ANNOUNCED AS TEMPORARYNo
Public procurement localisation
On 18 March 2009, the Cabinet issued a Decree # 328 titled "On state support for domestic engineering industry in agricultural sector." (This Decree was subsequently amended on 24 June 2009.) The Decree describes a plan for government procurement of Ukrainian agricultural engineering products and technologies.
This plan includes the following measures:
·to purchase agricultural machinery worth 500 million US dollars;
·to attract a minimum of 30 million US Dollars in loans to the industry to re-equip it with new technologies;
·to develop the plan together with the Ukrainian Academy of Science for the implementation of new technologies in the industry;
·to extend the programme for development of domestic engineering industry for the agricultural sector (2007-2010) until the end of the year 2015.
The document contains two attachments with the names of the domestic companies (more than 30) that develop and produce engineering equipment for the agricultural sector, with the amounts and the name of machinery which the government intends on buying each month until the end of 2009.
The information on the official webpage of the Ukrainian Government states that the Prime Minister Julia Timoshenko emphasized that the Government plans to spend this year about 87 million US dollars for the government procurement of the domestically produced agricultural engineering equipment.
The extension and further development of the state support for the domestic engineering industry for the agricultural sector is connected with the broad state programme, which aims to support the development of agricultural cooperatives during the period up to 2015 (the subject of another Cabinet Decree issued on 11 February 2009 (# 184 - p).) This programme focuses on improvement of the legal and economic conditions of agricultural infrastructure of cooperatives as well as improvement of the welfare level of people working in the agricultural sector in Ukraine.
This programme seeks to create an additional 100,000 working places, an efficiency increase in the agricultural business due to the implementation of new agricultural technologies and machineries, which would lead to a substantial increase in agricultural production by 2015.
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