Фото: Пул первого
Aliaksandr Lukashenka believes Belarus should abandon unwarranted subsidies in the agro-industrial complex. He made the statement at a meeting today on the development of the flax industry.
“The government is currently working on a new system of support for agriculture. This process will also affect flax production.
I mean thoughtless subsidies, which the government sometimes hands out as if it were here only temporarily: ‘Take this, and this…’ We will review all these subsidies. I want to stress once again: this does not mean that we will take subsidies away from agriculture tomorrow. No country in the world does that. But we will look at what is given, to whom and in what amounts,” he said.
Lukashenka also outlined problems in the flax industry.
“The main thing remains unchanged: the country has established a raw material base, and the key priority for the future should be the production of goods with high added value. This requires deep processing of raw materials. We need to make the flax industry more competitive and increase revenues from flax cultivation and processing throughout the entire chain, from farmers to industrial producers,” he said.
He then listed a number of problems facing the industry. For example, technological regulations are not being followed. Land is allocated for flax cultivation for just one year, and the plots are often unsuitable for growing it.
“Moreover, this year the target for sown areas was not met: more than 6,500 hectares were not planted. How can this be? You set these targets yourselves! Why did you fail to meet them?” he asked.
Lukashenka listed instances of delays in both sowing and harvesting flax.
“What kind of raw material quality can we expect after such violations of technology?” he said.
“I remember that in mid-September there was rotten flax lying in the fields, overgrown with weeds. And before my visit, they supposedly pulled it up… You are ruining your own harvest and wasting your own money, then come begging for budget funds. This nonsense ends this year,” Lukashenka said, emphasizing the point.
However, his remarks suggested that the same “nonsense” was already planned for next year.
“In our plans for 2027, we are making the same mistakes again: some of the selected land is unsuitable for growing flax, and straw has still not been cleared from some fields. In this regard, I have a legitimate question for the government and regional executive committees: what is preventing you from sowing flax and lifting flax retting straw on schedule?” he said.
He also noted that modernization of flax mills was proceeding slowly and that production of Belarusian self-propelled machinery had not been established. Due to the lack of specialized storage facilities for flax retting straw, around 20% of it is stored in stacks, where it deteriorates.
Pricing policy also raised questions.
“The difference between market prices and prices under state procurement orders ranges from 21% to 46% lower. On top of that, the price of flax fiber under state procurement orders is reduced. How are we supposed to understand this kind of economics?” he asked.
Lukashenka also stressed that the Orsha Linen Mill, although operating at a profit, owes that profit entirely to tax breaks and subsidies.
“This is the country’s largest light industry enterprise. Its headcount is almost 3,500 employees. Tens of millions of dollars have been invested in the company. The state makes its raw materials cheaper. So you are making a profit now, but it is thanks to the benefits, preferences and subsidies you receive,” he added.
The result is that Belarus produces low-grade raw materials and exports them, while the linen mill purchases high-quality raw materials abroad.
“The main product made from short fibers is still so-called coarse cottonized flax fiber, a semi-finished product that has undergone just one stage of processing. Almost all of it is exported as a raw material. At the same time, the country imports blended yarn made using that very cottonized flax fiber. So the question is: what are we modernizing if imports are increasing?” he said.
As usual, he found the solution to these problems in personal accountability.
“Starting tomorrow, Gorlov, as minister, will be fully responsible for the entire process, from cultivation to flax fiber production. He bears overall responsibility for it. Karanik, together with scientists, must develop a system covering fields, seeds, crop care, harvesting, processing and sales,” Lukashenka ordered.