It looks like a joke, but behind it there’s a serious intent. It’s a minor provocation, of a kind that was last used by the Nazi authorities in Eastern Europe during the 1930s.
From babr.ru (my tr.):
Two farms in north-east Estonia on the border with Russia have declared themselves an Estonian Socialist Republic, and have demanded recognition of their independence.
After recognition the farms intend to separate from Estonia and form a state border.
The farmers’ initiative is supported by the Communists of Petersburg and Leningrad District (KPLO).
Here’s Komsomolskaya Pravda’s coverage.
And the original site is here.