Russian President speaks about new forms of rural economics

Russian President Vladimir Putin underscored the importance of introducing "new, up-to-date forms of rural economics." According to the Russian President, the new forms of rural economics should "raise the efficiency of cooperation between all participants in the production process: from financing and production to the processing of the products and their delivery to the consumers." The head of the state also came out for a more active participation of the state in this process.

"Both federal and regional bodies should contribute to the creation of big integrated complexes, should find the ways for insuring agricultural risks and contribute to the development of leasing schemes," said Vladimir Putin, speaking at the meeting with members of the Presidium of the Central Council of the all-Russian public organisation of the Russian Agrarian Movement which took place on Tuesday in the Kremlin.

On the whole, according to the President, the state bodies must "stimulate the use of adequate, most up-to-date methods of rural economies." Vladimir Putin pointed out that "the production growth in the agrarian sector is still hampered by administrative barriers, the poorly developed market infrastructure and legislative basis." The President said that though "in the past two and a half years Russia had considerably advanced in the legislative regulation of the land relations by having passed the Land Code and the Law on the Purchase and Sale of Agricultural Land, yet one more law has to be adopted - the Law on Mortgage - without which it is impossible to use many other market mechanisms, including the attraction of credit resources." Another important moment from the point of view of the President is "making inventory of the land and its cadastre evaluation, which will make it possible to ensure the transparency of land deals and to liquidate the ground for corruption and abuses."