10:29 10.08.2015

Trade Ministry proposes regulation of amber extraction by creating JV of state companies with land owners

1 min read
Trade Ministry proposes regulation of amber extraction by creating JV of state companies with land owners

Ukraine's Ministry of Economic Development and Trade has proposed to solve the problem of illegal amber extraction by setting up a joint venture (JV) by state companies Ukrburshtyn, Burshtyn Ukrainy and land owners and local communities.

"Are changes and legalization of amber production possible in the face of opposition to criminality? It is possible if to do just five steps!" Deputy Minister of Economic Development and Trade Ruslan Korzh wrote on his Facebook page.

According to him, there are legitimate reasons for creating a joint venture - the laws on public private partnership and on production sharing agreements.

Korzh believes that the local population involved in illegal amber extraction is to be offered to register as entrepreneurs during a clearly defined period. Then registered entrepreneurs and companies will be able to sign contracts for services with specialized amber extraction companies with the state stake exceeding 50%.

According to Korzh, the state could undertake commitments as soon as possible to provide all joint ventures with special permits for the work. Representatives of the state on production sites and on JVs' boards will monitor compliance with the requirements of environmental legislation.

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