Agriculture in Serbia and Economics in the Balkans

Serbia is a small landlocked country in the diverse region of the Balkans in southeastern Europe. With a total territory of almost 77.500 square kilometers, Serbia is somewhat smaller than South Carolina. Geographically, fertile plains and old mountain ranges dominate the Serbian landscape. Serbia has a total population of more than 7 million citizens, 56% of which live in a major city or urban setting. Currently, Serbia’s annual gross domestic product (GDP) is of approximately US$100 billion. However, its national economy has experienced uneven and sometimes sluggish economic growth in recent years, particularly due to the economic and humanitarian crises that Europe has recently experienced. The Serbian national economy is divided into 10% agriculture, 43% manufacturing, and 47% services. However, the agriculture industry utilizes about 58% of the national territory, while another 32% is forested. Likewise, the Serbian agricultural industry employs some 22% of the national labor force, while manufacturing employs about 16% and services employ another 62%.

In terms of natural resources, Serbia has oil, gas, coal, iron ore, copper, zinc, minerals, silver, magnesium, limestone, marble, salt, and arable land. Within manufacturing, Serbia’s industry is focused on automobiles, base metals, furniture, food processing, machinery, chemicals, sugar, tires, clothes, and pharmaceuticals. Meanwhile, the country’s agricultural industry has as main products wheat, maize, sunflower, sugar beets, grapes & wine, fruits, vegetables, beef, pork, meats, and dairy products. In terms of trade, Serbia’s main partners are Italy, Germany, and Russia, amongst other neighboring countries. Even though Serbia is not a member of the European Union, the country does have free trade agreements with its most important neighbors, including the EU, Russia, and Turkey. Furthermore, Serbia will be voting for a new president during the coming weeks, which could change the country’s political and policy outlook for the next five years. This article explores the status of trade and agricultural markets in Serbia.

Agriculture in Serbia and Economics in the Balkans

Throughout recent years, the average per capita protein intake of animal origin amongst the Serbian population has been of approximately 37 grams daily. Meanwhile, cereals, roots, and tubers supply about 40% of the average food energy intake in Serbia. Simultaneously, the territorial composition and land use in Serbia has evolved enormously throughout the last several decades given the fact that the country has gone through war and national disintegration because of the independence of Kosovo. In 2006, permanent pastures and meadows in Serbia covered some 750.000 hectares, while arable land covered another 2.6 million hectares and permanent crops accounted for approximately 191.000 hectares. In 2014, permanent pastures and meadows in Serbia accounted for some 713.000 hectares, while arable land represented about 2.6 million hectares and permanent crops covered approximately 188.000 hectares.

Similarly, the domestic cereals market in Serbia has changed throughout the last decades. In 2006, Serbia devoted 1.9 million hectares of land to the production of cereals and produced 8.4 million metric tons annually. Meanwhile, in 2014, Serbia devoted over 1.8 million hectares of land to cereals production and yielded some 11 million metric tons.

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