PRESS-RELEASE*

The following issues are scheduled for discussion at the October 5, 2011 meeting of the Government Presidium

1.The harvest and the progress of autumn field work in 2011

I. The results of spring sowing

The country’s total spring sowing was carried out over an area of 50.5 million hectares, which is 3.6 million hectares more than last year.

Spring cereal crops were sown over an area of 30.1 million hectares, which exceeds the 2010 level by 1.6 million hectares.

Grain corn was sown over 1.7 million hectares, which is 191,000 hectares more than in 2010.

Sugar beet (industrial) was sown over an area of 1.3 million hectares, which is 131,000 hectares more than last year. Almost all beet-growing regions increased the areas sown to this crop compared with the previous year.

Seed sunflower was sown over 7.6 million hectares, which is 411,000 hectares more than in 2010.

Spring rape was sown over an area of 743,000 hectares, which is 83,000 hectares more than last year.

Soya was sown over an area of 1.2 million hectares, which is 22,000 hectares more than last year.

Fibre flax was sown over an area of 56,500 hectares, which is 4,800 hectares more than in 2010.

The areas under potato and vegetables in all categories of farms are at the level of the previous year.

Fodder crops were sown over an area of 5.7 million hectares, which is almost 1 million hectares more than last year. The total area under fodder crops amounts to 17.4 million hectares.

The total area under crops amounted to 76.4 million hectares. Cereals and legumes were sown over an area of 44.1 million hectares, which is 509,000 hectares more than in 2010.

II. Preliminary harvest results

According to the latest data of agribusiness management bodies in Russian regions, cereals and legumes were threshed over an area of 39.1 million hectares (89% of the area under crops), as of October 4, 2011. Almost 90.1 million tonnes of grain were threshed in bunker weight (60.96 million tonnes in 2010; 91.2 million tonnes in 2009). Grain yield amounts to 2,300 kg per hectare (1,890 kg per hectare in 2010; 2,500 kg per hectare in 2009).

Winter and spring wheat was threshed over an area of 23.3 million hectares (91% of the sowing area). Almost 56.2 million tonnes of grain was threshed in bunker weight (40.8 million tonnes in 2010; 57.4 million tonnes in 2009). Grain yield amounts to 2,410 kg per hectare (1,990 kg per hectare in 2010; 2,500 kg per hectare in 2009).

Winter and spring barley was threshed over an area of 7.5 million hectares (94% of the sowing area). Almost 17.1 million tonnes of grain was threshed in bunker weight (8.4 million tonnes in 2010; 18 million tonnes in 2009). Grain yield amounts to 2,290 kg per hectare (1,750 kg per hectare in 2010; 2,450 kg per hectare in 2009).

Grain corn was threshed over an area of 494,000 hectares (28% of the sowing area). Almost 2.2 million tonnes of grain was threshed in bunker weight (2.1 million tonnes in 2010; 833,000 tonnes in 2009). Grain yield amounts to 4,410 kg per hectare (2,840 kg per hectare in 2010; 3,540 kg per hectare in 2009).

Fibre flax was pulled over an area of 51,400 hectares, which accounts for 91% of the total sowing area (45,000 hectares in 2010; 54,800 hectares in 2009).

Sugar beet was lifted over an area of 466,000 hectares (36% of the sowing area), almost 17.2 million tonnes of roots were lifted (8.6 million tonnes in 2010; 11 million tonnes in 2009). Total yield of beet roots amounts to 36,960 kg per hectare (23,390 kg per hectare in 2010; 29,930 kg per hectare in 2009).

Sunflower seed was harvested over an area of 1.9 million hectares (25% of the sowing area). Almost 3.3 million tonnes of seeds were threshed (3.6 million tonnes in 2010; 3 million tonnes in 2009). Seed yield amounts to 1,740 kg per hectare (1,060 kg per hectare in 2010; 1,370 kg per hectare in 2009).

Rape (winter and spring) was harvested over an area of 681,000 hectares (74% of the sowing area), almost 843,000 tonnes of rape seeds were threshed (566,000 tonnes in 2010; 522,000 tonnes in 2009). Seed yield amounts to 1,240 kg per hectare (1,190 kg per hectare in 2010; 1,310 kg per hectare in 2009).

