Kosovo - Agricultural SectorKosovo - Agricultural Sector
Overview
2015 | 2016 | 2017 (Estimated) | 2018 (Estimated) | |
Total Local Production | 715.0 | 743.6 | 773.3 | 804.2 |
Total Exports | 47.4 | 49.3 | 54.8 | 61.6 |
Total Imports | 720.6 | 718.6 | 731.5 | 749.4 |
Imports from the US | N/A | 12.7 | N/A | N/A |
Total Market Size | 1,388.2 | 1,412.9 | 1,450.0 | 1,492.0 |
Exchange Rates | 0.9 | 0.9 | 0.9 |
Total market size = (total local production + imports) – exports
Data source:
- Total Local Production: 2015-2018 Ministry of Agriculture, Forestry, and Rural Development
- Total Exports: 2015-2018, Ministry of Agriculture, Forestry, and Rural Development
- Total Imports: 2015-2018 Ministry of Agriculture, Forestry, and Rural Development
- Imports from the US: 2016 Kosovo Statistical Agency
- Exchange Rates: IMF
Kosovo has a rich agricultural history, but currently imports agricultural goods to support most of its domestic consumption. The country has abundant, productive land that is not optimally used, with economies of scale hampered by small parcels and poor, inconsistently-applied property rights regimes. Given the relative absence of valued-added food processing in Kosovo, largely due to a lack of investment over the past two decades, great potential exists for increased domestic agricultural production and expanded food processing.
Domestic demand has been growing in recent years as consumer purchasing power increases, particularly in urban areas. Over the past decade, demand for fruits and vegetables surged more than for any other food category, and is expected to continue growing. The Kosovo Investment and Enterprise Support Agency (KIESA) anticipates regional demand will bring sizeable opportunities for growth and profit in the fruit and vegetables sector. Demand for milk and dairy products in the domestic market is also expected to grow. The livestock and meat processing sector is a potentially lucrative business opportunity as domestic production does not yet meet market demand. Purchasing power relies heavily on remittances, which comprises about 11 percent of GDP. Following the April 2016 implementation of the Stabilization and Association Agreement with the EU, Kosovo benefits from duty-free exports of 2,560 different agricultural products to EU countries. The agricultural sector contributes up to 10 percent of GDP, and 62 percent of Kosovo’s population lives in the rural areas. Kosovo does not offer crop insurance, but some financial help is available farmers impacted by extreme weather events.
Leading Sub-Sectors
- Fruits and vegetables sector
- Livestock and dairy sector
- Value-added food processing
- Greenhouses
- Livestock
- Food processing facilities
- Dairy processing facilities
Web Resources
Ministry of Agriculture, Forestry, and Rural Development
Kosovo Investment and Enterprise Support Agency (KIESA)
Kosovo Ministry of Economic Development