Medvedev proposes special bankruptcy regime for agribusiness
2011-05-18 18:31:35
Russian President Dmitry Medvedev proposed on Wednesday the introduction of special bankruptcy procedures for agribusiness companies.
"We must be very careful about the introduction of bankruptcy procedures in rural areas ... There must be a special regime," Medvedev told a news conference at Skolkovo School of Management.
He said that the agricultural sector in Russia was not just another industry but employed a third of the country's population compared to 3-5 percent in developed states.
Neither he, nor Prime Minister Vladimir Putin had imposed a prohibition on agribusiness bankruptcies after last year's drought, which wiped out a third of Russian crops, but such an order had in fact been sent to those provinces helping to minimize bankruptcies, he said.
Medvedev also said that the government would support agribusiness further because Russian farmers were at a disadvantage compared to farmers in other countries.