Within the program, grain producers will be able to store his production in warehouses licensed by the Ministry of Agriculture – with a total capacity of 11 million tons.
“Thus, with the appearance of licensed silos and guarantee certificates, we are talking about a clean market, not like now, when 60 percent of the trade is on the black market,” the President of the National Federation of Agricultural Producers in Romania, Viorel Matei, told Business Standard.
He stressed the good and the bad of the program. Thus, producers will be able to obtain a better price and will not be forced to sell in a rush because they will have the banks to resort to and they will be able to take out a loan based on the guarantee certificate. The only disadvantage, according to Matei, is that the producer is the one footing the bill, either this is the reimbursement of the loan, or the 0.5 percent quota of the value of stored consumer seeds that belongs to licensed silos.
Moreover, the owner of Cerealcom Dolj, Mihai Anghel, said that the €10 million that were allocated to the Rural Loan Guarantee Fund for the “First Silo” program is not enough for a successful development of the program.
