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Peasant Party concerned about government's manipulation, stumbling

Autor: half
ZAGREB, Aug 17 (Hina) - The Croatian Peasant Party (HSS) is very concerned about the government's manipulation and stumbling, HSS president Branko Hrg told reporters on Friday, pointing to ministers' different positions on cuts of value added tax on food as a way of alleviating the consequences of this year's drought.

The agriculture minister says he will request that VAT on food be cut, while the finance minister says it will not happen, Hrg said after an HSS session "on the alarming" situation in Croatia's agriculture.

The party adopted conclusions requesting a 10-per cent VAT cut on food and tourism and that the government adopt a decision on extraordinary measures to deal with the drought consequences.

Hrg said the HSS had already asked that VAT on food be cut because agriculture and tourism were strategic for Croatia's economic and overall development.

He said the poor policy being waged was an attempt to destroy Croatian farmers, adding that this was the most dangerous time for Croatian farmers to date because the government did not have an economic and development strategy for farming.

Hrg said that unless funds were found to compensate for the damage caused by this year's drought, the few surviving farmers would go bust, adding that because of problems with the purchasing price for milk, more than 2,000 farmers had stopped making milk since February.

He criticised Agriculture Minister Tomislav Jakovina over the payment of back farming incentives and subsidies.

He said it was odd of the minister to say that farmers would be helped by not having to pay the lease of state-owned farmland, asking how mich of that land was being leased by family farms and how much by large private subjects.

(Hina) ha

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