, and the growth of the dollar and the euro.

Meanwhile, a number of experts called food embargo salvation for the Russian market, where the share of imports reached 40-45 percent. About critically dependent on imported food, in particular, said academician Victor Ivanter.

In Russia there is vacant land and up to 50 percent of the food produced in small-scale farms, however, they do not enter the market, experts remind. Therefore, it is necessary to extensively increase production and expand sales channels of domestic products.

“It’s no good to the country, which has the world’s largest agro-food potential, is also the largest importer of food. This is nonsense, that there is no explanation, – said in an interview with “RG” agricultural market analyst, Doctor of Economics Leonid cold. – If we want to quickly implement a program of import substitution and curb food inflation should move quickly to release channels from triggering corruption and other criminal manifestations restrictions, excessive regulation, control and administration, reducing thus the costs of treatment. You also need to help small and medium enterprises and cooperatives to trade in urban areas. In this do not need a lot of money. It is simply to provide a platform for trade with trays and machinery and not to interfere with redundant control and advice ” .

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The Russian authorities have not yet officially changed their position on the food embargo. Ban on meat products, fruits and vegetables, seafood and fresh fish, milk and dairy products from the European Union, Australia, Canada, Norway and the United States was introduced August 6, 2014 for a period of 12 months. It is expected that import substitution will take 3-4 years.

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