Transcript Serbia - Sario

Serbia:
Agriculture
Investment Opportunities
Jasna Reb
Bratislava, 24 Jun 2011.
Ministry of Agriculture, Trade,
Forestry and Water Management
Facts about Serbian agriculture
Agricultural land: 5.7 mill. ha
(0.69 ha per capita);
 Arable land: 4.2 mill. ha (0.46
ha per capita);
 87% of land is private
ownership;
 Number of households:
approximate 700,000 (about
441,000 are registered);
 Average farm size: about 3 ha
(commercial farm size 10.6 ha);
 44% of population lives in rural
areas.

Structure of Serbian agriculture
production
Field crops
42 %
Fruits and
vegetable
12 %
Livestock
43 %
Other
crops
3%
Livestock
The livestock pool in Serbia, after a
decline in the last decade of the
twentieth century, is slowly
recovering.
Within the livestock production, cattle
production plays a key role
compriseing 45% of the total
animal production, with 26% being
devoted to the dairy production,
and 19% being devoted to the
production of beef.
Structure of animal production in the
total livestock production in 2009:
Cows
45%
Pigs
35,90%
Fowl
13,20%
Sheep
5,40%
Beekeeping 0,50%
Grains
The production of wheat, barley, rye,
oats, corn, millet and sorghum, uses
about 60% of the arable land in Serbia.
Corn is the most common grain crop.
Regarding corn production Serbia is the
fifth largest producer in Europe, behind
France, Ukraine, Romania and Italy.
Oilseeds
Sugar beet
The production of oilseeds is sufficient to
cover Serbia’s domestic needs while the
key export products are sunflower oil and
soybean oil.
Sugar is also a significant export item
for Serbia.
Seed material
Medicinal and Aromatic
Herbs and Spices
Serbian seed companies are significant seed
exporters, since new, quality varieties and
hybrids were created and recognized
(wheat, maize and barley seed) in the
recent years .
Thanks to the favorable climate, land and
unpolluted environment Serbia is very
suitable for the cultivation of medicinal
plants.
The most widespread herb species are:
domestic mint, chamomile, parsley, fennel,
dill, marshmallow and lemon balm.
Fruit production
Vegetable production
Grape, wine and brandy production
Thanks to the quality local plums,
slivovitz has become a recognizable
Serbian brand. Other types of brandy
are b. made of grapes, pears, apricots,
quince and herbs.
Serbia is a country with great
potential, and a long tradition of
grape and wine production.
Agriculture in national economy
Share of agriculture in GDP
 Share of agriculture in GDP decreased
from 14,30% to 10,62% during transition
period; 10,3% in 2010 (estimation).
18%
25
16%
20
14%
Growth rate
 Extremely fluctuation of growth rate
(range about 23 pp);
 To agriculture growth rate of 2,2% in
2009 contributed the most: corn, wheat,
rape seed and fruit;
 There are no significant differences,
comparing with countries in the region.
15
12%
10%
10
8%
5
6%
0
4%
-5
2%
0%
-10
2001 2002 2003 2004 2005 2006 2007 2008 2009*
Share of agriculture in GDP
Share in foreign trade 12,4%

Growth rate of GDP in agriculture, previous year = 100
in export 23%, in import 6,2%.
Source: Statistical Office of the Republic of Serbia
Agricultural Trade Balance

Serbian agriculture in last nine years (2002-2010) increased total trade of agricultural
products 3 times, whereby export was increased 4,6 times, import 1,7 times and (positive)
trade balance 8 times (compare with 2005);

Surplus was increased from 150 million USD in 2005 to over 1 billion USD in 2010;

