The Recent Legislature in the Republic of Serbia in Area of Incentives and Financing of Agriculture and Rural Development

Abstract

The paper analyzes recent legislation in the field of the agriculture and rural development financing support in the Republic of Serbia. Legislative policy in this area is conditioned by the need to be established the market-based instruments and to be improved the segment of agriculture and rural development financing, as well as by the need for harmonization with EU legislation and the rules of the World Trade Organization.In the Republic of Serbia it is in preparation or effective the set of laws aiming at establishment of the financing instruments, as well as the risk management instruments operating in the agricultural sector. In the area of the agriculture and rural development financing it is of a great importance the Law on incentives in agriculture, which defines the conditions for eligibility for subsidies, The Law on financing agricultural production and the Law on public warehouses for agricultural products, as well as The Draft Law on commodity exchanges. In the research and analysis there were used several methodological procedures, such as the desk research method, the methods of analysis and synthesis, deduction method and methods of descriptive statistics. The paper concluded that it is necessary to increase the funds available for financing of these areas. Furthermore, one of the paper conclusions is that the transition to EU models and subsidy programs in the area of the agriculture and rural development financing should be adapted to the local conditions and needs.

Keywords

• agriculture
• risk management
• financing of agriculture
• agricultural subsidies