During an appearance on the “Vocea Basarabiei” television program, Moldova’s President, Maia Sandu, emphasized the need for external partners’ support and the determination of farmers to reorient their businesses for the competitiveness of the country’s agriculture sector in the face of climate change.
President Sandu acknowledged that Moldova’s agriculture can only become competitive with the assistance of external partners and the willingness of farmers to reshape their businesses. She further noted that during her travels abroad, she strives to convince investors of the significant development potential within the country.
“We are trying to open up markets. We are supporting small and medium-sized enterprises. We are attempting to attract foreign investors in all my foreign visits. I have discussions with investors there, presenting Moldova as a suitable place for investments. Not always successfully, because some foreign investors tell me, ‘When you become a European Union member, then we will come, as that’s when we’ll have security. Right now, you are not a safe enough country,'” Said Maia Sandu.
The President explained that foreign investments will enable the establishment of more agro-food processing enterprises, essential for the development of profitable businesses.
“The state will not open enterprises. There is no such thing. Private investments are needed. We would be very pleased to see Moldovan investments there, including from the diaspora. We are trying to attract, to present investment opportunities, to support, to co-finance, or foreign investors. That’s precisely why I engage with foreign investors, as I want them to come and establish fruit processing, dairy processing, and other such enterprises in our localities because our agriculture will not develop without processing industries,” she stressed.
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Additionally, President Sandu highlighted the importance of revising the method of granting subsidies to facilitate the growth of the sector.
“There are still two billion allocated in 2023 for agriculture subsidies, but it is important that these subsidies reach companies with potential because agricultural subsidies are not a social assistance program. We have social assistance and other forms for that. Agricultural subsidies are offered or should be offered to companies that now need a little support so that, after a year, two, or three, they become profitable and contribute to the budget. But if we analyze how subsidies have been granted in the last 20 years, we won’t see a strong link between state support and the subsequent contribution of these companies that received state support to the same budget,” Maia Sandu said.
She also stressed the need for farmers to adapt to the changing climate, especially in the southern region, by reorienting their businesses and planting drought-resistant crops.
“This means that we need to think about what we can grow to be profitable. What methods we use to obtain a yield even in drought conditions because if someone believes they can sow the same things and incur losses every year, and the state will come and compensate for these losses, it won’t lead us anywhere. It won’t benefit the businessperson or us as a state and society,” was said in Conclusion.
In the current year, the Ministry of Agriculture and Food Industry in Moldova has approved various measures to support the agricultural sector, including the development of irrigation systems to enhance competitiveness in the region and the diversification of subsidization measures. Additionally, financial support of 200 million lei from the Government’s Reserve Fund has been allocated to assist farmers affected by the crises of 2022, along with foreign humanitarian aid in the form of diesel fuel.