Export-import ratio was increased from 0,80 in 2002 to 2,17 in 2010.
2400
2200
2000
1800
1600
millions of $
1400
1200
EX PORT
1000
IMPORT
BALANCE
800
600
400
200
0
-200
-400
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
Firs t
Quarte r
Source: Statistical Office of the Republic of Serbia
Trade structure according to
destinations of trade in 2010
Other
countries
8.8%
CEFTA
43.6%
EXPORT
European
Union
47.6%
IMPORT
Other
countries
33.8%
European
Union
41.9%
CEFTA
24.3%
• Serbia’s main trade partner was EU in 2010;
• Trade between Serbia and EU is regulated by Stabilization and
Association Agreement (SAA).
Source: Statistical Office of the Republic of Serbia
Top 10 agricultural products
EXPORT
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Corn, Yellow
White sugar
Roland Raspberry
Wheat
Sunflower oil, edible and raw
Beer made from malt
Fresh Apples
Soft drinks
Griz Raspbery
Soybean oil
IMPORT
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Coffee
Fresh bananas
Cigarettes containing tobacco
Prepared foods
Sweet oranges
Soya beans
Sunflower seeds
Palm oil
Tomatoes, chilled
Cigarettes containing tobbaco,
others (HRO2C)-CEFTA
Agribusiness sector – field of
possibilities
Serbia as a center of south-east region, is attractive for investments of
companies from other countries for many reasons:
General advantages:
•
Good geographical location (middle of Balkan, heart of South-east
Europe, Pan-European Corridors);
-Favourable climate and soil conditions.
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Economic advantages:
•
Relatively low costs of land (rent/sale);
-Relatively low cost of labour (qualified);
-Significant agro-processing capacities;
-Favourable fiscal policy (incentives for foreign investors).
-
Agribusiness sector – field of
possibilities
•
Trade advantages:
The local market is one of the largest in the region with around 7,5
million inhabitants;
- Leading position of agricultural machinery from EU producers and
know-how technologies;
- Serbia has significantly improved the competitiveness of its
agriculture after signing of CEFTA, SAA, EFTA and FTAs;
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Favourable trade conditions - preferential access to main markets
Investment threats: agriculture (still) in transition, small scale
farming, low yields, large number of farmers without proper
associations, general lack of financial resources in agribusiness.
•
Preferential access to main markets
CEFTA
European Union
Central European Free
Trade Agreement
Stabilization and
Association Agreement
(SAA)
REPUBLIC OF
SERBIA
EFTA
Russia, Belorussia, Turkey,
European Free Trade
Agreement
Kazakhstan
Free Trade Agreement (FTA)
USA
General System of Preferences (GSP)
Financing the Agribusiness Sector
European Union
I and II components of
IPA
Agricultural Trade Balance Serbia-Slovakia
2004-2010 (000 USD)
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Volume of trade in agricultural products between Serbia and Slovakia amounted to
13 million USD in 2010, with the Serbian export about 7 million USD, and import about
6 million USD. The surplus on the Serbian side was about 1,3 million USD.
The largest total volume of trade recorded in 2008 (24 million USD).
The largest export was in 2007, worth 13.3 million USD with a surplus of 5.4 million USD on
the Serbian side.
16.000
14.000
12.000
10.000
8.000
Export
6.000
Im port
Balance
4.000
2.000
0
2004.
-2.000
-4.000
2005.
2006.
2007.
2008.
2009.
2010.
Agricultural Trade Serbia-Slovakia
E X P O R T E R S:
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Oil factory Banat, Nova Crnja
SUNOKO, Novi Sad,
Victoriaoil, Šid,
SOJAPROITEIN, BECEJ,
S D Martonoš, Kanjiža,
Aretol, Novi Sad,
AIK Backa Topola, Bačka Topola,
Maber Commerce, Pančevo,
Bojin, Majur,
Koneks, Novi Sad,
Zdravo Organic, Selenca,
TELEK PAPRIKA Martonoš,Kanjiza,
INSTITUT ZA RATARSTSVO I POVRTARSTVO,
N.SAD
FARMINA PET FOODS ,
PIONIR, BEOGRAD.
IMPORTERS:
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KRAFT FOODS, BEOGRAD,
SILBO, BEOGRAD,
Frikom, Beograd,
AD ŠTARK, Beograd,
Somboled, Sombor,
Vojvodina Reklam, Novi Sad,
Swisslion Group, Novi Sad,
NESTLE Adriatic Foods, Beograd,
Pionir, Beograd,
Nectar, Backa Palanka,
Centroproizvod Beograd, Surčin,
Min-Commerce, Beograd,
FORNETTI, Subotica,
FINKOCHEM, BEOGRAD,
HOYA V.S. SUBOTICA.
Agricultural Trade Serbia-Slovakia
Most exported products:
-white sugar
-soybean oil, row
-flour and soy grits,
-ground pepper, crushed, dried,
-technical lard,
-fresh plums, watermelons and
prunes,
-sunflower oil,
-beans, peas, sweet corn,
-soft drinks,
-food for dogs and cats,
-soybean and corn seeds,
-chocolate,
-slivovitz, cherry and pear brandy,
-food for animals…
Most imported products:
-calfskin, row,
-milk powder,
-food stuff,
-chocolate,
-fruits,
-confectionery,
-poults weighing up to 185 g,
-tomato,
-glucose syrup..
AGRICULURAL AND FOOD PROCESSING SECTOR POTENTIALLY
INTERESTING SECTOR FOR SLOVAK PARTNERS
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fruit and vegetable processing
sugar, sweets and honey,
oil seeds,
seed material,
medical and aromatic herbs and spices,
meat production and processing,
organic production,
grape, wine and brandy production,
production of mineral water and non-alcoholic drinks,
agritourism
Slovakia, as a member of the OECD, has an obligation to help other
countries through various projects.
Ministry of Agriculture, Trade, Forestry and Water Management of the
Republic of Serbia was the beneficiary of the fund, established by the
Slovak Government, Slovak Aid:
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EU Information Centre
Cooperation in the field of organic farming in accordance
with EU
We are very grateful for the support we received through these projects
and we hope that in future we will achieve project concerning trade
(consumer protection, product safety or market surveillance).
THANK YOU FOR YOUR
ATTENTION!
MINISTRY OF AGRICULTURE, TRADE
FORESTRY AND WATER MANAGEMENT
OF THE REPUBLIC OF SERBIA
www.mpt.gov.rs