German agricultural machinery manufacturer,
CLAAS has signed a special investment contract with Russia which among other
things gives the company official status as "Russian manufacturer"
and therefore eligible for state subsidies.
Around 72mha of land is currently used for
farming although it’s reported that 122mha is suitable and with the current
policy of export substitution and bringing land back into production, the
demand for combines and other machinery is high.
"The Russian agricultural sector has a
truly promising future. This contract now makes state-of-the-art agricultural
machinery affordable for Russian businesses", explains Lothar Kriszun,
Spokesman of the CLAAS Executive Board.
Maybe so but whether expensive western machines fit that
bill remains to be seen as domestic machinery producer, Rostselmash, sold out
of their very capable and keenly priced combines earlier this year.