GENERAL CHARACTERISTICS OF VERTICAL CHAIN IN THE TRADE OF MEAT AND THE MEAT PRODUCTS IN SERBIA AND ITS IMPACT ON RURAL ECONOMY

Abstract

Republic of Serbia is a country where rural areas make up more than half of the surface. Small private farms dominate in the total number of farms and their development depends largely on rural development of the country. In order to be studied the changes in the vertical chain of the meat and the meat products trade, as well as the effects of these changes on rural development, it has been organized the made the survey. The sample size was 42 companies engaged in slaughtering and meat processing. In addition, the expert assessment has been made of changes in the primary livestock production. The results of researches show that there has been a change in the vertical chain of trade. Processors require from the primary producers a higher quality of products, but the system of payment in most cases is not related to the quality. In the case of payment according to the quality, the primary producers will be further stimulated to breed animals with improved characteristics, which will increase the value-added products and positively influence the development of rural communities. Impact on rural development depends on the type of livestock production and the changes that occur.

Keywords

• trade, vertical chain, livestock production.