PM says govt to help companies create new logistic chains

MOSCOW, Mar 10 (PRIME) -- The Russian government will help companies establish new logistic chains in the wake of Western sanctions, Prime Minister Mikhail Mishustin told President Vladimir Putin at a government meeting on Thursday.

“The government will extend import substitution, help national producers to substitute imported goods in the supply chains,” he said.

Most foreign companies have suspended operations in Russia, and the government will monitor the situation thoroughly, Mishustin added.

The prime minister also said that maximum freedom for businesses in Russia, minimal regulation and control, and support of the labor market will remain his government’s basic principles.

Putin said that Ukraine’s gas transportation system is 100% loaded, and Russia continues to fulfil all its gas supply obligations.

Russia is open for work with all foreign partners, it does not plan to close its market, and will ensure reliable protection of the rights of all foreign investors, who continue to operate in Russia, he also said.

The president said that Russia has a good harvest forecast for this year so its export potential persists and ordered to provide the necessary amount of fertilizers at reasonable prices on the internal market to prevent food inflation.

He added that global prices for fertilizers will continue to rise if supplies from Russia and Belarus, the core fertilizer suppliers, are interrupted.

Minister of Industry and Trade Denis Manturov said Russia is ready to redirect its fertilizers supplies to other receivers, who are interested in them.

Agriculture Minister Dmitry Patrushev said that Russia’s grain harvest will amount to around 123 million tonnes and of sugar beet to 41.5 million tonnes in 2022.

Finance Minister Anton Siluanov said that cash has almost stopped to flow out of Russians’ deposits in the banks.

He added that Russia plans to repay all its foreign debt in rubles, and will convert them into the U.S. dollars and European currencies as soon as its foreign currency and gold reserves are unfrozen, and that the Russian budget is under control as its energy income will offset the falling non-energy income.

Deputy Prime Minister Marat Khusnullin said that none of the subsidized mortgage programs have been stopped despite growth of the central bank’s key rate and added that construction of roads is almost independent of imported components.

Putin said that it is important to finish construction of all the planned property objects and ordered the Finance Ministry and the central bank to provide uninterrupted issuing of mortgage loans.

Manturov said that the government will regulate socially important goods only in case of emergency and Putin agreed that no harm for local goods supplies should appear.

Manturov also said that demand for food has increased significantly over the past few days, but the grocery retailers have sufficient reserves of important goods. 

End %%as/jst%%