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DECISION OF ECONOMIC COUNCIL OF COMMONWEALTH OF INDEPENDENT STATES

of December 14, 2007

About Actions for development of leasing of agricultural machinery, machines and mechanisms in the State Parties of the CIS for the period till 2010

The economic council of the Commonwealth of Independent States solved:

1. Approve Actions for development of leasing of agricultural machinery, machines and mechanisms in the State Parties of the CIS for the period till 2010 (are applied), provided by Intergovernmental council on questions of agro-industrial complex of the CIS and Leasing confederation (union) of the Commonwealth of Independent States together with Executive committee of the CIS and considered by the Commission on economic problems.

2. Recommend to the governments of the State Parties of the CIS to use basic provisions of the specified Actions in practical work on development of leasing transactions in the agrarian sphere of gosudarstvuchastnik of the CIS.

3. This Decision becomes effective from the date of its signing.

 

For the Republic of Moldova

For the Republic of Armenia

For the Republic of Belarus

For the Republic of Tajikistan

For the Russian Federation

For Georgia

For the Azerbaijan Republic

For the Republic of Kazakhstan

For Turkmenistan

For Ukraine

For the Kyrgyz Republic

For the Republic of Uzbekistan

Approved by the Decision of Economic council of the Commonwealth of Independent States "About Actions for development of leasing of agricultural machinery, machines and mechanisms in the State Parties of the CIS for the period till 2010" of December 14, 2007

Actions for development of leasing of agricultural machinery, machines and mechanisms in the State Parties of the CIS for the period till 2010

 

INTRODUCTION

Need of development and implementation of actions on development of leasing of agricultural machinery, machines and mechanisms in the State Parties of the CIS for the period till 2010 (daleemeropriyatiya) is caused by the negative tendencies created and progressing in agro-industrial complex of the majority of the State Parties of the CIS.

For the last 10-12 years in a number of the State Parties of the CIS acreage were reduced and gross collection of grain and commercial crops decreased, the livestock of farm animals and bird decreased and production of meat, milk and eggs decreased.

The park of agricultural machinery was reduced twice. About 85% of the equipment which is available in the village are used over depreciation term. Installed power per employee of work in agricultural industry of gosudarstvuchastnik of the CIS is 5 - 10 times lower than the level of this indicator in economically developed countries of the world.

The unsatisfactory financial and economic provision of the majority of rural producers, their low purchasing power, the acute shortage of capital investments formed owing to repeated disparity of the prices of agricultural and industrial output and services are characteristic of the State Parties of the CIS.

In these adverse economic conditions to suspend and overcome action of the above-named negative tendencies it is possible only on the basis of system, program and target approach to the solution of this problem, rationally organized and coordinated collective actions in the single normative and legal circle with use of the most economic, effective investment tools.

I. MAIN OBJECTIVES, TASKS AND TERMS OF THE IMPLEMENTATION OF ACTIONS

Main objectives of Actions are practical assistance to recovery and updating of the park of the equipment, machines and mechanisms of the agricultural industries providing expanded reproduction of products of crop production and livestock production in the State Parties of the CIS to the level sufficient for homeland and collective food security and the organization of effective participation of subjects of managing in this process.

In turn, additional demand for agricultural machinery, machines and mechanisms activates the corresponding industries of mechanical engineering.

Within the Actions the solution of the following tasks is provided:

- expansion of application of interstate leasing as most acceptable and perspective in the developed economic conditions of the investment tool having semicentennial successful experience in the world on the basis of use of program and target method of management of development, the general agreement of subjects of managing on joint activities and the single legal framework;

- initiation of actions of manufacturers, suppliers, lessors for forming of joint credit mortgage funds;

- development of methodology and practical application: konsortsialny crediting; syndicated insurance;

- forming of joint mortgage funds of rural leasing recipients;

- creation of the agricultural service centers (mashinotekhnologichesky stations) for complex servicing of agricultural producers;

- initiation of active actions executive and legislative authorities on support of contractors of Actions and other tasks.

At the initial stage of implementation of actions Offers to the Pilot project of interstate leasing deliveries of agricultural machinery, machines and mechanisms to subjects of managing of the State Parties of the CIS for the period till 2010 will be specified (further - Offers, appendix), and on this basis the Pilot project of interstate leasing deliveries of agricultural machinery, machines and mechanisms to subjects of managing of the State Parties of the CIS for the period till 2010 (further - the Pilot project) which is their main component will be developed.

The implementation of actions is expected the period till 2010.

II. FORECAST AMOUNTS OF INTERSTATE LEASING DELIVERIES

According to forecast Offers delivery of agricultural machinery, machines and mechanisms for satisfaction of requirement of agricultural producers of the State Parties of the CIS for amount to 1686, of 3 mln. dollars of the USA is provided.

mln. dollars of the USA

+-------------------------------------------------------------------+
¦Государства - участники СНГ¦  2008 г.  ¦ 2009-2010 гг. ¦  Всего    ¦
+---------------------------+-----------+---------------+-----------¦
¦Азербайджанская Республика ¦   11,3    ¦     22,6      ¦  33,9     ¦
¦Республика Армения         ¦   3,2     ¦     6,5       ¦  9,7      ¦
¦Республика Беларусь        ¦   50,7    ¦     148,0     ¦  198,7    ¦
¦Грузия                     ¦   6,0     ¦     12,0      ¦  18,0     ¦
¦Республика Казахстан       ¦   73,0    ¦     161       ¦  234,0   

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