The Ministry of Agriculture has established new rules for the distribution of a single subsidy since 2020. In the updated draft document, state support will be divided into “compensating” and “stimulating”. The amount of “compensating” subsidy will be 34 billion, “stimulating” - 26,9 billion rubles. The draft Government Decision is published on Regulation.gov.ru.
The project approves the new Rules for the provision and distribution of subsidies to support agricultural production in certain subsectors of crop and livestock production, as well as agricultural insurance (“offset” subsidy) and to stimulate the development of priority subsectors of the agro-industrial complex (“incentive” subsidy). The “compensating” subsidy will be distributed in the following areas: - for carrying out a set of agrotechnological works in crop production at a rate per hectare of sown area; - to support own milk production - at a rate per 1 kg of milk; - to support livestock breeding - at the rate for 1 head of farm animal; - to support elite seed production - at a rate per hectare of sown area; - for the development of traditional subsectors of crop and livestock production at a rate per 1 hectare of sown area and (or) per 1 head of a farm animal; - for the development of animal husbandry - at the rate per 1 ton of sold and (or) shipped for its own processing of livestock products and (or) at the rate per 1 head of farm animal; - to pay insurance premiums accrued under insurance contracts. The “compensating” subsidy will be formed from the share of each region in the total value of indicators for the country. At the same time, if the directions of support are distributed according to several indicators, then each of the indicators will be assigned a coefficient of significance.
A “stimulating” subsidy will be provided for the development of priority sub-sectors of the agro-industrial complex and involves support in the following areas: - production of grain and leguminous crops; - oilseed production; - production of vegetables of open ground; - development of vineyards; - production of fruit plantations; - production of flax; - milk production; - development of specialized meat cattle breeding; - development of sheep husbandry; - development of small forms of management; - the development of entities with a low level of socio-economic development (10 entities). The latter area provides support for 10 regions that have taken the worst positions in economic development.
When calculating subsidies, a limiting coefficient will be introduced for the average share of the region in the amount of subsidies for the past three years: for “compensating” - 5%, for “stimulating” - 40%. As noted in the explanatory note to the document, “a change in the structure and mechanism of the provision of state support in 2020 will provide an individual approach to the distribution of subsidies for each subject of the Russian Federation based on priority areas for the development of regions”. The Ministry of Agriculture suggests that in the end this will increase production volumes in priority areas for each region and increase the effectiveness of state support.