In 2023, investments in the agro-industrial complex may grow by 6.3%

The Center for Economic Forecasting of Gazprombank does not expect growth in investments in the agro-industrial complex this year, said Daria Snitko, vice president of the bank. According to her, there has not been a significant expansion of livestock breeding capacity since 2020, and crop production has somewhat reduced investments this year. “Investments in the sector at the moment are mainly of a supporting nature and are associated with the replacement of retired equipment and machinery, and not with new projects,” Snitko said. 

It is likely that after a decrease in 2022 by almost 8% in real terms, investments will not decrease in physical volume this year , but growth will be weak, the expert believes. Sectoral statistics for the first half of the year are not yet available, making quick estimates difficult, she added. In actual prices, investments in fixed capital in agriculture (including hunting and the provision of services in these sectors) last year, according to Rosstat, amounted to 877.9 billion rubles. against 826.5 billion rubles. in 2021

The head of the practice of providing services to enterprises of the agro-industrial sector of the company Technologies of Trust (TeDo), Mikhail Frolov, previously told Agroinvestop that now we can talk about some stabilization of the situation in the field of investment in the agro-industrial complex. “According to our forecast, investments in the agro-industrial complex will continue to increase in 2023. This will be facilitated by both an increase in direct state support and the development of such mechanisms as public-private partnerships and project financing with a state guarantee,” Frolov said. 

Klepach also estimated at the forum that the volume of exports of Russian agro-industrial complex products in the medium term could exceed $60 billion if logistical problems are resolved. He noted that Russia has a great potential for export, but without solving logistical problems, its further development is impossible. The expert pointed to the possibility of increasing the volume of deliveries to Asia, Iran, Pakistan and Africa. However, in order to realize the export potential, it is necessary to develop port logistics, border crossings of railways and build our own grain fleet. In general, he called for the development of a strategic vision for the development of agriculture through the joint efforts of the expert community and industry associations.