Soya was harvested over an area of 476,000 hectares (39% of the sowing area), almost 766,000 tonnes were threshed (507,000 tonnes in 2010; 164,000 tonnes in 2009). Crop yield amounts to 1,610 kg per hectare (1,210 kg per hectare in 2010; 1,340 kg per hectare in 2009).

Potatoes were harvested over an area of 159,000 hectares in agricultural enterprises (71% of the harvesting area); potato harvest totalled 3.1 million tonnes (1.9 million tonnes in 2010; 3.6 million tonnes in 2009). Crop yield amounts to 19,350 kg per hectare (12,560 kg per hectare in 2010; 18,870 kg per hectare in 2009).

Vegetables were harvested over an area of 52,000 hectares in the country’s agricultural enterprises (51% of the harvesting area); the harvest amounted to 908,000 tonnes (compared to 876,000 tonnes in 2010; 1.1 million tonnes in 2009). Crop yield amounts to 17,340 kg per hectare (15,140 kg per hectare in 2010; 19,070 kg per hectare in 2009).

III. The harvest forecast

The Ministry of Agriculture jointly with the agribusiness management bodies of the Russian Federation has submitted a preliminary forecast of the total harvest.

According to regional forecasts, the total harvest of cereals and legumes will amount to 90 million tonnes, which is 29 million tonnes more than last year, but 7.1 million tonnes less than in 2009. The expected wheat harvest is 52 million tonnes, which is 10.4 million tonnes more than last year, but 9.8 million tonnes less than in 2009.

The total expected harvest of sugar beet is 40 million tonnes, which is 17.7 million tonnes more than last year and 15.1 million tonnes more than in 2009.

The total harvest of oil-bearing crops is expected to amount to 11.2 million tonnes, which is 3.7 million tonnes more than last year and 3 million tonnes more than in 2009. The expected harvest of sunflower seed is 8 million tonnes (2.6 million tonnes more than in 2010; 1.5 million tonnes more than in 2009). The expected harvest of soya is 1.4 million tonnes (0.2 million tonnes more than in 2010; 0.5 million tonnes more than in 2009). The expected harvest of winter and spring rape is 1.1 million tonnes (0.4 million tonnes more than in 2010 and 2009).

The total expected potato harvest at all categories of farms is about 12.7 million tonnes, which is 0.6 million tonnes more than last year, but 0.7 million tonnes less than in 2009.

IV. The progress in autumn fieldwork

According to agribusiness management bodies in Russian regions, winter grain crops for harvest 2012 will be sown over an area of 18 million hectares, with wheat sown to an area of 14.9 million hectares, rye to 2.3 million hectares and barley to 0.5 million hectares. In addition, winter rape is expected to be sown over an area of 290,000 hectares and winter cress over an area of 10,800 hectares.

Agricultural manufacturers have been supplied in full with seeds of winter grain crops to carry out the autumn sowing. Over 3.8 million tonnes of seeds have been supplied, with the need for seeds of winter grain crops amounting to 3.7 million tonnes.

Winter crops sowing

As of October 4, 2011, winter crops were sown over an area of 12.4 million hectares, or 69% of the expected sowing area.

Supplying with chemical fertilisers

According to the State Programme for the Development of Agriculture and Regulating Agricultural, Raw Materials and Food Market, almost 2.7 million tonnes of mineral fertilisers are expected to be introduced on primary nutrient basis.

According to the current information of the agribusiness management bodies in Russian regions, agricultural producers have purchased 1,999,100 tonnes of mineral fertilisers in the period January – October 3, 2011, which is 20,400 tonnes more than in the same period of 2010.

The total reserves of mineral fertilisers (including the leftover fertilisers of 2010) amount to 2,162,700 tonnes of rates of application, which is 61,600 tonnes of application rates more than in 2010.

According to agribusiness management bodies in Russian regions, about 806,400 tonnes of fertiliser application rates are needed to carry out autumn field works, including sowing 531,000 tonnes of application rates of winter grain crops. At present, the reserves of mineral fertilisers amount to 548,500 tonnes of application rates. The provision of mineral fertilisers for autumn field works amounts to 68%.

In 2011, the state support to obtain chemical fertilisers amounted to 5.5 billion roubles, which is 440 million roubles less compared to the previous year. As of September 29, 2011, some 4.85 billion roubles were allocated to agricultural manufacturers from the federal budget.

