Volodymyr Lytvyn: This Week, The Verkhovna Rada shall scrutinize the Bill on Reinstatement of Benefits for Agricultural Producers
On Monday, Volodymyr Lytvyn, Chairman of The Verkhovna Rada of Ukraine, visited "Bilkozyn" Pryluky Factory", a unique enterprise of Ukraine and one of the few enterprises in Europe that produces artificial collagen skin for sausages and other foodstuffs. He observed the production process and met the leaders and personnel of the enterprise.
It was mentioned that the State failed to reimburse the VAT in the amount of UAH 5.5 million to the factory. Thus, it caused a critical situation, the arrears in wages and other social payments being accumulated. The personnel of the factory stated that the enterprise was still functioning, experiencing no troubles with sales. V.Lytvyn stressed that the State was responsible for the said situation.
The Head of the Parliament believes that "it is a crime to demonstrate sufficient filling of budget at the expense of the VAT non-reimbursement". He promised to tackle the issue, "raising it at the level of the Cabinet of Ministers".
According to V.Lytvyn, prevalence of smuggle goods imported to the domestic market is another problem that hampers efficient work of the domestic enterprises. Since domestic production fails to sustain a competition with cheap smuggled goods, "it is necessary to settle the matter, raising import duty on the imported goods, the analogues of which are produced in Ukraine".
However, Ukraine can not prohibit import of goods, as it is the WTO member. The Chairman of The Verkhovna Rada suggests that "the customs tariffs regulate this process, as it is in other countries". "We should try less to please them, making praising us for advancement in the European pursuits. This is my stand", - V.Lytvyn stressed.
The Head of the Parliament deems necessary to monitor the quality of foodstuffs. He also strongly objects to the genetically modified production.
The Head of the Parliament dwelled upon the governmental support of agricultural producers and processors. He criticized the resolution of the Constitutional Court regarding the Law on Support of Agricultural Sector concerning Tax Benefits for Agricultural Producers. (The Resolution of the Constitutional Court № 29-рп/2009 24.11.09 cancels the Law of Ukraine "On Amendments to certain Laws of Ukraine regarding Prevention of Negative Influence of the Global Financial Crisis on the Development of the Agricultural Sector" of 04.02.09 № 922-VI.)
According to V.Lytvyn, this decision will oblige the agricultural producers to pay a 20-per-cent VAT. He believes that "it is a conscious attempt to eliminate agricultural production at the domestic market".
To settle the situation, the representatives of the Lytvyn Bloc drafted a Bill to reinstate benefits for agricultural producers. "I expect that The Verkhovna Rada will scrutinize and adopt the said Law this week", - V.Lytvyn stated.
Within the scope of the working visit, the Chairman of The Verkhovna Rada met the residents of Pryluky town, Pryluky and Ichnia districts, and gave interviews.