Serbia’s agriculture and food sector is entering a period of significant transition, with new policy measures, sustainability initiatives and market developments shaping the future of production, supply chains and investment opportunities. Recent developments highlight both progress and remaining challenges across the sector.
Beeld: Illustration D.R.
Regenerative farming takes root in Serbian hazelnut orchards
A hazelnut grower near Valjevo is demonstrating how regenerative agriculture can improve long-term orchard resilience while reducing input costs. On a 3.2-hectare plantation, the Gajić family has introduced no-till management, cover crops including oats, rye, clover and phacelia, and compost tea to enrich soil microbiology and boost biodiversity, while minimising the use of chemical inputs.
Although regenerative practices may reduce yields by 10–20%, the growers expect significantly lower fertiliser and crop protection costs. After harvesting around 3.5 tonnes of hazelnuts last year, they are also relying on natural pest control by attracting insect-eating birds, illustrating a practical shift towards more sustainable fruit production in Serbia.
The LAN Belgrade team notes that regenerative agriculture has been included in Serbia’s Draft Strategy for Agriculture and Rural Development 2026–2034, creating a policy framework that could pave the way for future investment incentives and subsidies for farmers adopting regenerative practices.
Beeld: Illustration D.R.
Fitch keeps Serbia one notch below investment grade
Fitch Ratings has reaffirmed Serbia's BB+ sovereign credit rating with a positive outlook, keeping the country one notch below investment grade. While a positive outlook signals that an upgrade is more likely than a downgrade if current trends continue, Fitch cited continued political uncertainty as the main reason for withholding an upgrade. At the same time, the agency highlighted Serbia's strong macroeconomic fundamentals, including a declining public debt burden and growth prospects supported by investment and major Expo 2027 infrastructure projects. Fitch expects GDP growth to accelerate from 2.8% in 2026 to 4% in 2027, before stabilising at around 3.5%, while forecasting a continued decline in the public debt-to-GDP ratio. Unlike Standard & Poor's, which upgraded Serbia to BBB- (investment grade) in 2024, Fitch has maintained its BB+ rating through successive review cycles.
New rules aim to strengthen farmer–buyer contracts
Serbia has adopted a new rulebook establishing mandatory written contracts between farmers and processors or buyers, aiming to improve transparency, legal certainty and fairness across agricultural supply chains. Following earlier regulations for the dairy sector, the new requirements now also apply to cereals, fruit, vegetables, fruit and vegetable products, beef, veal, pork, honey and other agricultural commodities.
Contracts must define key commercial terms in advance, including product specifications, quantities, delivery schedules, pricing, payment terms, quality requirements and responsibilities of both parties. The regulation also sets maximum payment deadlines of 30 days for perishable products and 60 days for other agricultural goods, in line with the law.
The Ministry of Agriculture expects the new framework to reduce disputes, improve production planning for farmers and provide processors with a more predictable raw material supply. The measure is part of Serbia’s broader efforts to strengthen the functioning and stability of its agricultural markets.
Beeld: Illustration D.R.
Serbia generated 182.3 million tonnes of waste in 2025
Businesses in Serbia generated 182.3 million tonnes of waste in 2025, a 13% decrease compared with 2024, while 182 million tonnes of waste were treated, according to the Statistical Office of the Republic of Serbia. The data covers key sectors including agriculture, forestry and fishing, mining, manufacturing, energy, water supply and wastewater management, construction and services.
Among the sectors relevant to the agri-food value chain, waste generation in agriculture, forestry and fishing increased by 0.9%, indicating continued pressure on resource management despite the overall decline at national level. Waste generation also rose in water supply and wastewater management (+4.4%), while it declined in manufacturing and services.
Despite the large volumes treated, Serbia’s waste management system remains focused mainly on disposal: 179 million tonnes, or 98.6% of treated waste, were disposed of, while only 2.6 million tonnes (1.4%) were recovered. The figures highlight significant potential and a growing interest (see f.e. the Center for Circular Economy by the Serbian CoC (in Serbian only), regional initiatives and the ongoing harmonization of relevant legislation with the EU) for expanding circular economy approaches, including waste valorisation, recycling and the reuse of agricultural and food-sector by-products.
Despite the large volumes of waste treated, Serbia’s waste management system remains largely focused on disposal rather than recovery. In 2024, 179 million tonnes, or 98.6% of all treated waste, were disposed of, while only 2.6 million tonnes (1.4%) were recovered. These figures underline the significant potential for expanding circular economy approaches in Serbia, including waste valorisation, recycling, and the reuse of agricultural and food-sector by-products. Interest in these solutions is growing, supported by initiatives such as Center for Circular Economy by the Serbian CoC (available in Serbian only) established by the Serbian Chamber of Commerce and the ongoing harmonisation of national legislation with EU requirements.
More Information
If you would like to know more about Serbia’s agri-food sector and opportunities in areas such as post-harvest handling, cold-chain development, and sustainable production, you can go to the country page of Serbia at this website. You can also send an e-mail to the LAN team at the Dutch Embassy in Belgrade: bel-lvvn@minbuza.nl