International Link and Services for

Local Economic Development Agencies

for a fair, human, sustainable and inclusive development \

ART GOLD ALBANIA 2

Map of competitive economic resource of the

Shkodra and Vlora Regions

Value chain analysis and guidelines for strategic actions

Synthesis of the documents:

• Survey of the resources of Shkodra”, • “Proposed strategic guidelines for LED of Shkodra”. • “Survey of the resources of Vlora”, • “Proposed strategic guidelines for LED of Vlora”.

all updated to 30/11/2010.

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1. Background

1.1 The action-research This document has been realized in the framework of support activities of ILS LEDA1 to the UNDP AGA2 Programme and to TEULEDA (Shkodra Region) and AULEDA (Vlora Region), two LEDAs2 belonging to ILS LEDA network. A phase of territorial animation based on action-research methodology has been carried out by ILS LEDA in the regions of Shkodra and Vlora, from June to November 2010. It consisted of a) meetings and focus groups, involving local socio-economic actors, which allowed detecting the main economic resources available in the region; b) local reconnaissance aimed at confirming and complementing the previous results; and c) a desk analysis, aimed at assessing the potentialities of identified resources, and detecting strategic actions for promoting sustainable socio-economic development in the region. The ILS LEDA approach for enhancing territorial sustainable and competitive development was used, where territorial competitiveness is conceived as the “capacity of evolution” of a territory, that is its capacity for durably being visible in global context, through giving adequate answers to frequent and quick changes of the latter, and without compromising its “good” peculiarities, that must be considered its main reasons of strength. This capacity is mainly based on the chances the Shkodra and Vlora goods and services have to be more attractive for consumers and purchaser in comparison with similar goods and services produced elsewhere. The participatory territorial animation identified the current and potential competitiveness factors, and the current and potential detractor elements (obstacles), with the aim of improving competitiveness through and reducing the obstacles. At this aim the action-research carried out a first phase of knowledge building, aimed at critically knowing the territory (the Survey of Resources), and a second phase of strategic elaboration (Guidelines for Strategic Actions), aimed at elaborating strategic solutions. The Survey and the Guidelines are never-ending processes, and they need to be continuously updated. This analysis shall be used as starting point and methodological reference, mainly for TEULEDA and AULEDA that have in charge the support to the regional economy. Updating Surveys and the strategic actions, as they refer to the guidelines, will improve and increase the awareness of local actors about the potentialities of their own resources, and the way for valorising them, the problems to be solved, and how to use the LEDAs’ financial and non-financial tools in a strategic way. This finally will provide Albanian government and international actors with a clear framework of needs and opportunities of Shkodra and Vlora, for implementing the most effective cooperation activities. It was not possible to assess all the current and potential value chains of the regions during the action- research. Lack of time and difficulties of arranging meetings and discussions constrained either the possibility of assessing some value chains. Nevertheless one of the aims of the work was to provide TEULEDA and AULEDA with a useful tool to monitor the state of art of the regional value chains in terms of general characteristics, competitive advantage, and obstacles, and to be able to update the strategic actions.

1.2 The strategic work on the value chains and production systems The value chain approach was used, because it maximises the valorisation of the local resources, makes the smme’s better contributing to it, and facilitates more solid jobs.

1 www.ilsleda.org

2 Local Economic Development Agencies

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The action-research was oriented to provide a strategic assessment of the products’ competitive advantages, in order to steady and expand the market quotas on domestic and international level. At this aim each value chain was assessed through: i) description of the main competitive advantage factors ii) description of the main obstacles to the best sustainable fruition of these competitive advantages, with regard to the relational capital, the production, the market, and finally iii) definition of guidelines for strategic actions, mainly in the fields of the value chain relational capital, the production system, the products, the production processes, and the market opportunities (internal3 and external4), for providing a logical framework related to the above mentioned descriptions and development needs for orientating the elaboration and implementation of strategic action of the local actors, and mainly Teuleda and Auleda.

