Albanian Agriculture Has the Lowest Budgetary Expenditures in the Region

TIRANA, September 21

Albania’s agriculture sector is currently contributing 20percent to the country’s Gross Domestic Product (GDP) and about 44percent of the labor force in Albania works in this sector. Despite the above-mentioned, the country receives the lowest support from the state budget compared to the other countries of the region, Monitor magazine says.
This was the result of a specific analysis published by the European Commission on the development policies of the agriculture and rural sector in the Western Balkans. The results show that Albania has the lowest level of total budgetary expenditures for the agro-food sector compared to the other Western Balkan countries.
Moreover, the analysis shows that most of these countries are reflecting a growing trend regarding direct producer support measures.
“In 2014, budgetary support per hectare of utilized agricultural area amounted to about EUR 23 in Albania, EUR 40 in Bosnia and Herzegovina, Euro 72 in Kosovo (data for 2013), Euro 79 in Montenegro, Euro 92 in Serbia and Euro 187 in Macedonia,” the analysis says refereeing to a conclusion from a FAO study.
The data show that Albania will not compete with the other countries in case of an open market. Albania has joined the initiative for the establishment of a common market in the Western Balkans by 2023. The lack of subventions for the agriculture sector will result in less competitive products. Currently, the flour milling industry is facing difficulties due to the low price of flour imported from Kosovo and Serbia.

News Source: monitor