Tuesday, 28 June 2011 15:11

Thirty-Sixth Sitting of the Agriculture Committee and Thirty-Eighth Sitting of the Industry Committee

The Agriculture and Industry Committees held a joint sitting on 28 June to discuss the Initiative of the general manager and representative unions of the Industry of Machines and Tractors (IMT) a.d. Belgrade in restructuring, for the resolution of its status issues.

In his address to the members of the two assembly committees IMT General Manager Slobodan Petrovic reminded of the importance of the erstwhile leading giant in the production of tractors and accompanying agricultural machines. He said that the company has been in the process of restructuring since 2003 and has so far gone through two attempted privatisations but both the attempts failed.

Manager Petrovic listed factory’s problems saying that without the state’s help it would go bankrupt. The management proposed a sale of part of the factory so as to secure money for investment and pay off the creditors. Petrovic said that the state is assisting IMT, directly or indirectly, but that the company needs crucial changes.

The union representatives pointed out that the republic governments have so far implemented only short-term measures and sold assets in order to cut its debts and number of employees. They stressed that it is unacceptable to allow the further deterioration of the world-famous tractor manufacturer.
IMT representatives also pointed out that in July 2010 the Government accepted a programme of measures to resolve the IMT’s status and in its conclusion designated which state bodies would implement it. IMT proposed the expert consultant company to draft a feasibility study which would indicate the most advantageous and acceptable model for the company’s further development.
The representative of the Ministry of Economy and Regional Development deemed that IMT’s biggest problem is its lack of a strategic partner and said that the Ministry was ready to discuss the proposed initiative to resolve IMT’s status issues once it concretizes its production programme, defines its market and establishes costs. The Privatisation Agency pointed out the problems in the company’s reorganisation process and stressed that the sale of assets can only pay off the mortgage creditors.

The members of the two assembly committees emphasised the importance of the company and requested more support from the state to help resolve its status problems. As the Industry Committee lacked a decision-making quorum, the Agriculture Committee members concluded to request that the Government acts according to the conclusion made in July last year and that the Privatisation Committee be included in the debate on the initiative.

The sitting was chaired by Prof. Dr Zoran Masic, Agriculture Committee Chairman and Milorad Buha, Industry Committee Chairman.

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friday, 1 july
  • 11.00 - the National Assembly Speaker addresses the conference on the Position of Serbia’s in the Euro-Atlantic Community (National Assembly Building, 14 Kralja Milana Street, Grand Hall)

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