Serbia’s agriculture and food sector continues to combine significant natural resources and strong export potential with structural and climate-related challenges. Recent developments highlight the country’s competitive position in agricultural land availability and fruit exports, while also pointing to growing pressures from water scarcity, the need for more resilient production systems and changing consumer and retail patterns.

Beeld: Unsplash

Serbia among global leaders in arable land availability per capita

Abundant agricultural land offers a competitive advantage, but structural challenges persist.

Serbia has around 0.52 ha of arable land per capita, compared to the global average of 0.19 ha. China has between 0.08 and 0.10 ha per capita, India 0.12 to 0.14 ha, Japan just 0.03 ha, while the United Kingdom and the Netherlands range between 0.08 and 0.15 ha,” agricultural analyst Branislav Gulan told Biznis.

According to the 2024 Agricultural Census, Serbia has 4.07 million ha of agricultural land, of which 3.26 million ha are actively cultivated, across 508,365 agricultural holdings, including more than 506,000 family farms.

Despite this strong natural resource base, Gulan warned that more than 3 million ha of cultivated land are divided into around 19 million plots. The highly fragmented farm structure, with the majority of holdings being very small-scale (often averaging 1 ha or less), constrains mechanization, the uptake of advanced technologies and improvements in productivity. He also pointed to persistent structural challenges, including declining livestock production, insufficient irrigation, limited investment and slow technological development.

To address these challenges, the government has allocated EUR 1.28 billion (7.2% of the national budget) to agriculture in 2026. The new 2026–2034 Agriculture and Rural Development Strategy aims to tackle the sector’s structural weaknesses, with land consolidation among the ministry’s key priorities. Serbia is currently preparing a new Law on Land Consolidation to improve land management, reduce land fragmentation and support rural development. Public consultation on the draft law was completed on 30 July 2026.

In 2024, Serbia exported EUR 5.1 billion worth of agricultural and food products, while imports reached EUR 3.9 billion, resulting in a EUR 1.2 billion trade surplus. Gulan noted that further growth could be achieved through stronger investment in livestock, fruit and vegetable production, as well as by making better use of Serbia’s 5,000 agricultural cooperatives, 10,000 local markets, and thousands of food and beverage events that promote domestic products.

Beeld: Unsplash

Serbia ranks fifth globally in sour cherry exports

Serbia ranks fifth globally in sour cherry exports, generating nearly EUR 59 million in annual export revenue. The EU is the main destination for Serbian cherries and remains Serbia’s largest trading partner overall, accounting for around 59% of the country’s total foreign trade. Other important markets include Russia and Bosnia and Herzegovina.

Germany, Italy, Russia and Austria are among the leading destinations by export value. Although Canada and the United States export smaller quantities, they achieve significantly higher prices, reflecting the added value of their products.

Serbia has recorded strong progress in export performance. The average export price of Serbian sour cherries increased from USD 0.60 per kilogram in 2014 to a record USD 2.57 per kilogram in 2025, highlighting improved market value while also pointing to further opportunities to increase exports of processed products and other higher value-added products.

Beeld: Takovo Berry

Serbia joins European network on regenerative agriculture

The Alliance for Regenerative Agriculture of Serbia has become a partner organisation of the European Alliance for Regenerative Agriculture (EARA), strengthening links between Serbian farmers and a wider European network focused on soil health, farm resilience and sustainable food production.

Founded in 2023 and farmer-led, EARA brings together regenerative farmers, researchers and organisations across Europe to exchange knowledge, develop practical solutions and contribute to agricultural policy discussions.

For Serbian farmers, the partnership provides access to European experience, research and tested regenerative practices, while allowing local producers to share their own experiences and challenges with the wider European community.

EARA research indicates that regenerative farms can achieve comparable yields with significantly lower input use, including around 61% less mineral nitrogen and 75% fewer pesticides, while achieving approximately 20% higher gross margins per hectare.

The cooperation comes at a time when farmers across Europe face common challenges, including soil degradation, water stress, climate pressures and rising production costs. Through field demonstrations, education and knowledge exchange, the Serbian alliance aims to support farmers in transitioning towards more resilient production systems.

The partnership with EARA strengthens Serbia’s connection to European innovation networks and creates new opportunities for cooperation on sustainable agriculture.

Historic low Danube water levels raise concerns for agriculture and energy

The Danube has reached historic low water levels for the second time in just four years, with inflows into the Iron Gate 1 and Iron Gate 2 hydropower plants dropping to a record 1,450 m³/s on 3 August. The prolonged drought is affecting Serbia, Romania, Bulgaria and Hungary, disrupting river transport, reducing hydropower generation and putting increasing pressure on regional water resources.

For agriculture, the consequences are equally significant. Low river flows and declining groundwater reserves are limiting irrigation, increasing production costs and adding further stress to crops during an already challenging growing season. The recurring drought also raises concerns about the long-term reliability of water resources for food production across the region.

The latest record low reinforces a growing trend of more frequent and severe droughts linked to climate change, highlighting the need for more efficient water management, climate-resilient farming practices and greater investment in measures that strengthen the resilience of agriculture and rural communities.

Beeld: Unsplash

Retail chains become the main shopping channel for Serbian consumers

Retail chains have become the dominant destination for grocery shopping in Serbia, with more than 90% of consumers purchasing food products through supermarkets and large retail stores at least occasionally, according to the Konzumera survey, conducted with the support of Demostat.

The survey found that 71.5% of respondents shop at retail chains daily or at least once a week, while the share rises to 87% when consumers who visit large supermarkets several times a month are included.

Only 4.5% of respondents said they visit hypermarkets once every six months or less, while 2.2% never shop at large retail chains, mainly relying on smaller local stores.

Shopping habits vary by age and region. Younger consumers are more frequent visitors to large retail chains, with around one-quarter of respondents aged 18–49 shopping there daily, while the share falls to 12.9% among consumers older than 65. By region, frequent shopping at large retail stores was most common in Vojvodina (43.9%), followed by Belgrade (37.5%), western Serbia and Šumadija (36.6%), and southern and eastern Serbia (32.3%).

The findings highlight the growing importance of modern retail channels in Serbia’s food market, creating new opportunities and challenges for producers seeking access to consumers, including the need to meet retailer requirements related to quality, consistency, volumes and supply chain organisation.

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