Far East for rent
Far East for rent
Ministry of Economic Development proposes leasing Far East lands to APEC partners
Russia is ready to discuss the lease of agricultural land in the Far East
- 01/26/12 9:31 p.m. -
TEXT: Olga Tanas
Russia is ready to discuss with the APEC partners the lease of agricultural land in the Far East. The program of 20 projects involves investments of tens of billions of dollars, according to the Ministry of Economic Development. Interest in the territories showed Vietnam, Singapore, Thailand and Japan.
Russia will offer some 20 APEC member countries - Vietnam, Singapore, Thailand and Japan - about 20 investment projects for agricultural development in the regions of the Far East, Deputy Economic Development Minister Andrei Slepnev said on Thursday. “We gave a number of ready-made investment projects developed and proposed by the regions. We propose organizing the processing of agricultural products in Russia and exporting it to our countries, ”Slepnev explained.
For development, Asian partners are offered large areas of Russian territory - on some projects, up to 150-200 thousand hectares. The deputy minister estimates the volume of investments at tens of billions of dollars.
“Given the size of investments, the investment should be long-term, this is not five years,” Slepnev emphasized, adding that long-term leases are legally allowed in Russia.
Among the possible regions, Primorsky Territory, Khabarovsk Territory, Amur Region, where there are conditions for the production of soy, rice and other types of grain, are still being discussed.
“We have free areas, free opportunities that are not being used now, because there are not so many people. These are resources of comparable value to some hydrocarbon deposits. They must be used in order to generate income and create a platform for other projects, ”said Slepnev.
In Eastern Siberia and the Far East, up to 50% of arable land is not used, and climate change, according to expert estimates, will lead to an increase in the yield of major crops by 11-14% in the next 30-50 years, a leading researcher told Gazeta.Ru Center for Asian and Pacific Studies IMEMO Evgeny Kanaev.
According to the deputy minister, the Ministry of Economic Development and the Ministry of Agriculture, together with the regions, began developing investment projects for APEC from the middle of last year.
Vietnam, Singapore, Thailand and Japan so far show only “theoretical” interest, requests were from Singapore, which “would like to participate in this,” the deputy minister said.
According to an informed source, the practice of leasing agricultural land in the Far East is already being implemented as part of smaller investment projects by Chinese agricultural companies. In particular, in the territory of the Jewish Autonomous Region, vegetable plantations of Chinese farmers are located.
Population is growing in the countries of the Asia-Pacific region, and the possibilities for introducing new lands and water resources for irrigation into agricultural circulation are limited; the size of arable land is declining; over the past ten years, annual growth in wheat and rice yields has amounted to only 1%, and corn - 2%; due to the growth of incomes, the population began to consume more meat, more fodder is needed for animal husbandry; The development of the automotive industry requires more agricultural products to produce biofuels, especially in the face of high oil prices, Kanaev explained.
The topic of food security will be one of the priorities at the September APEC forum in Vladivostok. According to Slepnev, as part of its chairmanship, Russia plans to discuss the regulation of food markets, measures to reduce speculation in agricultural products, to promote the introduction of new technologies, and to provide mutual humanitarian assistance. “Russia will propose initiatives on the possibility of access to foreign investment in agricultural production. For our part, we will be ready to provide opportunities for investors from the region to invest in Russian agribusiness in the Far Eastern and Pacific regions, ”Slepnev said, recalling that unlike some countries, agricultural land is not considered strategic objects and there are no restrictions on investment in agribusiness.
Problems may arise with labor. “Russia will not discuss the issue of foreign labor in the context of a certain opening of borders for all. This is for discussion at the bilateral level and with specific projects, ”said Slepnev.
But their labor resources may not be enough, and they are uncompetitive in comparison with the inhabitants of China. “The Russian labor force in the Primorsky Territory and the Amur Region is a very marginalized population with a high degree of alcoholization and not very effective labor skills. Compared to the Chinese, it is very expensive, ”said Natalya Zubarevich, director of regional programs at the Independent Institute for Social Policy. According to the expert, Russia has one competitive advantage - land, but with an undeveloped infrastructure, electricity shortages and poor moorings
Read in full: [DLMURL] https://www.gazeta.ru/business/2012/01/26/3975765.shtml [/ DLMURL]
Something like that...