Survey on exempting imported agricultural production means from VAT presented in Khujand

KHUJAND, August 30, 2010, Asia-Plus  — The Agribusiness Association of Tajikistan (AAT) conducted a roundtable to discuss measures to raise efficiency of the agrarian sector on August 29 in Khujand. Organized under financial support of the United States Agency for International Development (USAID) Productive Agricultural Project for Tajikistan, the event brought together representatives from public […]

KHUJAND, August 30, 2010, Asia-Plus  — The Agribusiness Association of Tajikistan (AAT) conducted a roundtable to discuss measures to raise efficiency of the agrarian sector on August 29 in Khujand.

Organized under financial support of the United States Agency for International Development (USAID) Productive Agricultural Project for Tajikistan, the event brought together representatives from public structures, private sector, international organizations, and media.

One of the main objectives of the meeting was in presenting AAT’s survey on exemption of the imported agricultural production means from the value added tax (VAT).

With technical support from USAID/BEA, ACTED and CECI, AAT has conducted a survey entitled “Exemption of the Imported Agricultural Production Means from VAT as One of Efficient Mechanisms of Strengthening and Development of Agrarian Sector in Tajikistan” to determine the key barriers local farmers and agricultural production means suppliers face.  A number of recommendations have been prepared for the government on the basis of the survey.

The analysis is based on survey of 547 farming units and 25 agricultural production means suppliers in Sughd and Khatlon province and Gorno Badakhshan.

Established in 2006, the Agribusiness Association of Tajikistan is a regional network of seed and fertilizer suppliers.  The association is dedicated to strengthen private sector entrepreneurship and lobby the government to lower taxes on agricultural products.  AAT mow collaborates with more than 15 business associations in Tajikistan.  The association has conducted numerous training sessions and seminars for Tajik farmers and agri-input dealers and its members have gone on study tours to Israel, Turkey and China.

The USAID Productive Agricultural Project for Tajikistan was launched in January 2010.  The project will support farmers so they can increase agricultural yields and productivity and strengthen links to end markets.  This will make farmers more competitive in regional and global markets and, ultimately, they will earn more money.  Over the next five years, this $9.7 million project will work to expand the production of crops in rural communities in Sughd, western Khatlon and districts surrounding Dushanbe. 

The project has identified five crops for potential expansion: apricots, lemons, onions, tomatoes and melons.  Farmers also will receive support to expand livestock production.  In cooperation with local community and financial institutions, the USAID project will provide farmers with training, seeds, fertilizers and other farming necessities, and help farmers get financing and other support they need to reach the project’s goal: increase farmers’ incomes by 25 percent. 

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