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Agricultural strategies and financing

БНР Новини
Photo: BGNES

Has Bulgaria managed to find a place in the vast European sea of farming produce or has it dissolved in it like a lump of sugar? This is a question that brooks no easy answer, especially if we lack perspective or a clear objective.

Most of the fruit and vegetables Bulgarians buy nowadays are imported. Just 25 years ago, the Bulgarian economy was almost closed and Bulgarians relied primarily on locally produced agricultural goods that were seasonal, hence unavailable or very high-priced at certain times of the year. Now, we regularly put imported fruit and vegetables, that are not typical for Bulgaria,  on the table. Often, foreign food is cheaper that food produced locally and this is undoubtedly tempting for buyers. 

Some of the producers, however, complain of unfair competition and dumping, while others have found the solution in exporting their products abroad - to the European Union or third countries. According to Holger Kray, lead agricultural economist at the World Bank, after joining the EU, Bulgaria has taken many steps in the right direction. 

 


How will the market change 40-50 years from now? The World Bank expects that in view of the global population growth, in 2035 demand for food will go up by 35%, and in 2050 - by 50 percent as the world population is expected to reach 9 billion people. Bulgaria is among the countries experiencing a demographic crisis, but it could still be successfully included in solving the world food problem. According to the World Bank study, agriculture must adapt to climate change, increase productivity and switch over to production with lower carbon emissions. Estimates indicate that in 2015, agriculture and farming will be accountable for 70 percent of the carbon dioxide, and this requires a reduction of at least 60 percent  of greenhouse gas emissions. 

These are the recommendations made by the international financial institution and related to the future challenges the world economy faces, but at this time the problems of Bulgarian agriculture are mostly financial. the recent protests by dairy farmers because of low buying-in prices of milk, once again showed there is need of  subsidies.

English: Alexander Markov

Edited in English by Milena Daynova




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