ZAGREB, Jan 24 (Hina) - Prime Minister Ivica Racan has evaluated the performance of Kutina-based chemical industry Petrokemija's management board as poor. Responding to questions from lower house MPs on Wednesday, Racan said
Petrokemija should undergo financial restructuring and have its production rationalised. He added the government encountered strong resistance in efforts to that end. Despite having state-of-the-art technology for manufacturing artificial fertiliser, Petrokemija's production is too expensive for farmers to be able to pay, said Racan. He stressed the government would not let taxpayers pay the difference in prices wanted by farmers one the one hand and Petrokemija on the other. Racan reminded the government recently cancelled tariffs on the import of artificial fertiliser in order to settle the issue of supply. Deputy Prime Minister Slavko Linic added somebody should organise the import
ZAGREB, Jan 24 (Hina) - Prime Minister Ivica Racan has evaluated the
performance of Kutina-based chemical industry Petrokemija's
management board as poor.
Responding to questions from lower house MPs on Wednesday, Racan
said Petrokemija should undergo financial restructuring and have
its production rationalised. He added the government encountered
strong resistance in efforts to that end.
Despite having state-of-the-art technology for manufacturing
artificial fertiliser, Petrokemija's production is too expensive
for farmers to be able to pay, said Racan. He stressed the
government would not let taxpayers pay the difference in prices
wanted by farmers one the one hand and Petrokemija on the other.
Racan reminded the government recently cancelled tariffs on the
import of artificial fertiliser in order to settle the issue of
supply.
Deputy Prime Minister Slavko Linic added somebody should organise
the import and distribution of artificial fertiliser. He believes
this would solve the fertiliser's price issue and affect
Petrokemija's policy, which despite highly irrational business,
high prices, and non-paid dues, resists financial restructuring.
The import of fertiliser will be detrimental to Petrokemija but the
government is at a loss as to what to do with the company, said
Linic.
Commenting on today's protest rally of farmers' associations,
Agriculture Minister said inducements would soon be increased by an
average 16.6 percent. This will raise the farm price support share
in the gross domestic product to 1.16 percent, which is almost at
the level in the most developed European Union countries.
Earlier today, representatives of five farmers' associations and
two Petrokemija unions rallied in front of the parliament building
peacefully protesting against the dire situation in the
agriculture and cuts in gas supply to Petrokemija's fertiliser
plant. They were received by parliamentary speaker Zlatko Tomcic.
(hina) ha sb