Negotiations on VAT Compensation for Farmers, Rrapaj: We’re Passing into a Trade Clash

It seems that the problem of livestock farmers and women who came out in mass protests after the fall in the value of the value added tax compensation this year is going from 20 to 6%.

The working group set up for this purpose in the Ministry of Agriculture has proposed a subsidy measure for dairy producers at 10 Lekë per liter, not only for the first quality milk (currently benefiting) but for all categories.

Kërkesa pritet të marrë miratimin e Ministrisë së Financave dhe Ekonomisë. Nëse edhe këtë herë nuk do të gjendet një zgjidhje, agropërpunuesit thonë se do të vazhdojnë bojkotin për të mos blerë më prodhime në tregun vendas.

According to the chairman of the Albanian Agribusiness Council, Agim Rrapaj, the clash is shifting from institutional to a trade clash. Already they are fighting with importers of milk and their by-products. “We are heading towards a collision between domestic importers and producers, whereby with the reduction of the VAT reimbursement winner will be the importer.

He explains that the exclusion from VAT on inputs in agriculture has not been able to effect the reduction of prices of seeds, seedlings and fertilizers because of the traders’ stock, by undermining the argument of lowering costs for farmers with this measure has been done by the Ministry of Finance.

“Despite the abolition of VAT from agricultural inputs prices continue to be high, as companies have reserves from last year and imported them with VAT”, – explains Rrapaj.

If the situation is not resolved on April 3, farmers and livestock farmers will gather in Lushnja to continue the protests launched in the last month.

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