2. The Shkodra’s context Population Inhabitants Regions Main towns Districts (unofficial) Main towns Area (km2) density (2001) (inh./km2) Malësi and Madhe Koplik 36,770 897 41.00

Shkodra Shkodra Shkodra Shkodra 185,794 1,631 113.91 Puka Puka 34,454 1,034 33.32

AGA2 Area: 257,018 3,562 72.16 Altitude A.S.L. Coordinates 0m from 41°50’01” N from Lat (sea shore of Shkodra, Adriatic Sea) to 42°39’43” N 2,692 m from 19°16’56” E to Long (Mount Jezerca, Albanian Alps, Malësi and Madhe district) to 20°15’15” E Table 2.1.1.1 - General information about AGA2 Area of Shkodra

Local partnership The following entities were involved in joining TEULEDA Local Partnership, that is already involved in the action research activity: Prefecture of Shkodra, Shkodra Regional Council, University "Luigj Gurakuqi, Municipalities of Shkodra, Koplik, Puka, Fushe Arrëz, Regional Office for the Employment, Regional development Agency, Chamber of Commerce and Industry, Business Incubator of Shkodra, Syndicate Confederation, Regional Dir. of Agric., Food and Consumers’ Defence, Albanian Foundation for Training and Development, Women Association of Shkodra, Shkodra Apicultural Association, Alba Montenegro Association, Dukagjini” Patriotic Association, “Jehona E Shkodërs” Artistic and Cultural Association, “Prenkë Jacova” Musical Association, Permakultura Morphology and orography

3 Internal marketing activities are here intended as the activities related to the relations among producers of the same value chain. According to total quality rules, those relations should be considered of the “supplier – customer” kind, knowing that the satisfaction of the final user (the external costumer) depends on the satisfaction of intermediate users (the producers). 4 External marketing activities are here intended as the activities related to the relations to be induced among the subjects belonging to the value chain and the final costumers, considered as an external subject. Those relations identify in the “final product” their main element. 3

The northern side of Shkodra region is predominantly mountainous. Albanian Alps (extensions of Dinaric Alps and, more specifically, of calcareous plateau of Montenegro) take a large share of northeastern side of both Malësi and Madhe (Mount Jezerca, in so called “Cursed” Mountains, is the highest peak, 2,692 m) and Shkodra districts, as good as the whole of Puka district. Layers of limestone and Dolomia stone constitute these mountains, and Karst phenomena can be found. The area corresponding to the south-western side of Malësi and Madhe and the southern side of Shkodra district is characterized by the presence of alluvial plains, extended to the shore of the Lake of Shkodra and to the seashore. State of the soil Alluvial plains are subject to seasonal precipitations, and they are rather bad drained. Therefore, they are alternatively arid or flooded (often with disastrous consequences), and the quality of their agricultural lands is rather scanty. Good agricultural lands can be found in fluvial valleys, on the hills and on the areas of average altitude between seashore and inland mountains. Close to the town of Scutari, clay fields of good quality can be found. The lack of organized and effective systems of waste management is the main cause of the existence of dumping grounds, too often burning, both in urban peripheral and in wild areas. Underground The presence of Karst phenomena is the cause of the existence of grottoes of geological and speleological interest (where stalactites and stalagmites can be seen). They have been identified both in Shkodra and Puka districts. Sea and inland waters The seashore is not so prolonged (about 15 km, in the municipality of Velipojë), and it is prevalently sandy, with beaches of good quality: they are characterized by a fair width (200 m) and good sand. The outfalls of Buna River and Velipojë Lagoon, not so far from the town of Shkodra, constitute significant interruptions of the shore line. In front of the shore, the sea bed is sandy and not deep (0 – 10 m). The quality of sea water is low, because of the pollution mainly caused by the inlet of the water of Buna River. Lagoons The Lagoon of Velipojë is located on the East of the coastal town. It lies on the ground made by fine sand of quaternary origin. Rivers, artificial basins, lakes, and glaciers The rivers flow in deep valleys, whose ground is fertile and faces are steep. Some of them are navigable, at intervals or widely. Large intervals of rivers’ shore are polluted by garbage. They are: Drin River, the longest in Albania, that merges into the Buna River close to the town of Shkodra; Buna River (41 km, widely navigable) Kir River.Shkodra Lake, the largest one in Balkan Peninsula (it has an area of 368 km2,, the 40% of whom lies in carsic terrain of southeast Dinaric Alps in Albania, while remaining 60% is situated in the south-eastern part of the Republic of Montenegro. Total shoreline of Shkodra Lake measures 168 km) Recently a team of geographers of the University of Manchester has discovered a group of perpetual glaciers in Prokletije (Malësi and Madhe district). Climatic areas Shkodra region has several different climatic areas, depending on its particular morphology. The plain, existing just in Shkodra district, and coinciding with lake and sea coastal areas, is characterized by Mediterranean climate. Winter is mild (average temperature is around 7°C) and rainy: 95% of yearly rain (that varies from 1,000 to more than 1,500 mm) falls during winter. During the summer, average temperature is around 24°C, and climate is very humid. Climate in inner lands of the region, that are hill or mountainous, is typically continental, and it strictly depends on the altitude. Here, average temperatures are lower (and also very much lower, depending on the altitude) than plain’s ones, because of the influence of continental air masses becoming from Eastern Europe and

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Balkans. Daily temperature range is high. In inner lands, average precipitations are not so season-depending, and yearly quantity of rain are abundant, since it varies from 1,800 mm to 2,250 mm. Rain is very often stormy, especially on mountain chains. River valleys and inner basins represent another climatic area: during the summer daytime is very hot and night is cool. Air pollution The existence of dumping grounds that burns especially in the night, both in urban peripheral and in wild areas, makes the existence of air pollution by dioxin very probable. Ecosystems The ecosystems have been here considered as biological communities, and consequently classified on the basis of their GPP5 (Gross Primary Productivity).

