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GOVT EARMARKS 400 MLN KUNA FOR CUSHIONING DRAUGHT CONSEQUENCES

ZAGREB, July 3 (Hina) - The state will alleviate the consequences of a long period of draught with 400 million kuna and the funds will be secured through the re-allocation in the state budget, the Croatian government decided on Thursday.
ZAGREB, July 3 (Hina) - The state will alleviate the consequences of a long period of draught with 400 million kuna and the funds will be secured through the re-allocation in the state budget, the Croatian government decided on Thursday. #L# Only about 20 million kuna are envisaged in this year's budget for the cushioning of natural disasters. Prime Minister Ivica Racan warned that more money would have to be earmarked for extraordinary and crisis situations in the future. A total of 15 counties were declared natural disaster areas due to draught and damage from draught is estimated to 1.8 billion kuna. More accurate data on the damage will be available in mid August by when all counties are expected to submit final damage estimates. Public Works Minister Radimir Cacic said the state was actually paying the total wheat production price with the 400 million kuna -- the total production of 800,000 tonnes times 0.5 kuna per kilogram amounts to 400 million kuna. (hina) it

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