The cost of mineral fertilisers needed to be applied from autumn for harvest 2012 amounts to 20.8 billion roubles.

Fuel supply

As of September 30, 2011, agricultural manufacturers acquired 2.96 million tonnes of diesel fuel and 536,700 tonnes of petrol, which amounts to 105.7% and 91.9% as compared to last year, respectively.

The fuel reserves that are currently available amount to 425,200 tonnes of diesel fuel and 78,400 tonnes of petrol, which amounts to 96.0% and 78.1% against last year.

As of September 29, 2011, wholesale prices on the Russian diesel fuel market averaged 26,812 roubles per tonne, while AI-80 petrol prices averaged 30,021 roubles per tonne. The concessional price for diesel fuel is 6,000 – 8,000 roubles lower than the market price.

The supply rate for concessional diesel fuel for 2011 (2.818 million tonnes of diesel fuel which accounts for 70% of the amount acquired in 2010, or 4.007 million tonnes) is coordinated between the Ministry of Agriculture and the Ministry of Energy, being 22% more than the concessional diesel fuel actually acquired by agricultural manufacturers in 2009 – 2010.

As of September 30, 2011, almost 2.209 million tonnes of concessional diesel fuel and 113,500 tonnes of petrol were acquired.

Issuing loans for season field works

According to banks, they issued almost 715.459 billion roubles in loans to agribusiness, forestry and fishery enterprises and organisations in the period from January 1 to September 29, 2011, including: 304.073 billion roubles by Rosselkhozbank, 320.392 billion roubles by Sberbank, 16.060 billion roubles by Vneshekonombank, 25.856 billion roubles by Vneshtorgbank and 49.078 billion roubles by Gazprombank.

An increase in the amount of loans issued to agribusiness, forestry and fishery enterprises by banks in the period September 22-29, 2011, amounted to 24.542 billion roubles, including: 7.839 billion roubles from Rosselkhozbank, 12.726 billion roubles from Sberbank, 302.4 billion roubles from Vneshekonombank, 1.453 billion roubles from Gazprombank, and 2.222 billion roubles from Vneshtorgbank.

As of September 29, 2011, some 159.6 billion roubles in loans were issued to agribusiness enterprises and organisations carrying out season fieldwork, including 118.8 billion roubles from Rosselkhozbank and 40.8 billion roubles from Sberbank.

V. The current situation on the grain market

According to the Federal Customs Service, grain exports amounted to 9.191 million tonnes in 2011/2012 agricultural year. In the period from September 1 to 28, 2011, almost 3.401 million tonnes of grain were exported, including 2.905 million tonnes of wheat, 476,000 tonnes of barley, 9,000 tonnes of corn and 11,000 tonnes of other cereals.

The exports countries traditionally include Egypt (21%), Turkey (15%), and the EU (11%). Thus, Russian grain has occupied its traditional export niches in these countries since resuming exports on July 1, 2011.

2. Draft Federal Law On Introducing Amendments to the Federal Law On the General Principles of the Organisation of Local Government

The draft federal law was submitted by the Ministry of Regional Development.

The draft law defines the concept of site improvement. Site improvement is to be defined as a complex of measures for the maintenance of an area as well as for the design, placement and maintenance of amenities aimed at providing and improving the living conditions for residents, for the maintenance and improvement of the sanitary and aesthetic state of an area, and for improving the site’s appearance in the way stipulated by the rules of site improvements of a city (city district).

In addition, the draft law regards street lighting, the placement of street nameplates and house number-plates, landscape gardening, placement and maintenance of small architectural forms as matters of local significance. It also stipulates the need to adopt the rules of site improvement at a local level.

The proposed measures will help define the scope of responsibility of local government bodies for resolving the related matters of local significance within the local rules of site improvement as well as implement the mechanisms of responsibility, envisaged by the Code of Administrative Violations, for non-compliance with site improvement rules by residents and organisations operating over a local government entity area.

3. Draft Federal Law On Amendments to the Penal Code of the Russian Federation

The draft federal law was submitted by the Ministry of Justice.

The draft federal law has been designed to implement the Resolution of the Russian Constitutional Court.

It has been determined that Part 2 of Article 229 of the Penal Code does not contradict the Constitution.

