Lukashenka’s New Decree On Farmsteads: Bringing The Dead Back To Life

Commentary
Плаха. Иллюстративное изображение создано с помощью ИИ

What makes Belarusian journalism distinctive? The constant déjà vu of the phenomena and trends it describes. The state first cuts private initiative off at the roots and then persistently tries to revive the beheaded corpse. More often than not, unsuccessfully. Motovelo, Miory Metal Rolling Plant, Carpets of Brest — the examples are countless. The history of Belarus’s rural tourism business is another case in point. It is a vivid illustration of how the state first destroys what private entrepreneurs have built through hard work and then, after assessing the results of its own “successful activities,” tries to bring the dead back to life.

A Successful Rise

Back in 2022, when the authorities decided to tighten the rules for farmsteads, we described in detail the history of the development of Belarus’s rural tourism business.

I will not retell all the details, but will limit myself to the main milestones. The first farmsteads appeared in Belarus in 2003. A year earlier, the Belarusian public organization “Agro- and Ecotourism” had been established, later renamed the Belarusian Public Organization “Rest in the Countryside.”

Many people were attracted by the idea of starting their own business, especially one that did not require relatively large investments. By 2006, 34 farmsteads were operating in Belarus. The number continued to grow: by early 2014, 1,881 farmsteads had been officially registered.

The business was seen as promising both by rural residents and by city dwellers, who often purchased abandoned houses and farmsteads away from major population centers. Farmsteads were conceived as a way to provide employment in rural areas and, in many respects, performed this function very well. The services they offered were in demand. In 2013, according to the Ministry of Sports and Tourism, 270,000 people stayed at farmsteads. About 20% of them were foreign tourists. Over the course of the year, farmsteads earned $7.2 million.

In 2016, Belarus took first place among European countries for the best tourist destinations in the “Agrotourism” category of a competition organized by National Geographic Traveler magazine. In 2018, the country won for the second time, beating Italy, China, Brazil and the United States. Experts noted that after rapid quantitative growth, Belarus’s rural tourism business had moved on to qualitative development.

The Music Did Not Play For Long

But then the state got involved. The term of Decree No. 372 signed by Aliaksandr Lukashenka back in 2006, which established the rules for providing services in the rural tourism sector, was extended for 10 years in 2010. But by 2016, the authorities were already talking about the need to amend the document.

Rumor had it that the restaurant lobby played a role, concerned about the loss of banquets, weddings and other celebrations to farmsteads. The hotel business was apparently none too pleased about the competition either. The state could not resist the pleasure of dipping into the pockets of rural tourism entrepreneurs — after all, they were paying just one basic unit a year and were even receiving preferential loans to develop their businesses. The fact that rural tourism was, to a large extent, a social program for the regions and remained one was somehow quickly forgotten. The argument was that many business owners had blurred the distinction between rural tourism and simply renting out houses for entertainment events. And besides — what kind of success is possible without participation and attentive guidance from above? Belarusian authorities do not like private initiative. Independence is a dangerous and contagious thing for them. The system cannot accept that some people can do without it and earn money. Not millions, but simply enough to live a decent life.

Proposals were made to introduce restrictions — for example, no more than 20 people could be staying at a farmstead at the same time. Those who could accommodate more people would have to re-register as individual entrepreneurs.

Farmstead owners said the changes were premature and would be devastating for their businesses. Hosting celebrations, corporate events and so on was the main source of income that kept the farmsteads operating. It allowed them to survive the off-season, when there were no tourists, while maintaining the infrastructure and preparing for the next season. As individual entrepreneurs, however, farmstead owners simply would not be able to operate. “As soon as an owner becomes an individual entrepreneur, the sanitary authorities and fire inspectors come to them and automatically impose new requirements. They treat them as an individual entrepreneur engaged in the hotel or catering business,” explained Valeryia Klitsunava, head of the “Rest in the Countryside” association.

It seemed that the rural tourism business had managed to fend off the threat. In October 2017, Lukashenka signed the relatively liberal Decree No. 365 “On the Development of Rural Tourism.” Farmstead owners were granted the right to provide a wide range of additional services, including holding presentations, anniversaries and banquets.

But at the end of 2021, the issue of tightening the rules for farmstead operations resurfaced. In October 2022, Lukashenka signed a decree “On the Development of Rural Tourism” that substantially changed the rules for the business. For example, farmstead operators were required to obtain permits to operate from district executive committees. Existing farmsteads had to obtain such permits by July 1, 2023. It was reported that special commissions were visiting sites to determine whether the properties met the requirements.

Regional executive committees were given the right to establish lists of settlements where farmsteads could not be located. Owners became liable for violations of public order committed by visitors. A ban was introduced on operating hotel and restaurant businesses under the guise of farmsteads, along with restrictions on holding presentations, banquets and other events in the immediate vicinity of neighboring residential buildings, among other measures. Farmstead owners became completely dependent on local officials, who were given the power to decide who would be allowed to do what and who would be prohibited from doing so.

What’s With The Face?

The state killed with its own hands what people had spent years developing and building. Farmsteads began to close under the weight of the new regulations. At the beginning of 2023, there were 3,043 farmsteads in Belarus. By the end of the year, fewer than half of them — 1,297 — had completed the re-registration. The figures are telling: in March 2024, in one of Belarus’s most tourist-oriented regions, the Braslaw District, only five farmsteads remained out of 300. In the Dubrouna and Talachyn districts, there were none.

And the blow was aimed squarely at rural areas. In many cases, it hit precisely those dying villages whose preservation Lukashenka is so keen to champion. The changes hit the countryside hardest, where earnings were already low and occupancy was not particularly high. Tourism was largely a supplementary source of income.

It took the state nearly four years to realize that something had gone wrong. Where it had wanted to cut down as much as possible, a scorched field was left behind. One is tempted to ask: state, what’s with the face? Did you count the losses and shed a tear?

Apparently so. Because yesterday Lukashenka signed a new decree “On the Development of Rural Tourism”. From now on, owners of farmsteads located away from major population centers — according to the document, 10 or more kilometers from the boundaries of a district administrative center by local and national roads (except for the Minsk Region) — will be able to pay a special levy instead of a tax. The levy has been set at 45 rubles as of Jan. 1, 2026. The second condition for paying the special levy is providing tourists with hands-on exposure to elements of rural life, crafts and traditions.

The decree allows farmsteads to have more than 15 residential rooms and expands the range of services their owners can provide to guests.

It also provides for the extension of preferential lending for rural tourism businesses by Belarusian Agricultural Bank for an unlimited period. Lending limits are being removed. The terms of loan agreements are extended from five to seven years for agricultural organizations and from seven to 10 years for individuals.

So, after first taking some to the morgue and others only as far as life support, the state has decided to breathe a little air into those who miraculously survived. In the hope that a couple more corpses might also be tempted by the new measures and somehow come back to life. Well, that is possible too — somehow, one has to survive. But I dare suggest that there will not be many willing to step into the same river once again. The state spent a long time and worked hard to convince its citizens that it would overturn anything it pleased, with no regard for common sense. It did so for so long that it even managed to convince the most die-hard optimists.

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The opinions and assessments expressed by the author may not coincide with those of the Reform.news editorial board.

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