Expert-Grup

Round table: assessing the efficiency and transparency of the use of the fund for subsidising agricultural producers

Published: Tuesday, 3 July 20121 views
Round table: assessing the efficiency and transparency of the use of the fund for subsidising agricultural producers

Agricultural subsidisation is a subject that traditionally prompts many contradictory discussions. It is well known that subsidies interfere with the play of the market and, consequently, reduce the efficiency of the use of economic resources. On the other hand, subsidies are important factors that determine the development of the agricultural sector. Since declaring its vector of European integration, the Republic of Moldova must, within the limits of its possibilities and the national context, take into account pol

The Independent Think Tank “Expert-Grup”, with the support of the Soros Foundation Moldova/Good Governance Programme, has prepared the study “Assessing the efficiency and transparency of the use of the fund for subsidising agricultural producers”, which analyses the subsidisation measures in the Republic of Moldova in 2006-2011, agricultural producers’ access to subsidies, the institutional and regulatory framework and the institutional capacity of the Agency for Interventions and Payments in Agriculture. In general, the dominant opinion in the agricultural producers’ community is that agricultural subsidies in the Republic of Moldova are insufficient. Given the limited volume of public resources available for agricultural subsidisation, the experts discussed at the round table how well founded the subsidisation directions and measures are, and whether resources are allocated in a way that most adequately reflects the needs of the agricultural sector and of rural development.

Given the many gaps in the subsidisation system, the authors of the study propose a set of measures that could bring significant improvements to the policy framework and would ensure a coherent and functional regulatory framework. The round table was attended by representatives of government institutions, NGOs, donor institutions and the media. The event took place on 3 April 2012 in the Conference Hall of the Jolly Alon Hotel.

The event was organised by the Independent Think Tank “Expert-Grup” within the project “The budget process in the Republic of Moldova: monitoring transparency and promoting public oversight” funded by the Soros Foundation Moldova.