Moldovan government approves draft law on producers groups

The government today approved a draft law on producers groups and their associates.

The draft was worked out by the Agriculture and Food Ministry, in order to create the needed legal framework for the setting up, recognition and work of the producers groups, with a view to promoting, selling and turning to account the farming goods of the members of the producers groups.

At the cabinet meeting, Deputy Agriculture and Food Ministry Viorel Gutu has said that the concerned law would create a string of facilities for the agricultural producers who are to associate, among which a better position on the market, higher prices for the sold products, opportunities for consolidating the capital. The document also sees that a group of producers may be made up of at least five agricultural producers.

To stimulate the creation of producers groups, the state will provide them with financial support during five years. In the first activity year of the group, the state will give a support accounting for 5 per cent of the gained turnover, 4 per cent in the second year, 3 per cent in the third, 2 per cent in the fourth year and one per cent in the fifth activity year.

The draft is to be considered and adopted by the parliament, and will enter into force six months after the date of its publication.

Adapted from moldpres