Moldovan farmers will receive compensation from the Government - 10 liters of diesel fuel per a hectare of the grain field area. The Government has passed this decision to somehow cushion the stunning effect of this week's leap of prices on fuel which shocked the farm sector at the climax of the ongoing harvesting period.

On Thursday afternoon, Prime Minister Vasily Tarlev convened CEOs from the Ministry of Finance and Ministry of Agriculture and Food Industry to discuss the situation. It was said that the fuel compensations would require approximately 120 million lei. This money will be envisaged in amendments to the Law on the 2005 State Budget. The compensation bill will be urgently sent to parliament for approval.

At the meeting, Premier Tarlev spoke for immediate elaboration of a system of subsidizing the producers of main crops proceeding from their production achievements. The Premier and ministerial officials also discussed possibilities of granting for producers a 5-year-long vacation in paying the profit tax.

On July 11, prices on gasoline and diesel rushed up 12.3%, on the average. To remove a hectare of wheat crop, a farmer needs approximately 18 liters of diesel.