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EU-Russia sanctions have caused Agriculture sector shortfalls of €6.2m

THE DIRECT negative effects of the EU-Russia sanctions on Slovakia’s agricultural sector have now reached €6.2 million, according to an Agriculture and Rural Development Ministry’s report based on the statistics of Slovakia-Russia trade in 2013 when Slovak export from the agriculture sector reached €31 million. The report should be on the Cabinet’s agenda at its next regular meeting on October 15.

THE DIRECT negative effects of the EU-Russia sanctions on Slovakia’s agricultural sector have now reached €6.2 million, according to an Agriculture and Rural Development Ministry’s report based on the statistics of Slovakia-Russia trade in 2013 when Slovak export from the agriculture sector reached €31 million. The report should be on the Cabinet’s agenda at its next regular meeting on October 15.

The ministry pointed out secondary effects of the sanctions are far more dangerous, however, mainly concerning the surplus of food on the internal market and related price destabilisation, the TASR newswire reported.

Another risk is poor food quality. Even though this food originally may have been good quality, due to exporters’ inability to sell it in Russia, it remained in their warehouses for some time and some might be tempted to put it in a different wrapping to camouflage its actual date of expiration, according to the report.

“Given the fact that the sale of domestic products in Slovakia reaches 63 percent and imports of foreign products remain high, there’s a well-based concern that the market may appear under the pressure of imported goods with uncertain quality for dumping prices,” reads the report, as quoted by TASR. “The most affected sectors in Slovakia are producers of fruit and vegetables, mainly apples, then milk and dairy products, and poultry.”

In order to tackle the situation, the ministry recommends individual state-run institutions to buy preferentially Slovak-produced food products for their canteens and cafeterias. Further, the government should provide €755.790 for regular expenses and 72.000 for capital expenses to secure regular and extraordinary inspections in the agriculture sector.

(Source: TASR)

Compiled by Roman Cuprik from press reports
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.

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