Global Trade Alert

The Russian Government Decree N872 of 27 October 2011 announced the conditions for the 2011 disbursement under the program of preferential leasing benefiting agricultural producers. Decree N872 commits the Government to transfer money to Rosagroleasing, the operator of the program of preferential leasing of the Russian-made equipment, machinery and inputs to the local farmers and food processing companies. Rosagroleasing is compensated for income losses resulting from preferences given to farmers and agriproducers. The Decree specified that the Government will transfer Rosagroleasing 50% of purchase price of machinery procured and leased out to the beneficiaries, up to the yearly limit allocated in the state budget. Only machinery purchased after 1 May 2010 qualifies for subsidisation.