Russian sanctions will inflict a severe blow to the economy of Lithuania

Lithuanian producers of meat and dairy products claim that this kind of activity and business in Lithuania can be lost in case that Russia will not cancel its sanctions on products from the EU countries, RIA Novosti reported with reference to the Lithuanian newspaper in Russian “Litovski Courier”.

Lithuanian authorities say that only a limited impact of Russian sanctions will hurt to the Lithuanian economy, but local producers of meat and dairy products think otherwise. Manufacturers claim that “significantly fallen prices for milk and meat are converted this kind of business to an unprofitable. The agricultural sector and the livestock sector in Lithuania may die, ” reported RIA Novosti.

The Swine Fever hurt a lot the swine manufacture, for dairy and meat sector – the Russian embargo“, quotes “Litovski Courier”, the words of the chairman of the Agriculture’s Accosiation of Lithuania Andrejus Stančikas.

Russian embargo will bring the meat industry in Lithuania to losses of about 73 million euros, and 58 million euros will lose the dairy sector. Agricultural sector (fruits and vegetables), will lose more than 8 million euros, while the fish manufacture more than 1.5 million euros.

The European Commission will cover the losses of the all agricultural sectors in Lithuania. But the conditions of this assistance has not been clearly specified, reported RIA Novosti.

Lithuania, which fought for the introduction of sanctions against Russia begins to realize that maybe made ​​a serious mistake. The loss of such business – partner like Russia, can cause to Lithuania with a new financial crisis, and to increase the rate of unemployment in the country which is already more than 11%.

Lithuania, at the moment needs a partner like Russia, even if Lithuania does not agree with the Russian politics. Loss of jobs and the economy’s decline is not permissible to Lithuania. Otherwise, a new financial crisis in the country can not be avoided. But in this time, it will take to Lithuania a lot of time to get out of it.

 

 

Aleksejus Podpruginas
Aleksejus Podpruginas is The Baltic Review author based in Israel