The basic strategy of the innovative development of the food industry consists in the complex all-round modernization of the operating production facilities and creation of new facilities with launching the advanced technologies conforming to the best foreign analogues.

The priority directions of the programme of innovative development of the food industry include: launching and increase of the production of competitive import-substituting products; introduction of the technologies aimed at the improvement of the quality of the foods produced; development and launching of the production of the medical-, prophylactic and functional-purpose foods; introduction of the energy- and resource-saving technologies, including the low-waste and non-waste ones.

The implementation of the programme measures will make it possible to achieve the following results by the year 2010: increasing the share of innovative products in the total volume of the shipped products of 5 per cent and the share of certified products in the total volume of the industrial production of 96.2 per cent; decrease of the degree of wear of the active part of the fixed industrial and production-related assets down to 53.2 per cent; to increase share of expenses for the equipment, tools and inventory in the investments in the fixed capital up to 71.5 per cent.

The innovative activities in the food industry are carried out within the framework of implementation of the following branch programmes:

Sugar Industry Development Programme for the years 2005-2010 approved by the Resolution of the Council of Ministers of the Republic of Belarus No. 792 dated July 15, 2005,

Programme of Development of the Organizations of the Republic of Belarus Carrying Out the Production and Export of Alcoholic Products for the Years 2005-2010 approved by the Resolution of the Council of Ministers of the Republic of Belarus dated September 9, 2005 No. 1000 “On the Programme of Development of the Organizations of the Republic of Belarus Carrying Out the Production and Export of Alcoholic Products, for the Years 2005-2010” (National Register of Legal Acts of the Republic of Belarus, 2005, No.143, 5/16503),

Programme of the Development of the Brewery Branch of the Republic of Belarus for the Years 2006-2010 approved by the Resolution of the Council of Ministers of the Republic of Belarus No.131 dated February 2, 2006 (in the edition of the Resolution of the Council of Ministers of the Republic of Belarus No.1210 dated September 14, 2006) “On the Programme of the Development of the Brewery Branch of the Republic of Belarus for the years 2006-2010” (National Register of Legal Acts of the Republic of Belarus, 2006, No. 22, 5/17207),

Programme of the Development of the Production of Canned Fruit and Vegetables in the Republic of Belarus for the years 2006-2010 approved by the Resolution of the Council of Ministers of the Republic of Belarus No.106 dated January 27, 2006 “On the Programme of the Development of the Production of Canned Fruit and Vegetables in the Republic of Belarus for the Years 2006-2010” (National Register of Legal Acts of the Republic of Belarus, 2006, No. 22, 5/17191).

The long-term plan of innovative development of Belgospishcheprom Concern for the years 2007-2010 includes 18 projects, which are the most important ones for food branch and which are aimed at the creation of the new facilities and modernization of the operating ones with introducing the advanced technologies and equipment from Italy, England, Germany, Switzerland, Czechia and China as well as domestic designs.

Within the individual directions of the development of the food branch, it is planned to implement the following innovative projects:

• Organization of production of new products including the import-substituting ones.

In this direction, it is planned to create the production of the product, which is new for the Republic, on the basis of Veselovo Food Production Complex using the technology developed by Mogilev Food Technology University. This product is pectine from apple extraction being the waste of the production of fruit wines and juices. It will make it possible to provide the domestic manufacturers with high-quality raw materials for production of fruit jelly, marshmallow and other confectionery. The planned capacity of pectin production in the year 2010 will be 50 tons yearly that will make it possible to reduce the import of this product by 30 per cent.

Besides, it is planned to implement the investment project for organization of the production of the domestic sugar substitute Vartamil at Slutsk Sugar Refining Plant Open Joint-Stock Company with the capacity of 50 tons yearly using the technology developed by the Institute of Physics of the National Academy of Science of Belarus. Vartamil is a highly efficient sweetener obtained from ordinary sugar by chemical modification of the latter with the 400-times increase of the product sweetness. Launching the production of the domestic sugar substitute would make it possible not only to reduce the import of these products to the Republic, but also create the special medical direction in the nutrition of diabetics as well as provide the people, who have excessive weight and control it, with the prophylactic-course nutrition.

The creation of the production of soybean oil (with the capacity of 30 thousand tons yearly) and fodder soybean oil meal (with the capacity of 120 thousand tons yearly) at Gomel Fat Production Complex Open Joint-Stock Company provided for by the State Programme will make it possible to solve completely the import-substitution problem for such valuable fodder product as soybean oil meal by the year 2010 and reduce considerably the soybean oil import to the Republic.

Organization of the production of gelatinizing sugar (200 tons yearly), which is the product being new for the Republic with introducing the equipment and technology from Czechia is the objective of the innovation project implemented at Zhabinka Sugar Mill Open Joint-Stock Company. Gelatinizing sugar may be used in the confectionary industry as well as in producing the canned fruit and berries that excludes the necessity of boiling them and contributes to the improvement of the nutritive value of the canned products as well as reduction of power consumption for producing them.

2. Creation of new production facilities on the basis of introduction of resource- and power-saving technologies.

In this direction, the investment projects for organization of the protein fodder product at Urechye Distillery affiliated to Minsk Crystal Republican Unitary Enterprise shall be implemented within the organization in the years 2007-2010.

