about us | newsletter | contact | archive | members area
Mircea Turdea, Farmec
The cosmetics industry is an extremely dynamic field and requires active players»
  News:      POLITICS   |   ECONOMICS   |   ENERGY   |   INVESTMENTS   |   APPOINTMENTS   |   GREEN   |   INFRASTRUCTURE   |   REAL ESTATE   |   AGRIBUSINESS   |   DRIVING   |   CITY LIFE   |   EVENTS   |

Romania has significant potential in agriculture, but low productivity, says PwC Romania

Romania is one of the European countries with the highest potential in agriculture with the sixth biggest agricultural use area in the EU, but it has a low productivity due to several factors, according to an analysis by professional services firm PwC Romania

2017-04-03 00:47:41 - From the Print Edition

Romania registered in 2013 a used agricultural surface of 13.9 million hectares, behind France (28 million ha), Spain (29 million ha), UK (17.3 million ha), Germany (16.7 million ha) and Poland (14.4 million ha), but bigger than Italy (13.1 million ha), Hungary (5.3 million ha) or Bulgaria (5.1 million ha).

Out of the Romanian available area (8.2 million ha), 60 per cent represents arable area, out of which around two thirds are used for cereals, making Romania one of the ten biggest cereals exporters worldwide (ninth place in wheat export and sixth place in corn export).

The share of agriculture in Romania's GDP dropped constantly over the last 20 years, from 22.6 in 1993 to under five per cent of the GDP in 2015, due to the structural transformation of the Romanian economy, from an industrial-agricultural economy to one based on services.
Approximately 85 per cent of the total workforce in agriculture is unpaid, working on their own agricultural areas for subsistence, compared with the average share of unpaid workers from agricultural sectors in the EU, where it is 72 per cent.

"All this data leads to the fundamental issue that confronts Romania within the agriculture sector; the relative low efficiency of agricultural production. There are many things to be improved in the Romanian agricultural field. There are several factors that affect this low efficiency, such as the fragmentation of the agricultural areas, as almost 75 per cent of the farms from Romania contain under two hectares, and the level of training of the farmers, as 94 per cent of the Romanian farmers said they gained their knowledge in agriculture by practicing it," said Bogdan Belciu, partner in consultancy services for management at PwC Romania and coordinator of the study.
"This is why we thought of optimizing the agricultural areas by registering the properties in the national system of cadastre and improving the manner of grant offerings for the small areas, as well as the increase in the level of professional preparation of the farmers by promoting vocational and agricultural technical schools, " added Belciu.

However, Romania still has the highest share of the agricultural sector in GDP out of all the EU countries, three times higher compared to the European average. Moreover, in 2014 27.3 per cent of the Romanian active population was hired in the agricultural sector, six times higher than the European average of 4.4 per cent of the active population.

Romania is in the last position regarding the gross added value per hectare, around 600 Euro/ha in 2013, compared with the Western Europe countries where the gross added value exceeds 1,000 Euro/ha. The gross added value on every sector from the economy leads to the formation of the GDP calculation.



COMMENTS
There are 0 comments:

 
ADD A COMMENT
 
Name
Email
Comment
Validation Code
   
 
 

0 Comments  |  6057 Views
Daily Info
EIB offers Romania 13 billion Euro financing in 25 years

The European Investment Bank (EIB) has granted Romania 13 billion Euro worth of loans since starting its operations in the country, in 1992, according to a report of the insti...

Germanos stores in Romania rebrand into Telekom

Telekom Romania, the second-biggest telecom group on the local market, has started the rebranding process of the Germanos shops into Telekom.

OMV Petrom doubled its profit last year

OMV Petrom had a 2.49 billion RON profit in 2017, more than double than it had recorded in 2016 (1.04 billion RON), according to a report by the company.

Complet Electro Serv appoints Cristian Laza as new CEO

Complet Electro Serv, part of Altex Romania, has appointed Cristian Laza as CEO of Complet Electro Serv, producer and distributor of electric-IT equipments.

Mol Group posts highest profit in a decade in 2017

Mol Group announced its financial results for 2017. Mol increased its EBITDA by 14 per cent outperforming its 2017 target on the back of a strong financial and operational del...

 
 
   
advertising

advertising

advertising

advertising

More on News
Contract for the purchase of 227 Piranha V armored personnel carriers, signed in presence of PM Tudose

The contract for the purchase of 227 Piranha V armored personnel carriers was signed on Friday in the presence of Prime Minister Mihai Tudose, Deputy Prime Minister Marcel ...

President Iohannis: The Romanian society is mature and active and needs a state to match it

President Klaus Iohannis stated, on the occasion of the annual meeting with the heads of diplomatic missions accredited in Bucharest, that the Romanian society is a mature ...

2 Comments

Iohannis: Justice independence, public positions' integrity are constitutional values not to be negotiated

Promoting the rule of law and Justice independence, fighting against corruption, ensuring integrity in public positions and dignities are constitutional values that cannot ...

1 Comment

PM-designate Dancila: "It's important to implement governing programme"

Prime Minister-designate Viorica Dancila stated that it's important to put into practice the governing programme, but also 2018- the Centennial Year and prepare to take ove...

1 Comment

Iohannis: Romania's progress bound to stable legislation able to punish abuses

Romania's progress is inseparably bound to a coherent, stable legislation able to punish abuses and dishonesty, said President Klaus Iohannis, pointing out that the governm...

4 Comments

Mihai Tudose announces his resignation as prime minister

Mihai Tudose announced on Monday evening, at the end of the Social Democrat Party (PSD) National Executive Committee (CExN) meeting, that he resigns as prime minister of Ro...

President Iohannis meeting Juncker and Tusk in Brussels, modifications in Romanian justice among topics

President Klaus Iohannis is to meet on Wednesday, in Brussels, with President of the European Commission Jean-Claude Juncker and with President of the European Council Dona...

1 Comment