The ecosystems identified until now can be found in the following table: GPP (x 103) Typology Sites (kcal/m2) Negative GPP Urban areas o Downtown Shkodra (GPP < 0) Low GPP High mountain areas o Albanian Alps (“Cursed Mountains”) (0 < GPP < 0.5) Mountain forests o Albanian Alps (Theth, Vermosh)

Mediterranean maquis o Velipojë coast (bank) Medium GPP o Banks of Shkodra Lake Lake banks (0.5 < GPP < 3.0) o Banks of artificial basins Sea coastal waters o Velipojë coast (sea)

Deep lakes o Shkodra Lake o Malësi and Madhe district (average altitude areas) Forests o Puka district (average altitude areas) Agricultural lands o Fluvial valleys (small production) o Hill areas Marshes o West - South West plains of Shkodra High GPP (3.0 < GPP < 10.0) Not very deep lakes o Artificial basins of Shkodra district (see 2.1.3)

Rivers o Buna – Drin Rivers system

Lagoons o Velipojë Lagoon Agricultural lands o Plain of Shkodra Very high GPP (industrial production) (10.0 < GPP < 25.0) River outfalls o Buna River outfall

Identified ecosystems of AGA2 Area of Shkodra

Potentialities The region of Shkodra - as it resulted by the territorial animation - has significant potentialities such as:

5 GPP (Gross Primary Productivity) of a biological community is the amount of energy produced through photosynthesis, per unit area and time, by the plants, since they are the primary producers. 5

• natural resources (biodiversity) belonging to an interesting variety of ecosystems, and linked both to the potentialities (mainly in terms of quality) of rural resources, and to tourism perspectives; • several agricultural and agro-food value chains, expressing both resources of excellence6, such as: products of the bee value chain, some varieties of fruit and vegetables (Vermosh potatoes, typical plums, onions, tomatoes, garlic), all kinds of herbs, forest products (a complete variety of soft fruits, mushrooms, chestnuts), liquors (rakì of grape, plum, mulberry, cornel) and alcoholic infusions (basil, mint), Vermosh cheese. • other kinds of excellent resources are: cultural resources, the products of the handicraft activities (silver filigree, wooden and wicker furniture, decors and trinkets, wool carpets). • several agricultural and agro-food basic7 resources are: some kinds of freshwater fish (carp, bred rainbow trout), all ordinary kinds of fruit and vegetable products, Feta cheese (or “hard white cheese”), Kaçkavall cheese, yogurt, the wines Kallmet and Shesh. Some other interesting resources, such as industrial plants and meat, need to be further and better assessed. Critical Factors The main critical factors of the Shkodra development are synthetically the following ones: Regional heterogeneous conditions: difference of the quality of life between the urban area of capital and rural areas is evident, and it is the main cause of many social and economic diseases. Lack or scarce quality of the relational capital: just few Associations of local actors exist, and “bottom up” strategies of social and sectorial development are absent, so that there is a low capacity of representation of rural and peripheral, social and productive contexts, that are compelled to be subdued to the interests of the “strong central powers”, too often generating ineffective and economically and socially unsustainable dynamics. Scarce sensitiveness about endogenous heritage: a pernicious form of esterophilia is rampant mainly in the rural sectors, also due to a scarce territorial awareness about regional identity and tangible and intangible heritage. This generates a high risk of the loss of typical and endogenous animal races and vegetable germplasms and species, ancient and traditional knowledge, of biodiversity and cultural diversity and any chances of saving and profiting of the competitive advantage related to the peculiarities of its material and not material resources. Also in consideration of the impossibility of increasing comparative advantage, because of the small productive potentialities in terms of quantity of product, the risk of decline of Shkodra rural world is very high. Lack of basic environmental networks: it regards the absence of an effective management of the energy, water, and waste management, necessary conditions for achieving acceptable levels of territorial competitiveness. Growing tertiarization: the growing tertiarization (mainly on brokerage and import not linked to the existing regional primary and secondary sectors) and financialization risks to overexpose the economy of the region to the dependence from external, not manageable processes, and to serious breakdown, as the international economic crisis is actually demonstrating on world scale.

