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27 April 2024

News

11.05.2012

Regulatory activity in agriculture inhibits the development of agrarian enterprises

Association "Ukrainian Agribusiness Club" (UCAB) supports the President's initiatives to simplify regulatory activity. But experts of UCAB believe that special attention should be paid to practice administration of public services.

As noted in the UCAB, most permits in agriculture associated with quality and safety of products and their production is objectively necessary. However, in many cases, checks are understudied and sometimes business persons complain about the inspection services’ efforts to receive payments not required by the law.

As an example of duplication UCAB experts called need to check for the presence of GMO grain in an elevator and in a port. "If test in a port is required, it makes no sense to check in linear elevator" - said Director General UCAB Volodymyr Lapa. But most of issues, he said, are the cost of services. Thus, if the test in linear elevators costs 1-1, 50 USD in terms of ton of grain, in a port - for 8 USD, so obvious is the fact of overpricing services 5-7 times.

UCAB experts say that if to sum value of all public s
ervices inspections, it will be about 32 USD in terms of a ton of grain for export. These funds lose farmers selling grain. Moreover, in some regions agricultural producers complain about the need for additional payments, including certification of grain in storage and obtaining particular permits. Their amount can reach 15-25 USD. in terms of ton of grain.

In UCAB hope that improvement of the regulatory policy will eliminate unnecessary costs of owners of grain. "The problem of grain logistics cost is chronic for the country, - says President UCAB Alex Lissitsa. - But we hope that it will not prevent to bring it structure, taking into account resolve of top management of the country".

Additional information by phone: +380 44 201-49-50
E-Mail: [email protected]
UCAB Press Office

Tetiana Kotyk 




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