Business news
Lukashenko encourages manufacturers to explore new markets to reduce stock in storage
MINSK, 22 June (BelTA) – It is necessary to push Belarusian products onto new markets. Belarus President Aleksandr Lukashenko made the statement during a conference with senior members of the Council of Ministers on 22 June, BelTA has learned.
During the conference Aleksandr Lukashenko wondered about the stock in storage at Belarusian enterprises. According to the president, he is concerned by the current situation and wants to find out how serious the issue is.
Prime Minister of Belarus Roman Golovchenko noted that there is a problem with selling certain kinds of dairy products. The stock in storage is worth nearly $400 million. In his words, the situation has been brought about primarily by prices on foreign markets as well as an increase in productivity on the key market – Russia.
Roman Golovchenko went on saying: “But specialists say that it is no tragedy, it is a temporary phenomenon: prices on the Chinese market and the overall Asian market have started rising. On the whole, we are working on changing our strategy for the development of the dairy industry and the milk-processing industry.”
The head of state stressed that it is a good idea not to cling onto one or two markets, it is necessary to explore markets of other countries. “Don’t forget that the world is starving. Any country will spend its last money to feed its people. [Deputy Prime Minister] Leonid Konstantinovich Zayats has recently returned from Zimbabwe, with which we maintain good relations. How much milk do they consume per capita per annum?” the president wondered.
“Eight kilograms,” Leonid Zayats noted.
“Eight kilograms per capita! What about us?” the head of state asked.
“350,” the deputy prime minister mentioned the statistics.
“They have nothing to feed little kids with. And I’ve promised that we will help them (it is no charity). Why am I saying it? It is understandable that we will wait till prices in neighboring countries go up. But we should also explore other markets. It is necessary to occupy these markets and they will be pleased to cooperate with us,” Aleksandr Lukashenko is convinced. “We went to Zimbabwe. Other countries offer them something now. But Zimbabwe says it will cooperate primarily with Belarusians because within one year we have made it possible for Zimbabweans to feed the nation. They didn’t have enough cereals. Our machines and technologies. People went there and demonstrated things. They provided themselves with cereals more or less well within one year. Now they need milk. Since you’ve made powder out of this milk, load it up and take it there.”
The president also believes that in addition to exporting milk powder it is necessary to build small factories in other countries for processing milk powder and making other kinds of dairy products. “We should go onto other markets. We cannot sit on one or two markets these days,” he stressed.
“A project to set up such a manufacturing facility in China according to this scheme is in the final stage now. It is an absolutely correct strategy. There is one thing though: the economy does not allow setting up such enterprises everywhere. We still have to stay on the key market for us – Russia. We have to increase profit margins and go to places where we can make and sell affordable dairy products,” Roman Golovchenko said.
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