6 The resources of excellence are endogenous competitive resources that can be considered “rare” (unique, at the limit) or owning primary qualities. Therefore, they are comparable or even preferable to similar resources expressed by other territories. 7 Basic resources are endogenous resources of “ordinary” nature that can used in order to reduce primary needs of the territory. These resources must be considered as competitive because they are necessary for the steadiness of the territory and, consequently, for the competitiveness of this latter. 6

3. The analysis of Shkodra value chains The study finally took into consideration the following value chains: Beekeeping, Fish, Fruit and vegetables, Herbs, Liquors, Olive, Wine, Industrial plants, and the Culture, Forest, and Tourism systems, For each value chain the analysis regards: 1) the general characteristics 2) the competitive advantage for each product of the value chain (when applicable) 3) the obstacles, regarding, in general, the relational capital, the production, and the market

3.1 Bee value chain

3.1.1 General characteristics

The main value chain relationships are illustrated in the following box

Water Management

Mead

Energy Management Bee Wax

Honey - dew

Biodiversity Beekeeping Honey

Pollen

Distribution Waste Management Royal Jelly

Chemical Productions Propolis

Bee Poison Packages Production

Synth. Prod.

Simplified description of the Bee value chain

The main products are honeys: chestnut, clover, heather, mountain savoury, sage, thyme, multi-flower; Honey- dew: Willow; and Other products: Bee poison, Bee wax; Pollen, Propolis, Royal jelly The local raw products, have, in general: • excellent organoleptic characteristics for all the kinds of honeys; • low quantity of medicines (especially antibiotics, whose traces can be found in final products) used by regional beekeepers, if compared to international (mainly Chinese) standards; • no fungus; • good chances of receiving adequate certifications of quality and organicity (actually not achieved yet), due to the good and clean state of the ground and of the environment of the areas

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• propoli is processed in a very simple and traditional way, in order to produce tincture, for this reason it would have good chances of certification of quality and organicity. The following methodologies and services are used: • Bee plunderin: There is bee pollen gathering both from cultivated plants (mainly aromatic and medical ones)and from spontaneous vegetation. • Beehives: In Shkodra, different varieties of mono-flower and multi-flower honeys can be produced by the same beekeeper thanks to the use of mobile beehives, located in different places of the region according to the seasons. Langstroth beehives are used. • Veterinary services: According to the words of local beekeepers, Veterinary services can be considered good. Veterinary medicines are considered too expensive. • Other tools: In order to collect royal jelly and pollen, obsolete instruments are used. Markets On domestic market, all the products of the Bee value chain are recognized and appreciated by national consumers, all the regional production is sold, and there is further space on the market for more regional producers. Honey, honey-dew, royal jelly and propolis are, mostly, directly sold to the store owners and to the consumers. Other value chain products, having a high added value, as pollen, bee poison, bee wax, are mostly not sold on domestic market, because of the lack of local adequate processing laboratories. On foreign markets, the products of the Bee value chain are worldwide very appreciated, and there are relevant international markets’ opportunities. Organoleptic properties of honeys and honey-dew of Shkodra are on an excellent level, and can be appreciated by foreign consumers. A good level of quality, for all chain’s products, can be earned and certified, to increase the market’s points of strength against direct competitors, the Chinese ones, which cannot be faced in terms of quantity of product. Thanks to the participation of Shkodra Associations to the MBF (Mediterranean Beekeeping Forum), Albanian products of the Bee value chain started to be known and appreciated abroad.

3.1.2 Competitive advantage The Skhodra products have advantages because of: • the queen bees of good quality, • the good veterinary services, • the good variety of mono-flower honeys, • the typical mountain savory honey, • the good quality and recognisability of multi-flower honeys, t • the excellent organoleptic characteristics of honeys and honey-dew • the low quantity of medicines (especially antibiotics, whose traces can be found in final products) used, • good environmental conditions, belonging to different ecosystems and, fortunately, not yet degraded by the presence of burning garbage dumps • a sustainable high specific production (kg/m2) of honey and “no-honey” products, • the good state of relational capital related to the value chain, and t • the participation of Shkodra Associations to the MBF (Mediterranean Beekeeping Forum The competitive advantage is higher for those products of Shkodra Bee value chain that are typical of a Mediterranean region (as thyme and sage honeys), and including high levels of biodiversity, as in some north

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Albanian areas (as clover, heather and chestnut honeys, the latter not so spread in the markets in which chestnut honey-dew can be more easily found), or are rare and/or original (as mountain savory honey). For the abovementioned considerations, there is a relevant growth potential on the domestic and international markets, provided the constrains further illustrated in this document are overcome. The products of the Bee value chain, regardless of their provenience are generally very appreciated by all the markets in the world, that are mostly very skilled and exigent, and the Shodra Products have a significant competitive advantage. It is indispensable to maintain or improve the current levels of biodiversity and rural productions (through the pollination), and it will contribute to increase the growth potentialities.