The protein produces from the distillery waste (dregs) is a product for feeding agricultural animals which is new for the Republic. The organization of production of this product will make it possible to satisfy partially the demand of the domestic livestock sector for protein fodders as well as to reduce the expenses for livestock management at the cost of lower price for the product.

For the purpose of solving the energy saving problem, it is planned to organize the production of biological diesel fuel based on rapeseed oil with the capacity of 20 thousand tons yearly at the Vitebsk Oil-Extraction Factory Open Joint-Stock Company.

The implementation of the investment project for introducing the technology of processing the beet marc at Gorodeya Sugar Production Complex Open Joint-Stock Company will allow the enterprise to launch the production of pectin from dry beet marc, which is the product being new for the Republic, with the capacity of 600 tons yearly and solve the problem of disposal of the sugar production waste while reducing the ecological impact on the environment.

3. Creation of new enterprises and modernization of the existing ones on the basis of introduction of the advanced technologies.

To reduce the import of vegetable oil and satisfy the demand of the processing organizations of the branch for rapeseed oil in full it is provided for implementing the investment project of reconstruction of the extraction production of Vitebsk Oil Extraction Factory Open Joint-Stock Company with introducing the highly efficient equipment and technology. As a result of implementation of the project, the producing capacity of the enterprise for processing the oilseeds will be 250 tons daily or 80 thousand tons yearly by the year 2010 that will make it possible to increase the volumes of production of vegetable oil up to 36 tons yearly and reduce the import by 20 per cent.

For the purpose of improvement of the quality and competitiveness of the domestic margarine products, the Gomel Fat Production Complex Open Joint-Stock Company performs the works for introducing the advanced technology of enzyme interesterification of fats with acquisition of appropriate equipment and preparations, i.e. interesterification enzymes. The introduction of this technology will make it possible to replace the hydrogenated fats included in margarine products for the interesterified ones that will contribute to the improvement of the quality and safety of margarine products as well as reduction of its prime cost. It is planned to produce about 1,000 tons of fats using the new technology in 2007.

The basic projects of the innovative development of the organizations of the confectionary branch of Belgospishcheprom Concern (modernization of the milk sweets “Korovka” at Krasny Mozyryanin Open Joint-Stock Company; launching of the production of iced and decorated biscuits at Slodych Confectionary Plant Open Joint-Stock Company) are aimed at the expansion of the assortment, improvement of the quality and competitiveness of the output products for the purpose of import substitution. The implementation of these projects will be based on the development work performed by Mogilev Food Technology University.

The work for reconstruction and modernization of brewery facilities aimed at the improvement of the quality and competitiveness of the domestic products at the cost of introducing the new equipment and optimization of the processes is performed in accordance with the Programme of Development of the Brewery Branch for the years 2006-2010.

Taking into account that the improvement of the taste and consumption properties of beer brewed depends considerably on the quality characteristics of malt, which is the basic raw material used for brewery, the long-term plan of innovative development of the food branch for the years 2006-2010 provides for implementing the investment project for modernization the malt production at Belsolod Open Joint-Stock Company with introducing the advanced equipment and highly efficient energy-saving technology. As a result of implementation of the project, the production of high-quality malt in the volume of 65 thousand tons yearly will be ensured. It will make it possible to improve the quality of domestic beer and solve the import substitution problem.

The long-term plan of innovative development of the Concern for the years 2007-2010 provides for the implementation of the investment project for construction of the new enterprise for production of fruit and vegetable juices in modern forms of containers with the capacity of 100 million conventional cans yearly. The implementation of this project will make it possible to solve completely the import substitution problem for this kind of products.

Besides, the long-term plan provides for the measures for modernization of the canning production at Vitebsk Fruit and Vegetable Processing Complex Republican Unitary Enterprise with introducing the advanced equipment and highly efficient resource-saving technology of the aseptically canned semi-prepared purees in the bags with the capacity of up to 200 cubic decimetres. As a result of implementation of the project the production of high-quality semi-prepared purees for children’s nutrition in the volume of 4 thousand tons yearly and juices being in demand among the population shall be ensured.

For the purpose of import substitution the project for organization of the production of the fast-frozen fruit and vegetable products with the capacity of 600 tons yearly using the German technology will be implemented at Vitebsk Fruit and Vegetable Processing Complex Republican Unitary Enterprise.

The active innovative work for introducing the advanced technologies is performed in the alcohol-branch organizations. In particular, the long-term plan of innovative development of Belgospishcheprom Concern provides for introducing the Russian technology of low-temperature cooking of starch-containing raw material with the mechanical and enzymic processing of the latter at Mir Distillery Republican Unitary Enterprise. The implementation of the project will make it possible to improve considerably the quality characteristics of rectified alcohol and increase its output by 2.5-3 per cent.

The total amount of financing for implementing the innovative projects for creating new enterprises and new production facilities at the operating enterprises as well as modernization of the operating facilities for Belgospishcheprom in the years 2007-2010 will be 184,679.3 million roubles, including that at the cost of the Republican Budget’s funds – 26,919.8 million roubles, bank credits – 156,385 million roubles and other sources – 1374,5 million roubles.