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Small and medium-sized farms – how to remain competitive in 2025

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Small and medium-sized farms account for over 90% of Romania’s agricultural structure, according to the National Institute of Statistics (INS, 2024). Although their economic contribution is modest, they ensure social balance and rural employment. In the context of the new CAP policies, support for these farms has become essential.

Through the 2023–2027 CAP Strategic Plan, Romania is allocating €1.1 billion for redistributive payments and investments tailored to farms under 100 hectares. The Agency for Rural Investment Financing (AFIR) offers grants dedicated to equipment modernization, green energy, and primary processing, while the Agency for Payments and Intervention in Agriculture (APIA) has introduced simplified subsidy procedures.

The main challenge remains market access. Cooperatives and local distribution platforms can reduce logistical costs and increase the visibility of Romanian products. According to Eurostat (2024), member farms within associations record an average profitability 18% higher than that of independent farms.

Small farms cannot compete through volume, but through quality, flexibility, and origin. In a volatile economy, their success will depend not on size, but on adaptability.

(Photo: Freepik)

 

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