At the Market Diversification Forum, the Minister of Agriculture also spoke about the agricultural memorandum with China
Agriculture Minister Vladimir Bolea returned from China two days ago and today announced at the Market Diversification Forum that the memorandum with his Chinese counterpart is not just about wine and cooperation in viticulture. The Chinese market is also opening up for Moldovan nuts, grains and fruit. Russia's aggression has caused a shock to agricultural exports, largely because of logistical bottlenecks.
According to official statistics, last year the agricultural sector generated nearly eight percent of Moldova's GDP and accounted for 36 percent of total exports. The problem with agricultural exports is low value added, the agriculture minister explained at the Forum for Market Diversification. Vladimir Bolea also spoke about the memorandum with the Chinese Ministry of Agriculture on the development of viticulture.
"The invitation was also for the promotion of Moldovan wines. But the discussion and the memorandum we signed also included the important element of expanding the types of exported products. We're talking about walnut kernels, we're obviously talking about cereals, because China is a cereal importing country. And we are dealing with the establishment of new value chains, such as cereals, which today go on a very short circuit: production of cereals - sale, export of cereals in the form of raw material, which drives farmers who are involved in the production and export of cereals out of business. And we are now working on rebuilding a longer network of the value chain, we are talking about animal husbandry," Minister Vladimir Bolea revealed at the Market Diversification Forum.
Grain exports are the issue at stake in farmers' protests. The Farmers' Association has forecast losses of 2 billion lei for the 2023 agricultural season.
For example, the wheat harvest could reach 4 tonnes per hectare. And at the price traders are offering of 2 lei and 50 bani it will generate revenues of ten thousand lei per hectare, while expenses will be about five thousand lei higher.
Last week, farmers took their tractors out on national roads and announced that they might protest in Chisinau. They are demanding compensation for the costs.
On the other hand, the Ministry of Agriculture intends to cover at least 30 percent of the expenses. Other demands include a ban on grain imports from Ukraine and prioritisation of Moldovan goods in the port of Giurgiulesti.