Post sponsored by NewzEngine.com

MIL OSI Translation. Region: Russian Federation –

Resolution of March 27, 2021 No. 457

Document

Resolution of March 27, 2021 No. 457

Manufacturers of specialized machinery and equipment will receive subsidies, with the help of which they will be able to sell their products at the most attractive price. A decree on the rules for providing such support was signed by Prime Minister Mikhail Mishustin.

The decision will affect manufacturers of agricultural, road-building machinery and equipment for the food and processing industry. The maximum subsidy amount will be 5 million rubles. Due to these funds, manufacturers will be able to sell their products to dealers with a 15% discount. The difference between the market and preferential cost of machinery and equipment will be compensated by the state.

The main condition for such a discount is the dealer’s obligation to buy back the product from the end customer. That is, the buyer has the right to return the equipment to the dealer if for some reason it does not suit him.

Such a system will be beneficial to all market participants. It will enable dealers to purchase goods on preferential terms and compensate for possible return risks using the discount provided. At the same time, with its help, buyers have guarantees of return of unsuitable goods, and manufacturers can expand the sales market. In general, such a mechanism will allow attracting new buyers and increasing sales of domestic products.

A similar subsidy program operated in Russia in 2018, but it applied only to manufacturers of agricultural machinery, and the maximum amount of state support was 3 million rubles. The 57 million rubles allocated for these purposes were fully spent.

The federal budget has already provided funding for the new program. In 2021 – 300 million rubles, in 2022 – 500 million rubles, in 2023 – 700 million rubles.

The signed document changesGovernment Decree of October 24, 2018 No. 1269

EDITOR’S NOTE: This article is a translation. Apologies should the grammar and or sentence structure not be perfect.

MIL OSI Russia News