The main task of the government is to improve financial situation in agrarian and industrial sector in 2007, as the first vice PM Mykola Azarov declared on the meeting with chairman of the Verkhovna Rada of Ukraine Oleksandr Moroz, people’s deputies and members of the government.

According to Azarov, a lot of problems, connected with financing of the agroindustrial complex, appeared during the preparation of state budget draft bill. Azarov declared that past attempts of the state to stabilize and improve the complex did not bring any effect.

Azarov considers that the problems of this sphere appeared not yesterday, and it is needed to recognize them and to search for other ways out. “May be we do not need to invent a bicycle, but to use experience of other countries,” he said.

Participants of the meeting noted that VAT benefits for producers of agricultural goods did not bring expected results, as all the means settled in intermediaries’ pockets. Azarov proposed to introduce changes into the state budget as for VAT for the agroindustrial complex.

The vice PM also offered to finance direct state support programs for village, which concerns not only producers, but the engineering industry as well. At the same time Azarov harshly criticized the state of this industry. He is concerned that a country, which produces such volume of grain, must have its own mechanical engineering.

In his turn, Minister of agrarian policy noted that his ministry asks to allocate 12 bn hryvnias with certain priorities on budget programs for the agroindustrial complex next year.


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