30 April 2011

What is the Ukraine government concerned about growing potatoes?

Another example of the Ukraine government wanting to get its hand into everything.
The prime Minister recently announced how he wants to see BIG firms controlling at least 50% of the potato market in Ukraine. Oh why is that then?

Is he assuming that bigger producers will do things better if they control more of the market?
Perhaps he is ready to help his friends from larger agricultural companies?
Maybe soon we will see a return to 5 year plans for potato production?

See story reported in the Kyiv Post below:

Ukrainian government to facilitate growing of potatoes

The government of Ukraine will facilitate the growing of potatoes in mass production quantities by developing a special state program, Ukrainian Prime Minister Mykola Azarov has said.

"We have to create conditions for the profitable growing of potatoes in [mass] production quantities," he told reporters after a visit to the Institute of Potato Growing of the National Academy of Sciences of Ukraine in Kyiv region on April 27.

The premier drew attention to the fact that today small private firms and the population grow 98% of the country's potatoes, and only 2% of potato production is carried out by large agricultural companies.

Azarov noted that within several years Ukraine should return to a 50/50 proportion, when half of total potato output is be produced by the population, and half by big farming enterprises.

According to the premier, the government is planning to facilitate production, logistics development, the construction of store facilities, as well as direct sales to cover interest on credits and the creation of conditions for direct sales.

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