New minister, new direction: What's next for Serbian agriculture?

New Minister of Agriculture sets priorities 

Professor Dragan Glamocic, PhD, Serbia’s newly appointed Minister of Agriculture, Forestry, and Water Management, has identified the efficient and transparent disbursement of subsidies as a top priority for his Ministry. In a meeting with the Director of the Serbian Paying Agency and his closest associates, Minister Glamocic emphasized his unwavering commitment to ensuring that every cent of state support reaches those who need it most—the villages, fields, barns, orchards, and vineyards of Serbia’s hardworking farmers. “Meeting our obligations—particularly adhering to subsidy payment deadlines—is essential to maintaining the trust between the state and agricultural producers,” Glamocic stated. He stressed that deviations from agreed plans would not be tolerated, regardless of their origin. The Minister also pointed to significant shortcomings within the Paying Agency, particularly in its organizational structure, document archiving practices, and service efficiency. These deficiencies, he noted, had already been identified during his previous role as an advisor to the President. “It is unacceptable that, to date, only 14% of agricultural incentives have been disbursed. Performance must be evaluated based on tangible results, not excuses,” he emphasized.

Looking ahead, Minister Glamocic called for a thorough analysis that could lead to a redefinition of Serbia’s agricultural policy. “We are facing multiple challenges, including serious disruptions in pork production, which underscore the urgent need for a strategic approach to reinforcing our national food sovereignty,” he said. He expressed particular dissatisfaction with the work of the Veterinary Directorate, citing the situation in the pork sector as an example, and emphasized the importance of strengthening Serbia’s food sovereignty. He announced that food safety and the health of both people and animals will be strategic priorities for the Ministry. As part of this commitment, he called for an urgent meeting of the crisis staff on foot-and-mouth disease, underscoring that all decisions must be informed by risk assessments and aligned with regional best practices. Minister Glamocic also voiced support for the controlled import of piglets—particularly from Denmark—for fattening in Serbia using domestic feed and resources, rather than continuing to rely heavily on imported meat.

Finally, the Minister stressed the importance of maintaining ongoing, meaningful communication with farmers—not just formal or symbolic gestures.

How to reduce food waste in Serbia?

According to the Food Bank of Vojvodina, around 2.000 tons of food are thrown away every day in Serbia. That is an astonishing amount when considered on an annual basis. To address this issue, experts believe it is essential to adopt a Law on VAT write-off, a measure already implemented in many neighboring countries. Last year, Spain passed a law banning food waste, while Italy and Moldova introduced tax incentives to encourage retail chains to donate surplus food. In Serbia, however, the situation is quite different, and adopting a VAT write-off law is seen as a crucial step toward change. “To do all of this properly, to help, the parliament must take action. The parliament needs to take the draft law, vote on it, make it a law, and ensure it is enforced, so that we can help everyone, including ourselves” said Srdjan Budimcic from the Food Bank of Vojvodina. With the adoption of this law, Serbia would have access to approximately 16 million euros’ worth of goods, tax-free. Experts also stress that, if the law is adopted, mandatory public education must follow. “Ideally, we should only buy what we truly need to prepare breakfast, lunch and dinner, in order to avoid throwing away leftovers. If there is surplus of food, we must make an effort to dispose it properly and donate it”, Budimcic added. Around 2,000 tons of food are wasted daily in Serbia. If all that food wasted in one year were packed into bags and loaded into trucks, the line of trucks would stretch through half of the country, reports Agro TV

The state of forests in Serbia

Forests and rich biodiversity have long been hallmarks of Serbia’s natural heritage. However, in recent years, this image has begun to fade. The first step toward restoring the forests' former vitality lies in improving seed quality—an issue now addressed by the newly adopted Law on Reproductive Material.

According to the Ministry of Agriculture, the primary objective of this legislation is to align with EU directives and ensure an adequate supply of high-quality reproductive material for reforestation efforts. Currently, forests cover 39% of Serbia’s territory. The southern and eastern regions are the most forested, while the Belgrade region lags behind with only 16% forest cover. Vojvodina, among the least forested areas in Europe, has just 8% forested land. Beyond reforestation, Serbia continues to face significant challenges, including excessive logging and the careless management of green spaces. To address these issues, a major 84 mn USD project has been launched to plant trees on 7.000 hectares—prioritizing erosion-prone areas—and to restore more than 50.000 hectares of degraded forest over the next seven years, reports EuroNews

