Rus News Journal

The government has protected sveklovodov

Now sugar will rise in price
  the Government has protected sveklovodov
Now sugar will rise in price

Michael Kasyanov has signed the decision about introduction since December, 15th of this year of a quota for sugar import - a raw at a rate of 3,65 million tons. According to the majority of participants of the market, it will allow to stabilise wholesale prices for sugar and to raise profitability of activity sveklosaharnogo a complex of Russia.

According to the decision, sugar import - a raw within the limits of a quota will be carried out so: 1,15 million tons will arrive in the country from December, 15th, till March, 30th the next year, 1,5 million tons will be imported in the second quarter, 600 thousand tons - in the third, 400 thousand - in the fourth. Will sell quotas at auction by prizes on 25 thousand tons everyone (dates of the auctions while are unknown). The raw delivered within the limits of the governmental quota, will be imposed tax in 5 %. All other parties of import raw materials for saharopererabatyvajushchih factories will get under the duty to 30 %.
Russian sveklovody are completely satisfied. 65 - 80 % of total requirement of the Russian market of sugar (all it is necessary for Russia 5 - 6 million tons a year) are provided with processing of an import raw from Latin America. And remained 20 - 35 % - result of processing of a domestic sugar beet. Here some years of an agricultural production try to limit raw import. From their giving for the period of beet cleaning (from the middle of summer on the end of autumn) prohibitive duties for raw import were entered, as a matter of fact: in 1998 - special duties in 74 %, and in 1999 - m - seasonal in 40 %. It has not brought expected effect. Importers imported a raw before coming into force of seasonal duties, For emergency . Moreover, last year into Russia have imported record volume of a raw - about 5,7 million tons. The market has appeared is overloaded, the prices have fallen (from $440 for ton in January 1998 - go to $280 in December), and release sveklovichnogo sugar became unprofitable.
in the end of 1999 to correct a situation, sveklovody have suggested to enter instead of seasonal duties quotas for import of a raw at a rate of 3,5 - 3,7 million tons. Reaction to this offer from participants of the market was ambiguous: some have considered that the raw will be delivered by some companies, and other importers to distribution of quotas will be not not admitted. Nevertheless in half a year of coordination the document nevertheless has been accepted.
now to home producers of sugar sale is guaranteed. It is available as well all preconditions for a rise in prices for sugar.

DMITRY - DOBROV