Nevertheless, the Constitutional Court stated that, in terms of their constitutional legal meaning in the system of criminal procedural regulation, the provisions of the article do not allow keeping a suspect in custody without a court decision after a prosecutor or a higher court submitted a criminal case to court.

That being said, once a prosecutor confirms an indictment and submits a case to court, he/she must check whether the established custody period has expired and whether it is sufficient to decide whether there are any grounds for keeping the suspect in custody. If the term expires or is insufficient for the judge to decide whether keeping the suspect in custody is valid before the case goes to trial, the prosecutor must file an appeal on extending the custody under Articles 108 and 109 of the Penal Code.

The present legal position of the Constitutional Court is specified in the resolution of the Supreme Court‘s Plenum. The resolution draws the courts’ attention to the need to provide a suspect and his/her defence counsel (given that he/she participates in the case) with an opportunity to take part in the court’s examination of the issue on extending the suspect’s custody, to state their arguments and provide evidence during the preparations for a trial.

Hence, the draft law amends Articles 37, 221, 226 of the Penal Code, which vest powers in a prosecutor to file an appeal on extending the suspect’s custody in the case submitted to court with an indictment.

Additionally, it has been proposed that Article 228 of the Penal Code should be redrafted. Pursuant to the amendments, the court will be entitled to resolve issues on imposing, abolishing or changing a measure of restraint or extending the custody during the preliminary or open hearings.

In view of the amendments stipulated in the draft law, a provision of clause 6, part 2 of Article 231 of the Penal Code has been amended. According to the new edition of the clause, the resolution on setting a hearing will cover issues regarding measures of restraint, except for cases where such measures as bails, house arrest or custodies are imposed, or extension of the house arrest or custody.

4. Draft Federal Law On Introducing Amendments to the Federal Law On the Names of Geographic Objects

The draft federal law was submitted by the Ministry of Economic Development.

According to Article 71 of the Constitution, geographic names are under the jurisdiction of the Russian Federation.

The Federal Law on Geodesy and Cartography stipulates that the geodesic and cartographic activities including the implementation, standardisation, ordering of the usage, registration, and preservation of geographic names are of federal significance. Pursuant to the federal law, the regulation of geodesic and cartographic activity is within the government’s competence.

The draft law has been developed due to the need to specify some regulations of the Federal Law on the names of Geographic Objects in order to eliminate ambiguity in their interpretation, revealed by law enforcement practice after the Federal Law on Amendments to the Federal Law on the names of Geographic Objects came into effect.

The draft law will specify the key concepts of the federal law, including the terms “geographic area” (geographic area include natural areas, built-up areas, administrative territorial entities, infrastructural facilities) and “the designation of geographic names.”

The draft law stipulates to exclude the term “standardised geographic names” which mean the most commonly used geographic names which are spelled in the way proposed by the language of usage (Russian and other languages of the Russian Federation).

In order to improve the order of assigning geographic names and renaming geographical areas, the draft law amends Article 9 of the federal law, which specifies the powers of the government bodies concerning the geographic names of different categories.

In order to improve funding of the work to implement activities on designating  names for geographic objects, the draft law amends Article 12 of the federal law in the part which specifies the government bodies to which funds from the federal budget will be allocated for the work.

5. Draft Federal Law On Ratification of the Convention Concerning the Prevention of Major Industrial Accidents (ILO Convention C.174)

The draft federal law was submitted by the Ministry of Foreign Affairs and the Ministry of Healthcare and Social Development.

The Convention Concerning the Prevention of Major Industrial Accidents (ILO Convention C.174) was adopted in 1993 by the International Labour Organisation. The Russian Federation has been a member of the International Labour Organisation since 1934, but the Convention has not been ratified until now.

The Convention is aimed at preventing major industrial accidents caused by dangerous substances as well as at limiting the aftermath of such accidents. 

The Convention regulates issues of safe operation of hazardous facilities. Pursuant to the Convention, the national law must provide control over the safety and labour hygiene conditions in order to eliminate and minimise the risks for workers’ life and health, and to prevent accidents at hazardous facilities.