Seven companies account for one-fifth of Serbia's agribusiness sector

In 2023, Serbia's agribusiness sector comprised 3.198 companies employing approximately 74.000 workers and generating a gross value added (GVA) of 2.24 bn EUR, according to the portal Biznis. The sector was dominated by the food production industry, which accounted for 82% of companies, followed by beverage production with 17.4%, and tobacco production with just 0.6%. Total revenue in the agribusiness sector reached 10.64 bn EUR, with large enterprises contributing 55% of that amount, based on an analysis by the Statistical Office of the Republic of Serbia (RZS). Micro enterprises were the most prevalent in company size, making up 73.6% of all firms. Small and medium-sized enterprises (SMEs) employed 45% of the workforce, while large agribusiness firms employed 27.3%. Seven of the largest companies individually generated more than EUR 50 million in GVA. These seven companies accounted for EUR 487 million in GVA in 2023, representing 21.7% of the entire agribusiness sector and 1.27% of Serbia's total GVA. These companies employed around 5.000 workers or 6.7% of the sector's workforce. All of the companies, except Sunoko, are majority foreign-owned. Additionally, two tobacco companies contributed 6.8% to the total GVA of the agribusiness sector. The key companies identified in the RZS analysis include Philip Morris Operations, Farmina Pet Foods, Coca-Cola Hellenic Bottling Company – Serbia, JT International, Sunoko, Imlek, and Frikom.

Most flowers traded with the EU

According to the Serbian Statistical Office, about 520 hectares are officially registered as flower and ornamental plant production areas in Serbia. In addition, plantation production is carried out on around 600 hectares. The most important flower-producing regions in Serbia include Vojvodina in the north (near the Hungarian border), the area around Sabac (west of Belgrade), and the several regions in central Serbia (Ljig, Trstenik, Velika Drenova and other locations). The Serbian Chamber of Commerce (PKS) notes that flower and ornamental plant production accounts for only 0.04% of Serbia’s total agricultural foreign trade, but this share is steadily increasing.  The PKS emphasizes that the European Union is the most significant import market for flowers and ornamental plants, accounting for 79% of total imports. In 2023, Serbia imported flowers worth 24.1 million EUR from the EU. Interestingly, while Serbia exports flowers, it also imports the most from the Netherlands with a total value of 17.9 million EUR , followed by Italy, Germany, and Slovenia. According to PKS, the largest share of flower and ornamental plant imports comes from the "planting material" category, which makes up 40% of total imports. In 2023, the value of imported planting material was 12.1 million EUR, of which 8 million EUR came from the Netherlands alone. The most imported items were indoor plants, followed by orchids, hyacinths, daffodils, and tulips. Imports from Italy, worth 1.3 million EUR, primarily included trees, shrubs, and bushes," noted PKS. Live flowers also made up a significant portion of imports—23%, with most of it coming from the Netherlands, totaling about 4.9 million EUR. In this category, indoor plants were the most imported type of flower.

According to European experts, Serbia, alongside the south of France, has the best climate in Europe for rose growing. They share an almost identical microclimate, number of sunny days, and soil quality. Given that global flower consumption is growing at an annual rate of 20%, Serbia’s economy could benefit significantly from flower cultivation—especially roses. Aleksandar Bogunovic from PKS told Bloomberg Adria that Serbia has great potential in the production of flowers and ornamental plants. "With better, production-oriented collaboration among producers, more organized promotion and sales, and support from the research and business communities, this sector could become an even more profitable branch of production," he stated. Added that the area used for growing flowers, both in open fields and greenhouses, is expanding, and that with further modernization and the purchase of new machinery and equipment, the production volume and variety could increase.

International horticulture fair opens in Belgrade

The 30th International Horticulture Fair, BeoPlant Fair, opened yesterday at the Belgrade Fair under the theme "A Garden in the Heart of the City." The event was officially inaugurated by the Minister of Agriculture, Forestry, and Water Management, Dragan Glamočić, who emphasized the significant potential of the horticulture sector and its strategic importance within Serbian agriculture. He stated that 2024 flower and ornamental plant production covered approximately 1,000 hectares of arable land, with around 680 hectares dedicated to outdoor cultivation and just over 300 hectares under covered facilities. Glamočić noted that Serbia exported ornamental plants and flowers worth EUR 6.5 million last year, while imports exceeded EUR 36 mil-lion, resulting in a trade deficit of approximately EUR 30 million. He underscored the need to focus more intensively on this sector to close that gap, adding that the Ministry of Agriculture will prioritize branches capable of generating higher income per hectare. Regarding medicinal herbs, the minister highlighted that Serbia exported over EUR 24 million worth of products in the previous year. The fair includes three thematic exhibitions: the 28th exhibition of medicinal herbs and honey-based products titled "Gifts of Nature," the 13th garden and park machinery and equip-ment exhibition, "MotoPlantExpo," and the 9th organic production exhibition, "Organic Fest." Exhibitors from both Serbia and abroad are presenting a broad range of horti-cultural sectors in Halls 1 and 2 of the Belgrade Fair. Par-ticipants include family farms, small-scale producers, and major importers of materials and components for landscap-ing and green space design. Additionally, the International Construction Fair also opened yesterday at the same ven-ue, featuring more than 400 exhibitors from 27 countries. Visitors can explore seven national exhibitions showcasing construction industry achievements from Austria, Monte-negro, the Czech Republic, China, Poland, Republika Srpska (Bosnia and Herzegovina), and Turkey.