Transcript Agriculture in the Republic of Moldova

Agriculture in the
Republic of Moldova
Overview
Share in G.D.P. – 16,6%
Share in total exports – 40 %
Population involved in agriculture– 27,5%.
Impact on economic growth – 38%
Agricultural lands – 2498,0 thousands ha (73,8%)
including:
 arable land – 1810,5 thousand. ha
orchards – 134,5 thousands ha
vineyards – 147,3 thousands ha
Strategic priorities for the development of agriculture
2011 – 2015 (1)
• Food safety reform;
• Wine sector modernization;
• Modern market infrastructure development;
• Large scale use of smart agriculture (Minimum and No-Till);
• Milk and meat production sector development.
Strategic priorities for the development of agriculture
2011 – 2015 (2)
• Renewable energy production from agricultural raw materials;
• Education and research in agriculture reform;
• An efficient agricultural subsidy system;
• E-agriculture – functional and efficient information systems;
• Development of the fruit and vegetables sector.
Key targets for the financial state support in agriculture
General
A facilitated access of the credits provided by commercial banks to farmers;
Improved use of arable areas by land consolidation.
Plant production
Extended production season (greenhouses and tunnels for growing
vegetables)
Increase the transfer of innovation and technologies in agriculture
Increased perennial plantations establishments for growing grapes
Improved access to water through modern irrigation systems
Developed post –harvesting and marketing infrastructure
Animal production
 Renovated technologies for animal farms
 Developed genetic fund for animal production
Structure of the Agricultural Production
100
80
%
31.1
25.7
32.7
41.9
31.9
33.8
32.3
68.1
66.2
67.7
2009
2010
2011
60
40
68.9
74.3
67.3
58.1
20
0
2005
2006
2007
Plant production
2008
Animal production
Gross harvest of the main agricultural crops
3000
2500
2000
1500
2010
1000
2011
500
0
Cereals and Sunflower
leguminous
crops – total
Soy bean
Sugar beet
(industrial)
thousand tons
Potatoes
Vegetables
Animal production
Thousand tons
2009
2010
2011
Meat (in slaughter weight)
90.8
110.9
117.9
beef and veal
11.1
10.2
9.7
pork
42.2
56.9
63.9
mutton
2.2
2.1
2.1
poultry
34.5
40.9
41.4
Milk
Eggs, mio. pcs
575
640
591
718
560
705
GRAPES AND WINE INDUSTRY
Sector structure
 The total area of
vineyards – 147,5 thousand hectares
including varieties of table grapes- 16.3 ha
varieties of wine grapes - 131.2 thousand ha
Global grape production
varieties for table grapes-70 .2 thousand tons
varieties of wine grapes- 423.3 thousand tons
Structure plantations:
86% technical varieties (wine)
14% table grapes
 The types of wineries:
Primary Wineries - 66
Secondary Wineries - 23
Mixed Wineries - 59
 The number of individual grape
producers - 50 000
The main grape varieties grown:
White
Aligote – 23%
Rkaţiteli – 15%
Sauvignon – 9%
Feteasca albă – 7%
Chardonnay – 4%
Riesling Rhine – 3%
Traminer – 2%
Red
Merlot – 9%
Cabernet –8%
Pinot Noir– 7%
Market potential of the wine sector

Categories of the produced wine - dry and sweet natural wines
(e.g. Chateau Vartely, Purcari); sparkling wine (e.g. Cricova);
brandy from grapes (e.g. Aroma, Barza Alba)

Moldovan wineries produce about 21,2 million dal. of wine a
year, out of which 904 thousand dal. of sparkling wines.

90% of the produced wine is being exported mainly to CIS and EU
markets

Since 2008, Moldova has tariff quotas in the trade of wine with
EU. Currently, Moldova is negotiating Free Trade Agreement with
EU.
Export of alcoholic beverages 2011-2012
Export, thousand USD
Products
2011
2012
Dynamic, %
Beer
116,80
294,90
152,5
Wine of fresh grapes
132 485,2
142 128,70
7,3
Vermouth and other wine of fresh
grapes
404,3
548,80
35,7
Spirits, liqueurs and other spirituous
beverages
42 749,0
64 931,40
51,9
Wine distillates
36 101,8
52 165,10
44,5
Vodka, liqueurs, gin and other spirits
beverages
6 647,5
12 766,10
92,0
Out of which
Needed Investments in the wine sector
Implementing products’ quality and safety
standards in wineries
Modernisation of wineries
Encourage production of wine with
protected geographical indications
Stimulating the development of small and
medium size wineries
Establishment of new vineyards
FRUIT AND VEGETABLES SECTOR
Market potential for fruit and vegetables
Moldova has all the natural conditions for intensive development of horticulture.
Occupying only 6-7% of the arable land of the country, fruit growing ensures
constant cash income to around 20% of sales agricultural products
Fruits (2011)
Vegetables (2011)
Production
Area(fructiferous) - 88,3 thousands ha
Average production - 4,1 tons / 1 ha
Global production - 362,9 th. tons
Production
Area - 34.3 thousands ha
Average production - 10.1 tons/1 ha
Global production - 361,6 th. tons
Distribution
Export - 220.2 thousands tons
Domestic consumption - 75.4 th. tons
Processing - 67,3 th. tons
Distribution
Export - 55,2 th. tons
Domestic consumption - 278.4 th. tons
Processing - 28,0 th. tons
Production of the main fruit categories
2008
2009
2010
2011
2012
371
308
322
377
376
Seed fruits
261
217
218
276
288
Stone fruits
95
79
88
85
78
Walnuts
14
10
12
15
9
Berries
2
3
2
1
1
Total production, thousand tones
Priorities for investment in the sector
 Establishment of new orchards with high productive and resistant varieties
 Strengthening post harvesting and marketing infrastructure
 Stimulating the production in greenhouses for extending the production
season of vegetables
 Development and implementation of modern technologies for fruit
and vegetables processing
The structure of the plant production
Vegetables
and potatoes
18%
Other
13%
Fruit,
walnuts,
grapes
31%
Cereal crops
25%
Industrial
crops
13%
Export of the fruits and vegetables
in 2007-2012, mil. USD
Basic legal framework for foreign investors
Law on foreign investments
Law on investments in entrepreneurial activity
Law on free economic zones
Strategy on investments and export promotion
Bilateral agreements on promotion and mutual protection of
investments with 35 countries