The President of the Worldwide Moldovan Business Association (MBA), Alexei Repede, and the President of the National Farmers’ Federation of Moldova (NFFM), Valeriu Cosarciuc, signed the Collaboration Agreement between the two organizations.
The signing of the cooperation agreement between the two organizations started from the need to support and develop the agricultural sector in the Republic of Moldova, as well as to extend and develop the cooperation relations between the MBA and the NFFM. At the same time, it is necessary to create favourable conditions for the development of competitive agriculture in the country.
Also, the Microfinance Cooperative of Agricultural Producers, which would operate on the market of microfinance of the agricultural sector with financial instruments and products, was launched. They would meet the needs of small rural entrepreneurs and help increase access to financial resources and the development of small and medium-sized enterprises in agriculture.
The decision to create the Microfinance Cooperative was made after the analysis of the real situation on the microfinance market in general and especially in the agrarian sector. Holders of agricultural land are going through financial problems and permanently are in need of financial resources at least for the completion of the current means. Even if they are not bankrupt, they urgently need microfinance institutions.
MBA and FNFM will support and develop several joint projects. Thus, small private farmers in the Republic of Moldova will benefit. The two organizations will provide agricultural advisory and technical assistance services and implement projects in biodynamic agriculture. They will also create Enterprise Co-operatives to facilitate market access and scientific research.
Alexei Repede said that for almost one year MBA organized meetings and working visits, the most recent being in Cahul with Mayor Nicolae Dandis. Following these visits and meetings, farmers have exposed their problems. The lack of state protection and the subsidy system that only favors some farmers is detrimental to small farms. Other issues such as ambiguous legislation, the difficult fiscal system, the lack of cheap financing, the monopolization of the production and acquisition market, the absence of silos and the preferential collection made by slaughterhouses, destroy what remained of Moldova’s agriculture. There are no specialized laboratories in agricultural products in the country and for this reason the sale of poor quality products, most of the smuggling, is facilitated.
Entrepreneurs from diaspora want to bring technology, knowledge and capital. At the same time, they want to invest in their country, because they have not gone forever.
“I have learned abroad what it means to be competitive, what it means to have access to modern machinery, technology and manufacturing processes. I have known methods of expanding on new markets with the highest quality products. We will implement our knowledge with which we have built our businesses abroad, in order to develop and capitalize the potential of the lands where our parents and grandparents have worked. We are convinced that the potential of our country can be capitalized and we want to demonstrate that it can”,
said Alexei Repede.
Valeriu Cosarciuc pointed out that the National Federation of Farmers, as a representative organization of farmers, repeatedly mentioned the important role of agriculture for the social-economic development of the Republic of Moldova.
Promoting well-thought-out policies in this sector would contribute to significant economic growth and provide conditions for a decent living for the rural population, which, unfortunately, for the most part, is severely affected by poverty.
“We are aware of the importance of cooperation between economic entities that have creative capacities to identify solutions to the problems faced by farmers in Moldova. For this reason, the FNMF supported the establishment of the cooperation relations with MBA. We plan to grant multilateral support to farmers in our country. We will do it in collaboration with our compatriots who have felt and passed the practice of living businesses where the economy is truly a market economy”,
said Valeriu Cosarciuc.
“We will find together the way for our farmers to fundings with reasonable interest rates and to the market for high value-added agricultural products by applying advanced technologies in the growth, storage, processing and marketing of agricultural and food products. For this, we propose to elaborate and implement joint projects of technical and investment assistance in the field of agro-food “,
added the president of FNMF, Valeriu Cosarciuc.
Therefore, the MBA, together with the FNMF, decided that under the co-operation agreement there will be three basic directives: activities to facilitate investments in the agricultural sector, the construction of silos and storage facilities and the identification of new markets.