According to the Convention’s provisions, a member state of the International Labour Organisation who ratifies the Convention develops, carries out and consistently reviews the national policy aimed at resolving the issues of the protection of workers, the population and the environment from the dangers arising with major accidents. In order to implement this policy, the draft law proposes the elaboration of standard acts including a complex of preventive and protective measures to be applied at hazardous facilities of the fuel and energy, mining, chemical and other industries.

The Russian Federation puts the Ministry of Natural Resources and Environment, the Ministry of Civil Defence, Emergencies and Disaster Relief, and the Federal Service for Supervision of Environment, Technology and Nuclear Management (Rostekhnadzor) in charge of developing the state policy aimed at protecting workers, the population and the environment from the dangers of major accidents.

The Federal Law on Industrial Safety of Hazardous Industrial Facilities lists the procedures for regulating relations in the field of preventing major accidents.

Pursuant to Article 16 of the Convention, a competent authority ensures the distribution of information on safety measures and the procedure to be followed in the case of a major industrial accident by the people who may be affected by the aftermath of a major accident even if they do not apply for such information. The authority is also responsible for updating this information and distributing it at certain intervals as well as issuing timely warnings in the case of major accidents. The present function is currently assigned to the Ministry of Civil Defence, Emergencies and Disaster Relief, according to the Federal Law On Protection of the Population and Territories from Natural Disasters and Industrial Accidents and to the Presidential Decree on The Issues of the Ministry of Civil Defence, Emergencies and Disaster Relief.

The comparative analysis carried out to find out the correlation between the country’s legislation and the provisions of the Convention shows that Russian laws and the powers of executive bodies which carry out supervision and control functions over meeting the Convention standards allow for the ratification of the Convention.

6. Draft Federal Law On Ratification of The Agreement between the Government of the Russian Federation and the Government of the Republic of Belarus on Transport Control at the External Border of the Union State

The draft federal law was submitted by the Ministry of Transport and the Ministry of Foreign Affairs.

The draft law will ratify the Agreement between the Government of the Russian Federation and the Government of the Republic of Belarus on Transport Control at the External Border of the Union State signed in Minsk on October 5, 2010.

The ratification of the Agreement will allow for:

- the elimination of double operations for control over international motor transportation, the reduction of its time, and the combined protection of national markets of international car services;

- the economic and environmental security of the Russian Federation and the Republic of Belarus;

- compliance of international carriers with the national licensing systems of the Russian Federation and the Republic of Belarus.

7. Introducing amendments to the Statute on the Federal Tariff Service

The draft document was submitted by the Federal Tariff Service.

The draft amendments were submitted for the coordination of the Provision on the Federal Tariff Service with the Federal Law On State Safety Inspections of Vehicles and Amendments to Certain Legislative Acts of the Russian Federation.

State Safety Inspections of Vehicles are carried out on a fee-paying basis, according to Article 8 (clause 6) of the present law. The maximum fee for safety inspections of vehicles is established by the supreme executive body of the entity of the Russian Federation in accordance with the procedure established by the federal executive body which is authorised to carry out legal regulation of prices (tariffs) for goods (services).

According to clause 14 of the plan for the preparation of draft regulatory acts which are necessary to implement the Federal Law On State Safety Inspections of Vehicles and Amendments to Certain Legislative Acts of the Russian Federation, the Federal Tariff Service must develop and establish the methods for calculating the maximum fee for the state safety inspections of vehicles by September 2011.

In this regard, relevant amendments must be introduced to the Statute on the Federal Tariff Service, specifying the subject of the methodological guidelines and stating that the Federal Tariff Service determines and approves the methods for calculating the maximum fee for the state safety inspections of vehicles.

8. Allocating to the Cabinet of Ministers of the Republic of Adygea budgetary provisions from the Reserve Fund of the Government of the Russian Federation for the Prevention and Liquidation of Emergencies Situations and the Aftermath of Natural Disasters for relief efforts following the hailstorm in the Republic of Adygea in May 2011.

9. Allocating to the Cabinet of Ministers of the Republic of Dagestan budgetary provisions from the Reserve Fund of the Government of the Russian Federation for the Prevention and Liquidation of Emergencies Situations and the Aftermath of Natural Disasters for relief efforts following the hailstorm in the Republic of Dagestan in May 2011.

Moscow,

October 4, 2011

* Press releases by the Department of the Press Service and Information are based on the materials submitted by the executive federal bodies for discussion by the Government Presidium