Moldova agriculture faces 2 billion lei debt and logistical risks

The agricultural sector in Moldova is facing significant financial and logistical challenges. Agriculture Minister Eugeniu Osmochescu has announced a four-year plan to address historical debts totaling approximately 2 billion lei. The proposed strategy involves allocating roughly 500 million lei annually to gradually clear these arrears.

In addition to debt, farmers in northern Moldova have staged protests demanding fiscal changes, specifically requesting the maintenance of an 8% VAT rate for cereals and oilseeds and the extension of grain import licensing requirements through 2026. The government is currently evaluating the economic impact of these demands.

Logistical risks also threaten the grain market in the Black Sea basin. Experts note that military risks and port blockages, particularly in Odesa, are driving up insurance and transit costs. This creates a gap between physical grain availability and the actual ability to deliver it to buyers, potentially impacting millions of tons of grain.

On an administrative level, Minister Osmochescu defended the appointment of Radu Musteață to lead the Agency for Intervention and Payments in Agriculture (AIPA), stating the move aims to increase efficiency in managing the agency’s budget of over 2 billion lei.