Experts: agricultural development in Southern Russia needs changes in credit policy

Agrarians of Northern Caucasus and regions of Southern and Russia are ready to increase their production output, should the credit policy be changed, small businesses supported, protective tariffs introduced and fuel-and-oil prices reduced. Otherwise, all the talks about import substitution will remain in the field of the political PR, said the debaters of the "Caucasian Knot".

The experts polled by the "Caucasian Knot" correspondent were unanimous that sanctions (introduced by Russia) will lead to growth of domestic agriculture, while noting that consumers will experience certain difficulties. Also, according to economists, the introduction of sanctions may essentially affect the economy of Northern Caucasus.

Dagestan is absolutely unprepared to replace the earlier imported foodstuffs, said Mair Pashaev, a consultant on marketing and strategic development. He expressed confidence that none of the proposals in support of small businesses and farmers would be implemented by the government, since the latter lobbies the interests of huge monopolies.

The position of small farms and producers can improve only with the advent of long and cheap investment credits, said Rashid Tuguz, the director of the State Institution (SI) "Adygea Agricultural Research Institute".

Denis Sokolov, the Director of the Caucasian Centre of Project Studies (Moscow), has added the need serious investment into capacity building, technologies and sales systems.