Presentation on theme: "Agriculture in Bulgaria Atanas Kiskinov National Dairy Board of Bulgaria Co-financed by the European Union within the programme "Europe for Citizens" 2007."— Presentation transcript:
Agriculture in Bulgaria Atanas Kiskinov National Dairy Board of Bulgaria Co-financed by the European Union within the programme "Europe for Citizens" 2007 – 2013
Dynamics in Gross Value-added Indicators200120022003200420052006 Gross value-added in the national economy (million levs) 26 35628 52630 22732 94242 79749 091 Gross value-added in Agriculture (million levs) 3 5203 4463 4843 5673 3083 400 Gross value-added in Agriculture as a percentage of national gross value- added 13,412,111,610,99.48.6 Change in overall value-added (%) 0.35.52.2-9,5- 1,7 Labour force in Agriculture as a percentage of overall labour force in Bulgaria 25,8 25,525,0--
Agriculture in Bulgaria after 1990 Fundamental reform in agriculture; Privatization; Destruction of old production structures; State withdrawal from agriculture; Lack of sufficient governmental assistance during the period of reforms; Lack of sufficient financial assistance for farmers.
Results: Agriculture is no longer an engine of national economy Gross value-added in Agriculture stays constant or decreasing whereas gross value-added in industry is increasing. Agriculture plays as burden in economy. Labour force in agriculture is going down. Managerial capacity in agriculture is extremely poor. Low effectiveness and efficiency in agriculture. Low interest in investments in agriculture.
Results: Extensive and dependable production Serious unsolved structural problems External competition puts the sector under pressure. Low competitiveness leads to extensive but expensive (not enough technologies) production. Strong dependency on environmental and climate change. State efforts oriented mainly to formal reforms in legislation and meeting the CAP requirements.
Results: Trend to unbalanced agricultural structure 78% of arable land is covered by grain and oil-bearing crops. Low production and low employment are essential for these sectors. Almost dead sugar-beet sector => high rates of import. For 2002-2006 land used for vegetables decreased with 14%. Trend from export-oriented vegetable and fruit sector to import-oriented structure. Less land for vineyards and decrease in wine production. Unbalanced agricultural structure is typical for developing countries or for countries with unfriendly environmental conditions. Both are not supposed to apply to Bulgaria.
Results: Stock-breeding Decrease in number of animals (May 2007 – May 2008: -cows – 2.8% down; -sheep – 6.2% down; -goats – 7.8% down. Low productiveness. Small-sized farms. Insufficient row production for the processing industry. Monopoles established in some sectors (pigs and fowls).
How this situation could be improved? Bigger farms, higher technologies, increasing investments; Improvement of quality and strong marketing on the Internal market; Funds form Rural Development Programme; Organic farming development; Improvement of managerial knowledge and experience in farming; Establishing and development of strong farmers organizations, to whom government should delegate responsibilities and real authority; Higher state and NGO assistance considering legislation, financial aid, advisory service.