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Grants and Subsidies Are the Most Popular Measures to Support “Hectares” Recipients

According to results of a survey conducted by Agency for the Development of Human Capital in the Far East, subsidies and preferential conditions for doing business — one of the most popular measures of support for Far Eastern Hectare recipients. CEO Agency for the Development of Human Capital in the Far East Valentin Timakov told us what kind of support measures available to citizens, cultivating the Far East land.

More than 55% of respondents consider necessary the provision of financial support (grants, subsidies). Such measures are developed and working successfully in three Far Eastern regions — Sakhalin oblast, Khabarovsk Krai and Sakha (Yakutia) Republic, noted the head of the Agency.

“In Sakhalin for the Far Eastern Hectarerecipients in the framework of the state program of development of agriculture organized delivery of small agricultural equipment under leasing contracts with payments deferred for 6 months and a subsidy of 50% of payments during the entire term of the contract. 25 recipients of the far Eastern acres have already received 49 of 93 vehicles under these conditions. Additionally, Sakhalin Oblast Government has provided grants to the citizens for the organization of agricultural production, including the purchase of seed, fertilizers, farm animals and so on. The maximum grant amount is 100 thousand rubles per 1 hectare, but not more than 90% of the costs. 7 participants of the “Far Eastern Hectare” program received such grants based on the results of the first selection of applications. Priority support measure for the development of agriculture on hectares provided in the Republic of Sakha (Yakutia)”, – said SEO Agency for the Development of Human Capital in the Far East Valentin Timakov.

Also in demand concessional lending and leasing with the support of the business. In Khabarovsk Krai the representatives of small and medium-sized businesses who have received hectares, can take advantage of Far East preferential microloans in the amount of up to 3 million rubles, the per annum rate is 9 %. Also popular special loan product provided by “Mail Bank” together with Far East Development Fund. To date 244 applications were received from program participants, 52 of them already approved, 3 credits were issued.

“Essential help for citizens, developing land can be a support measure that is valid in all territories of the Far East – lump-sum payment for unemployed at registration as an artificial person, individual entrepreneur or the peasant (farmer’s) economy. In Primorsky krai 4 owner of the Far Eastern Hectare, have used this service and have already opened their own business. Each of them received about 60 thousand rubles, as well as lump-sum payment for the preparation of documents for state registration. In addition, citizens could take advantage regional support measures, like subsidizing the cost of leasing, grants for entrepreneur and farmers, grants for development of family livestock farms”, – said Valentin Timakov.

Minister of the Russian Federation for Far East Development Alexander Galushka has repeatedly stressed: “We seek to focus on people’s opinions to make the support mechanisms really working and as convenient as possible for citizens who are genuinely interested in the economic development of obtained land.”

All kinds of state support (about 35 measures), which can be useful during the development of “Far Eastern Hectare” collected on the website of Agency for the Development of Human Capital in the Far East. In addition, the Agency has standard solutions portfolio and business plans, you simply select the desired direction and to adapt the project under specific climatic conditions and peculiarities of doing business in a particular region, stressed Valentin Timakov.

“According to our data, almost 70% of the “Far Eastern Hectare” recipients need support of the experts or mentors in the business, more than 90% need support in obtaining advice. And we are ready to provide all necessary information and methodological assistance”, – said the head of the Agency.

It should be reminded that the “Far Eastern Hectare” program grants the right for every Russian citizen to receive a plot of land up to 1 ha in the Far East for free. From June 1, 2016 the program went into effect for residents of the Far East and from February 1, 2017 — for all Russian citizens. Currently, almost 96 thousand applications submitted for the “far Eastern acres”, about 23.5 thousand land plots are issued for use.