BUDAPEST: According to Hungary’s minister of state for agricultural and economy György Czerván said that the processing industry would require further development, to which end some 300 billion forints (1 billion euros) are available from rural development resources within the 2015-2020 period.
Chairman of the Milk Marketing Board Tibor Mélykúti said that a new element of the government reduction of utility charges could be a decrease of the VAT level of milk products to 5 percent in 2015-2016, adding that the Board had already recommended such a reduction during the course of the year. Hungarian consumers are extremely price-sensitive, and more than half of Hungarian milk product is consumed in the form of milk itself, he pointed out.
Mr Czerván the Farm Ministry said that has also succeeded in increasing the sector’s direct funding from the current level of 26 billion forints to some 50 billion forints per annum. This includes both EU and national funding, he said. Furthermore, following consultations with the Milk Marketing Board, a 420 million forint fund is to be established to finance the promotion of high quality Hungarian milk, Czerván added.
