How to go bankrupt slowly – advice from Kyrgyz farmers

There is a parable. If you want to lose your savings quickly – gamble them away in a casino. If you wish to prolong the process – marry a wife who loves expensive jewelry. But if you want to go bankrupt gradually – the surest way in Kyrgyzstan is to engage in agriculture! This folk wisdom was shared by farmers from the Moscow district of the Chui region with representatives of the Ecological Movement “BIOM”. The village of Sretenskoe is located 56 km from Bishkek and 12 km north of the village of Belyovodskoye. The village is connected to the capital, the village of Belyovodskoye, and a train station of the same name by a road. It has an interesting history as one of the first settlements of migrants from the central districts of the imperial province. As far back as 1905, migrants from the Voronezh, Kharkov, and Poltava provinces moved here for permanent residence. The beginning of the settlement of Sretenka as a community unit is considered to be 1913. It was then, after long petitions to the governor and land management authorities regarding resettlement, that the first plot for 250 houses and one street, stretching from north to south, was designated. This history is carefully preserved by their descendants in the local former collective farm library. The librarian of the village, Minura Burangulova, shows with reverence unique records and books about the history of Sretenka, photographs – witnesses of the history of the Moscow district, and also tells that even now, to the envy of libraries in the capital, many books from the Soviet era on animal husbandry and agriculture have been preserved. “Farmers even come to us from neighboring villages for invaluable information.” But in general, information hunger is not their only headache. The acting secretary of the Sretenko AO, Anarkul Moldalieva, recounts that during the USSR, there was a millionaire collective farm “Rossiya”, its fields stretched all the way to Kazakhstan. The chairman of the collective farm was a deputy of the Supreme Soviet of the USSR, Khadzhibek Khubiev, who skillfully managed a large agricultural enterprise. Today, the AO has just over 5,000 hectares. Mostly they are planted with grain cereals, perennial fodder crops, and beets. After the land reform, each collective farmer received a land share of 1.08 hectares, while non-collective farmers received 20-40 hundredths. The population is also engaged in livestock breeding. In general, farmer Rasul Satartov calls the current agriculture in the region “natural farming.” This village, like many others, is a mirror of the development of the agricultural sector of Kyrgyzstan. Many local residents gathered today in the collective farm library, and each of them has a story on the same topic – how to survive as a peasant in the current circumstances? Farmer Rasul Satartov says: “Here, the population is mainly engaged in livestock breeding and growing fodder crops. But we do not have agricultural land – the population density is high, and all territories have long been built up; land auctions for selling land in the AO are held once every 5 years; the rent for land is rising – from 5 to 8 thousand soms per hectare (and to conduct profitable activities and plant grain cereals, at least 40 hectares of arable land are needed. So it turns out that there are opportunities, but no land! It is necessary to rent in the Baghare area in the Tselinny AO, which is in the lower zone of the district.” According to Tashbolot Katyrov, an ethnic Kyrgyz who came to his historic homeland from Tajikistan, a farmer and father of five children, he has no land of his own at all. “There isn’t enough pasture, we have to transfer cattle to stall feeding, and herding 20-30 heads on the upper pastures is not profitable,” complains Talas Moldaliev, “There are no shepherds: the older generation is no longer able to work, and the youth do not want to become shepherds. For 400 soms a month for one head of cattle, the responsibility is enormous. Traditional knowledge is being lost.” According to the pasture ticket, grazing cattle costs 100 soms/head, and small cattle – 20 soms/head. Farmers are unhappy that they have to pay not for grazing livestock, but “for air”: the grass in the wetlands is marshy, and the area is swampy, with droughts in summer. “Dust rises in the grazing areas that our livestock breathes,” says Talantbek Turgunaliev, “Almost all livestock is sick. For 3 villages – there is only 1 state veterinarian. Even with all the effort, ‘one in the field is not a warrior’ – it is impossible to cover the entire district in one day. The veterinarian’s salary is low, and transport is not cheap. As waiting for the only state veterinarian on call is unreal, farmers are forced to turn to private veterinarians. But just calling them costs at least 200 soms! This year there was another outbreak of foot-and-mouth disease, it was ‘brought’ from summer pastures, where veterinarians do not reach, and where farmers do not treat their livestock. Villager Nina Ivanovna Sokirchenko is outraged: “There should be a systemic veterinary service. And we need to ‘treat’ the pastures that have long been infected.” Local Kenesh Deputy Vasily Baido and farmer at the same time is a respected figure in Sretenka. “Farmers do not have good seeds,” says Baido, “Previously, the collective farm ‘Rossiya’ had its own seed-growing farm, but now we have to go for seeds to Kant or Sokuluk, buying them at double the price, hiring transportation. Last year, wheat seeds were bought at 20 soms per kg or through an exchange scheme – for 1 tonne of seeds you needed to return 3 tonnes of wheat harvest in autumn!” Also for farmers in the field season, fuel is quite expensive. Thus, this summer, diesel fuel averaged 44 soms/liter. According to villager Ali Junusaliev, it is difficult for a farmer to take ‘long’ loans at low interest rates: “Officially, in ‘Aiyl-Bank,’ it is allowed to take a loan at 10% per annum, but in reality, this loan is inaccessible. However, under 22% per annum with a house as collateral – please!” According to Talasbek Moldaliev, he has been ‘running around’ for a loan for the past 3 years and each time already in February finds himself in both Aiyl Bank and RSK Bank, where they say, ‘there is no money anymore!’ “Taxes are ‘suffocating’ us,” all farmers unanimously state. From 1 hectare, the land tax is 410 soms, social fund – 390 soms, plus rent. The climate is getting drier every year. This year, sugar beet producers went bankrupt since the harvest was ‘below average’ due to severe drought. Meanwhile, the costs of growing the crop are only increasing. “Just think about it,” says the village elder of Sretenka, Sergey Alexandrovich Cherednikov: “The costs for 1 hectare alone: plowing costs the farmer 500 soms + 20 liters of diesel; cultivation – 300 soms + 15 liters of diesel, seeding – 400 soms per hectare + 10 liters of diesel. A farmer cannot grow a harvest just by himself – hired workers are needed, and their price rises every year, while the quality of work leaves much to be desired. At least 10 people are needed for 1 hectare at a minimum payment of 400 soms/day for each worker + meals. If the farmer grows sugar beets, he needs to weed at least twice a season; if he grows grain cereals, he needs to do treatment twice. Irrigation water becomes scarcer every year. Irrigating 1 hectare now costs 1300 soms. But even for this money, it’s hard to ‘get’ water. They used to take from BChK, and now all the water is directed through BChK to Kazakhstan. As a result, in 2014, due to drought, the shortfall in yield amounted to 69%. Finally, the harvesting of agricultural crops costs 1500 soms per hectare + 1000 soms for diesel. However, the sale of the harvest does not cover the incurred costs. For example, grain in the market cost 11-12 soms/kg. So today, farmers in Kyrgyzstan are almost all bankrupt! Large farmer Nikolai Nikolaevich Pyshnoy has a large fleet of agricultural machinery and rents it out to locals. According to him, buying one’s own agricultural machinery is a pipe dream for a small farmer. Thus, they repair ‘old junk’ year after year! “But the state requires taxes to be paid on time. Thank you for listening to our concerns. Maybe those who have the power to influence the fate of the farmer will hear them?!” Today, Kyrgyzstan is trying to get on the rails of Sustainable Development. It should be remembered that such development begins with each household, from every piece of arable land, from each individual Kyrgyz family. Text and photo: Irina Bairamukova