Armenian government to subsidize acquisition of elite winter wheat seeds by farmers
02.07.2020,
16:26
The government of Armenia approved today a pilot program of state assistance to wheat growing farmers.
YEREVAN, July 2. /ARКА/. The government of Armenia approved today a pilot program of state assistance to wheat growing farmers.
Economy Minister Tigran Khachatryan said studies show that the yield of winter wheat from a hectare is very low- less than 2 metric tons (more than 95% of it is grown in 7 regions of the country and the rest in Armavir, Ararat and Vayots Dzor).
“Studies show that the main reason is the poor quality of seeds,” Khachatryan said. He said also that in order to increase the yield, it is necessary to ensure the availability of high-quality seeds in the market, in particular, to create conditions for the private sector to enter the market on the basis of competition.
The minister said that today the cost of elite varieties of winter wheat in the market is 210-220 drams per 1 kg (300 kg is required per 1 ha), while under the pilot program, the authorities will subsidize 70 drams per 1 kg, and the rest will be paid by farmers who can sell the crops they have now at 100 drams per 1 kg, add 50 drams and receive elite varieties.
He said the program is mainly aimed at farms with an area of less than 20 hectares, which will require 7 thousand kg of elite seeds.
According to the minister, as a result of the implementation of the program, the yield from one hectare will grow to 3 tons, while the farmer will receive additional income of 100 thousand drams from each 1 ha.
In fact, if a farmer buys an average of 300 kg of seeds, he will have to pay 36 thousand drams more. Of that amount 21 thousand drams will be paid by the government. The net profit from a hectare will be 85 thousand drams. In case of 10 hectares the farmer will receive 850 thousand drams of additional income.
The minister said the government is also ready to provide laboratories for free to check the quality of seeds. He added that the goal is to secure up to 5 thousand tons of high quality seeds by autumn. -0-
Economy Minister Tigran Khachatryan said studies show that the yield of winter wheat from a hectare is very low- less than 2 metric tons (more than 95% of it is grown in 7 regions of the country and the rest in Armavir, Ararat and Vayots Dzor).
“Studies show that the main reason is the poor quality of seeds,” Khachatryan said. He said also that in order to increase the yield, it is necessary to ensure the availability of high-quality seeds in the market, in particular, to create conditions for the private sector to enter the market on the basis of competition.
The minister said that today the cost of elite varieties of winter wheat in the market is 210-220 drams per 1 kg (300 kg is required per 1 ha), while under the pilot program, the authorities will subsidize 70 drams per 1 kg, and the rest will be paid by farmers who can sell the crops they have now at 100 drams per 1 kg, add 50 drams and receive elite varieties.
He said the program is mainly aimed at farms with an area of less than 20 hectares, which will require 7 thousand kg of elite seeds.
According to the minister, as a result of the implementation of the program, the yield from one hectare will grow to 3 tons, while the farmer will receive additional income of 100 thousand drams from each 1 ha.
In fact, if a farmer buys an average of 300 kg of seeds, he will have to pay 36 thousand drams more. Of that amount 21 thousand drams will be paid by the government. The net profit from a hectare will be 85 thousand drams. In case of 10 hectares the farmer will receive 850 thousand drams of additional income.
The minister said the government is also ready to provide laboratories for free to check the quality of seeds. He added that the goal is to secure up to 5 thousand tons of high quality seeds by autumn. -0-
