PROGRAM OF GOVERNMENT 2017-2020 The government will introduce the possibility for increased financial support to farmers under the age of 35 years, up to five years from the commencement of agricultural activity. Young farmers under 35 will be exempt from lease of state-owned land within the first 3 years. In addition, we will ensure increased participation of the state in adding to the cost of agricultural mechanization. In order to secure easier use of IPARD funds, the Government will introduce financial support for interest on loans raised from commercial banks for investments within IPARD programs. The government will introduce simulative measures for production of animal feed, alternative crops, organic production, produced and placed seedlings of horticultural crops, production of better quality planting material, construction of infrastructure to poorly accessible mountain farms. It will encourage construction of modern storage facilities and purchasing and distribution centers in production areas for specific agricultural products whose capacity will be over 5,000 tons, and the creation and protection of products with recognizable brand, a sign of quality or geographical origin. The Government will propose amendments to the Law on Tobacco under which purchase of tobacco will be regulated by classification into three quality classes and according to the proportional representation of harvests (lower, middle and upper). Support of development of the manufacturing industry will be implemented through co-financing of construction and reconstruction of production facilities, supply of equipment for wineries, fruit, vegetables and milk processing and production of dairy products. As part of this policy, the Government will assign urbanized state land in major production regions (Strumica, Gevgelija, Bitola, Prilep, Rosoman, Berovo, Resen, Ohrid, Tetovo, Gostivar, Valandovo, Lipkovo, Kicevo and in other regions). In order to increase the quality of products, the Government will support the installation of digital hydro meteorological stations in every major manufacturing region. We will provide reliable and cheaper protection of crops and plantations to reduce the use of pesticides. In this regard, we will strengthen the control of the import and sale of pesticides. In husbandry, we will encourage allotment of state agricultural land to real dairy farmers, an increase of 20% over basic subsidies to registered dairy farmers in order to stimulate the development and professionalization of husbandry as the core business, financial support for young farmers in the purchase of the first herd, greater support to milk producers, support for artificial insemination of sheep and synchronized production of lamb for export to EU markets. Animal health is a key factor in providing healthy food for the citizens of Macedonia and the increase of exports. We will reduce the VAT rate to veterinary medicine, take over the registration of veterinary medicinal products originating from the EU, subsidize the introduction of new accredited methods and accreditation of laboratories dealing with safety control of food intended both for export and for use on the domestic market. We will establish an intervention fund for the agricultural and food sector to stabilize the income of farmers as precautionary measure and compensation upon considerable declines. The Government will implement the Strategy for Sustainable Development of Forestry in the country, with the participation of all stakeholders in the field of forestry and 40