Feb 9 • 15:33 UTC 🇱🇻 Latvia LSM

Prime Minister: The issue of requesting the resignation of Agriculture Minister Krauze has not been ruled out

Prime Minister Siliņa indicated that discussions about a report on state support for the timber industry will take place at the upcoming government meeting.

Prime Minister Siliņa announced that the government will review a commission report regarding the state support provided to timber growers, with representatives from the State Audit Office and the Prosecutor's Office participating in the discussions. She emphasized the need for follow-up actions based on the findings of the service investigation, which revealed several conclusions that warrant further steps. The situation raises concerns about the management of state funds, underlining Siliņa's commitment to ensuring they are not misused.

Additionally, the Latvian State Forests (LVM) company has responded to competition risks in the timber market identified by the Competition Council. They have initiated legal proceedings to annul long-term forestry contracts, seeking a suspension of their operations until a final judgment is reached. This marks a significant development in the ongoing scrutiny of the forest management practices since the Competition Council has been investigating these matters since 2020.

The Prime Minister's remarks suggest potential political turbulence regarding the Agriculture Minister's position, with discussions around possible resignation requests being considered. The intertwining issues of state funding management and competition within the timber market are critical for both the government and the industry as they navigate these challenges, which could have broader implications for environmental sustainability and economic regulation in Latvia.

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