Summary of newspapers of the previous day – 17.10. 2011
18.10.2011 | Agris
Commodity: Strong demand from China side increased price of agricultural commodities
At the end of last trade week, the price of main agricultural commodities continued on its slight growth. The week beginning did not bring much news. Therefore commodities still keep up. The price of soya beans got to an opening value 1266 USD/100 bushels (1 bushel is c. 27.21 kg) this morning. Shortly after the opening it slightly weakened, but midmorning it already starts to strengthen. Today, rather stagnation is expected or a slight increase of the soya beans price. American corn situation is very similar.
TZ SZIF started to pay off subsidies to farmers managing in les favourable areas today
The State Agricultural Intervention Fund started to pay off subsidies to applicants farming in less favourable areas (LFA) today. Of the total number 12 447 received applications, 8 202 decisions have been sent to this day of which 312 have come in legal force and have been delivered to be paid off. During this day, minimally 91 000 000 CZK will be paid off. The LFA support serves as a compensation to farmers who manage in the given type of less favourable area. The amount of evening up contribution is converted into a hectare of grass growth according to the type of LFA. The subsidy is covered from 20 % of national and 80 % of European resources. Farmers have to ask for this subsidy in the framework of the Unified application always till the 15th May of calendar year.
ÚOHS will examine in details one of last acquisitions of Agrofert
The Office for the Protection of Competition (ÚOHS) will investigate in details one of the last acquisitions of Agrofert owned by Andrej Babiš. Babiš wants to overrule Loredena Corporation any by means of it also Agropodnik Domažlice. It announced the acquisition to the Office at the August end; it has not received an agreement of the Office yet. Moreover, ÚOHS prolonged a term for issue of decision for five months. The office confirmed the news to ČTK without any other details today. In the five-month term, the Office judges fusions only sporadically. This year, it solves in a longer term only a foundation of Český Aeroholding; ÚOHS started the proceeding in May. In recent years, ÚOHS in five-month term allowed with conditions for example a fusion of Agrofert with a competitive Agropol.
Will does minister understand farmers?
The fact that the new Minister of Agriculture Petr Bend declared after his coming a general effort “to continue in reform steps” could not surprise anyone. However, it will be substantial, how this effort will be fulfilled concretely. From a view of private farmers, undoubtedly the biggest priority is a reduction of bureaucracy which minds the more the more sophisticated production it creates. For example, when they produce foods from own raw materials for sale “from farm”. However, the reduction of bureaucracy and increase of processing rate of raw material goes from the matter of fact against each other - so, it is an utterly strategic decision to which to give higher priority. Logically, it should be given to creation of higher added value, so the support of processing rate.
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