Latvia, Markets and Companies, Strike

Farmers Saeima Director Rita Sile and the organization's deputy chairpersons, Uldis Krievars, and Maira Dzelzkaleja have left for Riga to deliver the farmers' demands to President Valdis Zatlers, Saeima Chairman Gundars Daudze (Union of Greens and Farmers), Prime Minister Ivars Godmanis (Latvia's First Party/Latvia's Way) and Agriculture Minister Martins Roze, reports LETA.

The protesting farmers meanwhile remain in the parking lot waiting for Farmers Saima's information. Everything depends on how the government reacts to the farmers' demands, said Abelite-Medne.

Dace Jukama, aide to the Valmiera District Police chief, told LETA that the police had been informed about the protest and would observe it to keep the peace.

If the farmers' demands are rejected, farmers will organize protests on a larger scale all over Latvia.

In the letter to the president, Saima chairman, prime minister and agriculture minister, farmers call the current situation in the farming business "force majeure", which is why they cannot honor their contractual obligations.

The farmers demand that part of the international loan for Latvia be used for stabilizing the agricultural sector in Latvia and offering financial aid for farmers.

Farmers want monthly loan payments put on hold for one year, and a temporary ban on the banks' right to increase interest rates on loans issued to farmers. The farmers also want funds for establishing a competitive dairy company and availability of loans for those farms that want to carry out modernization projects.

The farmers also urge the government and Saeima to set that milk in stores must exceed the price for which farmers sell milk to dairy companies not more than twofold.

Approximately two thousand farmers participated in the January 13 mass protest rally on the Dome Square in Riga.