Summary of newsmakers from the previous day 11. 4. 2005

Direct farmers´subsidies are to increase to 13 milliard CZK this year

This year direct subsidies for farmers are to increase roughly to 13 milliard CZK from 11.65 milliard CZK in 2004. The EU subvention will grow approximately to 8 milliard CZK from last year´s 6.5 milliard CZK. The national top-up is likely to account for 5.04 milliard CZK, it was 5.2 milliard CZK last year. The regulation setting the conditions for payment of this year´s top-ups from the budget is to be discussed by the government on Wednesday, reported the Ministry of Agriculture. The total amount of subsidies directed at agriculture should be almost 30 milliard CZK. Having joined the European Union they already climbed by more than 10 milliard to 26 milliard CZK.

Kunín dairyworks to increase export thanks to new contracts with Hungary

Kunín dairyworks has concluded new contracts on export to Hungary. Thus, it will gain 180 million CZK this year, which means that this country is to become the biggest foreign company´s subscriber, said today the dairyworks´ general director Zbyněk Gebauer. This year Kunín dairyworks expects it will have an income of more than 200 million CZK in comparison to the last year´s 178 million CZK. A part of company´s production will be exported to Hungary for the first time with their company logo. It will concern yogurts and milky rice worth 5 million CZK. So far the dairyworks had already exported their products to foreign chains, however, the goods were labeled by a particular business chain.

Beer production in the Czech Republic is yet to slightly grow this year

In comparison to the last year, this year´s beer production of Czech breweries is to climb by 260,000 up to 300,000 hectolitres. Yet, all 48 companies produced 18.75 million hectolitres of beer, which was more than 1.1 per cent more than in the previous year. The growth of sales is above all secured by export, which will advance by at least 10 per cent from 2.64 million hectolitres of beer in the last year, said today Jan Veselý, chairman of the Czech Association of Breweries and Malt-houses. „The production so far is on 100 per cent of the last year´s figure,“ he stated. After joining the European Union, Czech export has been growing significantly and this trend is likely to last long. Out of 48 breweries 41 of them export abroad the largest markets are in Slovakia, Germany and Great Britain, a great potential might be found in the Ukraine and Russia, where living conditions are rising.

Apple growers expect a loss of several dozens millions crowns

A loss of several dozens millions of crowns is expected by Czech growers in the sales of last year´s apple harvest. The reason behind is a drop in farmer´s prices by approximately a quarter, which was caused particularly by the huge last year´s surpluses and the import of cheap apples from Poland. „Some growers could go bankcrupt,“ said today Matin Ludvík, the secretary of the Fruit Union CZ. He claims that farmer´s prices for a kilogram of apples usually fluctuate between 8 to 10 CZK, which is less than in last October after the end of harvest. Unlike in the previous years, fruiters did not make a profit with the summer fruit either. For example, last year´s prices of cherries dropped from 14 to 6 CZK per a kilogram and a significant price fall at plums and red current was recorded as well.