ANNOUNCEMENT 27 Dec 2012In December 2012, the government of the Russian Federation announced a change in private-sector financial support.
NUMBER OF INTERVENTIONS
Resolution No 1432 of December 27, 2012,
27 2012 . 1432
The Russian Government (according to Resolution Nr. 1432 of 27 December 2012) introduced a subsidy scheme for the acquisition of agricultural machinery by Russian farmers. These federal subsidies were envisaged by the sub-programme 'Technical and technological modernisation and innovative development of the State Programme for the Development of Agriculture in the period 2013-2020". The government has set the maximum allocation of funds at RUB 2.3 billion(approx. USD 76.59 million) for 2013 and compensates 15 per cent of the acquisitions. The scheme covers the following machinery and equipment: tractors, harvesters, potato and fodder harvesters, tractor mowers and seeders, cultivators, plows, disc harrows, potato planters, potato diggers and machines for harvesting of cereal crops.
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.