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FARMERS' LEADER WRITES TO PRIME MINISTER RACAN

DJAKOVO, June 18 (Hina) - The president of the Association of Slavonija and Baranja Farmers (ZUSSB), Antun Laslo, on Tuesday forwarded a letter to Prime Minister Ivica Racan, suggesting a single price for the 2002 wheat yield of 1.1 kuna per kilogram plus farming incentives. Laslo recently sent a similar letter to Agriculture Minister Bozidar Pankretic.
DJAKOVO, June 18 (Hina) - The president of the Association of Slavonija and Baranja Farmers (ZUSSB), Antun Laslo, on Tuesday forwarded a letter to Prime Minister Ivica Racan, suggesting a single price for the 2002 wheat yield of 1.1 kuna per kilogram plus farming incentives. Laslo recently sent a similar letter to Agriculture Minister Bozidar Pankretic. #L# "The fact that the price of wheat is determined at the time of harvest and that last year's surplus of some 150,000 tonnes of wheat has obviously not been sold proves that the market is not functioning," reads the letter. Laslo claims that Pankretic's model of wheat purchase is unacceptable and that its consequences will be felt by wheat producers. The farmers believe the current price of wheat and similar decisions are hampering rather than stimulating the development of the agricultural sector. Laslo admits that wheat in neighbouring countries and the EU is cheaper than in Croatia, but says the difference is caused by the fact that those countries have higher farming incentives and lower VAT rates. (hina) rml

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