ANNOUNCEMENT 15 May 2013

On 15 May 2013, the Russian Government expanded the list of agricultural machinery eligible for subsidisation and increased the amount of subsidies. 

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Government of the Russian Federation. 2013. Decree dated May 15, 2013 N 415 "О внесении изменений в Правила предоставления субсидий производителям сельскохозяйственной техники" ("On Amendments to the Rules for Granting Subsidies to Manufacturers of Agricultural Machinery"), http://gov.garant.ru/document?id=70279368&byPara=1

Inception date: 15 May 2013 | Removal date: open ended
Still in force

Production subsidy

On 15 May 2013, the Russian Government amended the 2012 Regulation on Discount-Conditional Subsidies to Producers of Agricultural Machinery (Decree 1432 dated 27-12-2012). The list of agricultural machinery eligible for subsidisation has been expanded, with appropriate per-unit subsidisation limits, to include:

  • cultivators (maximum per unit subsidisation - 100 thousand rubles)
  • machines for the application of mineral fertilizers and lime (200 thousand)
  • corn harvesters and cob collectors (250 thousand)
  • self-propelled chassis for harvesters (400 thousand)
  • tractor couplings  (50 thousand)
  • tractor rakes (120 thousand)
  • pick-up shredders and stand-formers (70 thousand).

Also, the limits of subsidisation per company have been amended. The companies are now grouped into 5 rather than 4 categories based on workforce. The new system benefits very large companies (workforce over 2000): a single such company can now claim up to 45% of the total program budget (previous limit - 25%). Small companies (up to 200 employees) used to be eligible to claim up to 5% of the total budget. Under the new rules, companies with up to 100 employees can only claim up to 1.25% of the overall budget. 

The subsidy is part of the State Program on Development of Agriculture and Regulation of Markets for Agricultural Products, Raw Materials and Food, sub-program on Technical and Technological Modernization and Innovative Development.

 

AFFECTED SECTORS