Recovery of Romanian horticulture expected

With the fall of communism in 1989, horticulture in Romania also strongly declined. Many large state-controlled companies have ceased to exist or were subdivided. From an exporting country, Romania has become an importer. Greenhouse acreage, partly because of increased energy costs, has decreased from 3,500 ha to 500 ha, of which 250 ha are heated.

Between 2000 and 2008 the sector recovered somewhat, only to be affected by the global crisis. After 2011, there was a modest growth of 2.5%.

Fruits and vegetables are often grown on very small businesses and deposited near or at local markets. Much of that trade is under the table, due to the high VAT (24%). Partly because of this, the supermarkets, which tend to settle in the cities, are having difficulties getting ample supply of good and safe vegetables. They now import about 60% of fruit and vegetables from Turkey, the Netherlands and Italy, among other countries. However, Romanian citizens are demanding more domestic produce.

Using producer groups, people are now setting up programs to ensure regular supply. There is also a growing emphasis on reducing VAT. This, together with growing demand for locally produced fresh food, brings new opportunities for Romanian agriculture. Undoubtedly there are also opportunities for Dutch companies.

Source: WageningenUR