Naum Babaev holds speech at “Souzmoloko’ forum

The chairman of the Board of directors of “Rusmolco” made a report at the IV “SOUZMOLOKO” forum, which took place on February 5, 2013 within the frame of the International specialized exhibition of livestock and animal breeding “AgroFarm 2013”.

The representatives of the specialized ministries and establishments, bodies of regional authorities, specialized committees of the both chambers of parliament and regions of Russia, milk producers and processors from all over the country took part in the Forum of the National dairy producers union on February 5 at the All-Russian Exhibition center within the frame of the “AgroFarm-2013” expo.

The Forum was opened by Andrei Danilenko, the Chairman of the board of “SOUZMOLOKO”. Among the reporting participants of the forum were the following people – First deputy Chairman of the State Duma committee of the Federal assembly of Russian Federation for agricultural sector Airat Khairullin, Chairman of the State Duma committee of the Federal assembly of Russian Federation for security and anti-corruption enforcement Irina Yarovaya, Deputy chairman of the committee of the Council of the Russian Federation for agricultural and food policy Vladimir Plotnikov, Deputy minister for agriculture of Russian Federation Aleksandr Chernogorov, Director of the livestock farming and breeding industry department Vladimir Labinov.

During the speeches the most pressing issues of the livestock farming sector were brought up: inaccuracy of statistics, propriety of the course of state support to the sector, adulteration and adulteration control, promotion of milk as an important consumer product.

The report of Naum Babaev was dedicated to the issue of investments into the dairy farming of the country. He briefly described the projects, currently being implemented by “Rusmolco” and emphasized a special part, which the regional authorities play nowadays in terms of creating an attractive investment climate.

One of the factors which negatively affect the investment attractiveness of the sector, which Babaev outlined, is the inconsistency of the policy in terms of state subsidy assistance for dairy farming. He emphasized:

“We need very simple and clear game rules, and, most importantly, these rules must not change retroactively. At least during the project pay-off period. It concerns the support both on the federal level, and from the federal subjects. If we start developing any business-plan with a pay-off period of eight years we need to be sure, that within these eight years all the support that was promised will be available. Otherwise it will be very hard for us to converse with our investors”.

Among other issues N. Babaev outlined the human resources scarcity within the sector and backwardness of the system of agricultural higher education in the country, as well as the absence of an actually working agricultural insurance system. In the conclusion Naum Babaev underlined the importance of the work done by the National dairy producers union and remarked that “for the last couple of decades, for the first time, our country saw the establishment of a union in which producers and processors started talking and living in unity”. “I believe, that we should cherish it», - concluded N. Babaev his report.

February 6, 2013