Comparative analysis of agricultural farms property structure in the Republic of Serbia and EU

Abstract

The aim of this paper is to show the ownership structure of agricultural farms in Serbia, compared with house farms in the European Union and point out the basic differences that affect the organization and production efficiency. Proposal of measures that could improve the ownership structure of agricultural farms in the Republic of Serbia could be viewed as a secondary objective of this paper. Historical and descriptive methods were utilized to provide us with an overview in terms of the impact of the implemented agricultural policy measures on the ownership structure of the Republic of Serbia and the European Union. Comparative analysis of statistical data led us to the conclusion regarding the structure and size of farms. Graphical methods, indicators and logical methods were also used in the course of this research. A favorable ownership structure is one of the prerequisites for the development of the agricultural sector, observed, inter alia, through the prism of its competitiveness. Having been under the influence of various factors, the ownership structure of agriculture in Serbia is extremely unfavorable, which is particularly evident in comparison with the Member States of the European Union. Agricultural land in Serbia has been irrationally used for decades, the proof of which is the high prevalence of small and fragmented land holdings (47% of farms in the Republic of Serbia till land up to 2 hectares only). The average holding of 4.5 ha is far below the average level in the EU-27, which amounts to 17.7 ha, and therefore it is impossible to achieve high efficiency and raise competitiveness. Without adequate measures of agricultural policy, which will affect the enlarging of land holdings and a cut in the number of land parcels, there can be no development of our agrarian sector.

Keywords

• agricultural land
• ownership structure
• agricultural policy
• competitiveness