2015年-世界发展银行全球_Rapid_Assessment_of_the_Horticulture_Industry_in_Moldova_72页_2mb

Summary of the Rapid Assessment of the Horticulture Industry in Moldova

Core Content

The report provides a comprehensive overview of the horticulture industry in Moldova, focusing on its current status, challenges, and opportunities for growth. Conducted as part of the Moldova Food Security Technical Assistance (TA) program, the assessment aims to inform the government's food security strategy and policy reforms, particularly in transitioning from a production-oriented to a competitiveness-based framework.

Main Points

1. Overview of Moldova's Horticulture Sector

• Sector Importance: Horticulture is a significant contributor to Moldova's agricultural output and rural employment, accounting for over 20% of the Gross Agricultural Output (GAO) and representing a major source of income for small farmers.
• Production Trends:
  • Horticultural production (fruit and vegetables) has seen a decline of over 60% since 1993, although there are signs of recent recovery.
  • The area planted with horticultural crops has decreased but is now showing a slight upturn since 2006.
• Farm Structure:
  • Small farms dominate the sector, with 44% of farms having fruit trees.
  • Most fruit orchards (74%) are not yet productive, and the majority of orchards are concentrated on larger holdings.
  • Vegetable production is primarily small-scale, with 70% of the area coming from garden plots of less than 0.04ha.
• Yield Levels:
  • Moldova's average yields for fruits and vegetables are lower than those in EU countries and even some of its CIS neighbors.
  • Commercial farms have significantly higher yields (close to 7,000 kg/ha) compared to small peasant farms (around 4,820 kg/ha).
• Trade Dynamics:
  • Moldova is a net exporter of fresh fruits, processed fruits, and processed vegetables, but a net importer of fresh vegetables.
  • Fresh fruit exports account for over 20% of total agri-food exports, with CIS countries (primarily Russia) and EU countries (France, Greece, Germany) being the main destinations.
  • The Russian import ban (2013-2014) significantly disrupted export revenues and highlighted the sector's vulnerability to geopolitical changes.

2. Risks and Vulnerabilities

• Endogenous Factors:
  • Small farm sizes limit investment in technology and infrastructure.
  • Low yields and poor quality make Moldovan horticultural products less competitive, especially in the EU.
  • Limited access to financing and insurance for producers.
• Exogenous Factors:
  • Geopolitical instability, including the Russian import ban, has affected market access.
  • EU's higher agricultural subsidies and stricter quality and phytosanitary standards create a competitive disadvantage.
• Market Vulnerabilities:
  • Market gluts and price fluctuations due to weather and production variability.
  • Heavy reliance on CIS markets, particularly Russia, which is the main export partner for fruits.
  • Limited diversification of export markets and products.

3. Opportunities for Growth

• Fruit and Vegetable Diversification:
  • Cherries and Walnuts: These crops show potential for market diversification. Moldova is already the second-largest walnut supplier to the EU, and cherry exports could be redirected to the EU with minimal investment.
  • Vegetables: Greenhouse and poly tunnel technologies could extend the growing season and improve quality, increasing competitiveness in both domestic and international markets.
• Infrastructure and Technology:
  • Investments in intensive and super-intensive orchards have improved yields and competitiveness.
  • The rehabilitation of 15,000ha of irrigated land by the MCC offers a significant opportunity for increasing vegetable production.
• Policy and Institutional Support:
  • The need for better quality and safety standards, improved access to financing and insurance, and modernization of farm and processing equipment.
  • A coherent risk management strategy is essential, including a mix of tools for risk mitigation and transfer, and targeted support for vulnerable producers.

4. Recommendations

• Risk Assessment and Management:
  • Conduct a comprehensive risk assessment to identify and address vulnerabilities across the horticulture value chain.
  • Develop a mix of risk management instruments tailored to Moldova's agricultural conditions.
• Value Chain Analysis:
  • Deepen understanding of the horticultural value chain, including market opportunities, profitability, and competitive advantages.
  • Benchmark production costs and subsidies with neighboring countries to ensure fair competition and attract foreign investment.
• Education and Training:
  • Revamp agricultural education to align with modern business practices.
  • Introduce accelerated learning programs for university graduates to enhance business and marketing skills.
• Innovation and Investment:
  • Establish an Innovation Fund to support new technologies, products, and market development.
  • Encourage strategic partnerships among value chain actors and promote research and field trials to improve agronomic practices.
• Technology Dissemination:
  • Promote the sharing of technical knowledge through public and private collaboration.
  • Support the creation of a "virtual library" to make agronomic and marketing information accessible to all producers.
• Labor Market Development:
  • Improve understanding of rural labor coping strategies and incentives to enhance workforce availability and productivity.

Key Information

• Horticulture Contribution: Over 20% of GAO, 44% of farmers grow fruit, and nearly all grow vegetables.
• Export Performance: Fresh fruit accounts for 20% of total exports, with a significant portion going to CIS and EU markets.
• Market Challenges: Heavy reliance on CIS markets, particularly Russia, and the need to adapt to EU standards and subsidies.
• Producer Diversity: A wide range of farm sizes, with small farmers often lacking the resources to invest in technology and risk mitigation.
• Government Support: Existing programs focus on improving quality, safety, and access to financing, but more targeted interventions are needed.
• Future Prospects: With proper investment, policy support, and market diversification, Moldova's horticulture sector has the potential to become more competitive and resilient.

Conclusion

The horticulture industry in Moldova is a vital component of the country's agricultural economy, yet it faces significant challenges in terms of productivity, competitiveness, and market access. The report highlights the need for a strategic shift in policy and investment to enhance the sector's resilience and growth potential. By focusing on diversification, innovation, and improved risk management, Moldova can strengthen its position in both domestic and international markets.