Highlights

95

Integrating farms into the processing–retail chain: real challenges

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Only 18% of livestock farms in Romania are directly integrated into a processing and distribution chain, according to a MADR report from 2024. This fragmentation means that most farmers have low bargaining power and depend on intermediaries or fluctuating contracts.

The example of Denmark shows that over 65% of meat and milk production comes from integrated systems, ensuring economic stability and consistent quality. In Romania, this model is rarely seen—only a few cooperatives or producer groups manage to cover the entire chain: farm – slaughterhouse – processing – delivery.

Another obstacle is fiscal: only 12% of farms have tax and legal consultancy to negotiate commercial contracts or access funding. In addition, bureaucracy remains a major impediment—applications for PNS or AFIR support can take up to six months for approval.

For integration to become a reality, the following are needed:

  • functional regional collection centers
  • public–private partnership models in processing
  • entrepreneurial and fiscal education among farmers

Integration remains a strategic goal for the development of modern agriculture, reducing imports, and increasing added value in Romania.

(Photo: Freepik)

 

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