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| The Prospects of Romanian Agriculture |
| (2011-11-23) |
| Last updated: 2011-11-24 16:55 EET |
Romanian agriculture will continue to grow throughout the last quarter of 2011 and in the first quarter of 2012, and will be a revenue-generating factor for the Romanian economy, says Agriculture Minister Valeriu Tabara.
Although it has reported an upward trend over the past 20 years, Romanian agriculture has yet to capitalize on its unfulfilled potential. This sector reached its growth peak in the inter-war period, a time when Romanian agriculture flourished and when our country was one of Europe’s largest wheat exporters. At present, agriculture is showing slow but certain signs of recovery.
According to Agriculture Minister Valeriu Tabara, the agricultural sector will maintain its growth during the last quarter of 2011 and in the first quarter of next year and will bring in revenue to the state budget. According to the Romanian official, one source of revenue will be EU structural funds. Minister Tabara went on to say that by the end of next February, Romania will have accessed over 5.5 billion euros. The Romanian official said over 700,000 farmers had so far received the down payment as part of the multi-annual subsidy decoupled from the surface area, which stands at 240 million euros. Valeriu Tabara gave more details:
“This year, all measures concerning agriculture will be paid. Nearly 400 million euros will be transferred to farmers’ accounts by Christmas, so that in turn they can take all necessary measures to organize and capitalize on Romania’s actual potential”.
Referring to the present situation of animal breeders, the Romanian minister said:
“The ministry will concentrate its efforts on increasing subsidies per animal, and talks are being held with the Finance Ministry to introduce provisions in the state budge in that respect, although slightly lower than initially estimated”.
Last week, cattle breeders staged a rally in Bucharest, voicing their dissatisfaction with the subsidies laid down in the 2012 budget. Minister Tabara believes such protests are groundless as long as subsidies for breeders have been duly shelled out and have not been slashed in the past year.
On the other hand, the Romanian Minister also spoke of the situation of farmland in Romania. Foreigners currently hold over 700,000 ha of farmland, accounting for 8.5% of Romania’s overall arable land. Ranking first in terms of buyers is Italy, followed by Germany and Arab countries. Recent figures show that Romania ranks 6th at European level in terms of farmland, after France, Spain, Germany, the UK and Poland. Romania comes 5th at European level in terms of arable land. The total number of foreign-owned farms in Romania has reported a hike from 635 in 2010 to 700 in 2011.
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