3.1.2 Obstacles The obstacles are mainly related to the relational capital, the production-productivity, and the markets. Relational Capital The obstacles are represented mainly by the lack of internal cohesion and the fragility of the external relationships. Many individual beekeepers of the region are not involved in Associations, and they don’t have solid relationships with the farmers and the herbs producers. Production-Productivity The obstacles refers to the: • too expensive veterinary medicines and the sage bee pasturing endangered by unsustainable activities of the wild herbs gatherers for bee breeding, and the lack of packaging for the honey production; • too expensive production tools and machineries, lack of packaging, scarce knowledge and sensitiveness about processing opportunities; lack of know – how, weak innovation and research, and lack of laboratories to process products are serious obstacles for the no-honey products; • the lack of certification, in terms of lack of quality rules (ISO), lack of quality control (ISO), and lack of food safety rules (HACCP); weakness in the service system, in terms of scarce good practices spreading, weak support to ISO and HACCP rules introduction, lack of targeted finance and credit, and lack of advanced training for bee breeding, “no – honey” products artisanal processing; ISO and HACPP rules management were the other general obstacles to the productivity registered by the research-action. Markets The main obstacles refer to: • The lack of value chain optimization according to total quality rules and principles (mainly for internal marketing) • Branding: all kinds of honey are sold prevalently not branded, except those produced by the members of the existing Associations; branding practice not generally shared; lack of a Value Chain Brand (“Bees of Shkodra”); and lack of a Territorial branding (“Shkodra Products) • Distribution: Very weak distribution; and distribution mainly carried out by a not known chain of brokerage • Prices: retail prices of local products (9 – 12 €/kg for mono-flower honey, 7 – 8 €/kg for multi – flower honey, 4 – 12 €/g for royal jelly) are expensive if compared to the prices of with analogous foreign products, both for domestic and foreign markets. • Promotion: scarce level of promotion and communications on international scale, now mainly due to the participation of “Shkodra Apicultural Association” to the MBF (Mediterranean Beekeeping Forum); lack of promotion on domestic and regional scale; lack of food education for national and regional consumers

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3.2 Culture production system

3.2.1 General Characterstics The culture system related to a territory is generated by the interactions among all those territorial actors whose activities are related to existing heritages and to new productions of scientific, technical, humanistic knowledge, and of material and not material works of human creativity. A culture system exists when there is a significant heritage of tangible and intangible cultural goods, creativities, humanistic, scientific and technological research activities, artistic activities, educational activities, these “objects” significantly interact with each other, and there is a shared awareness owned by local citizens about this heritage and these interactions. It is a very powerful development instruments because: • it induces wealth and job creation (through the activity of several, different Cultural enterprises), • produces innovations in products and production processes, • promotes its territory on global networks, • lends added values to material and not material products expressed by the territory, • is an important tourist attractor. Regional tangible cultural heritage, as it has been identified until now during action-research, is described as follows.

Urban - Architectural heritage

• In the neighbourhood of Shkodra: Castle of Rozafa8, and Mosque of Lead9

• Downtown Shkodra: Mosques of Ebu Bekir10, Tophan, Kiras, Bacallek, Perash, Orthodox Church11, Catholic Cathedral12, Franciscan Church of Our Lady of Rosary, Church of Our Lady of good Counsel13, the Hamam (built in 1739, and well preserved, and nowadays used as a restaurant), Sahati I Inglizit (the English Watch Tower-end of XIX century- is the only Shkodra building that goes back over the style of Middle Age Albanian nobility), Kolë Idromeno Road (pedestrian in the center of Shkodra), the quarter of Gjuhadol (located downtown Shkodra, with Venetian style building’s architecture) the Gjuhadolit Church, in which Gjergj Fishta, one of the most important Albanian writers was buried, Monuments of Isa Boletini, Luigi Guarakuqi, Preke Cali; Traditional houses of Oso Kuka, Pashko Vasa, Roza Suma, Filip Ceka, Ramiz Bekteshi, Guliem Suma, Asllan Juka, Shyqyri Kalaci, Riza Tahiri, Mes Bridge (6 km north of the city of Shkodra, large and well preserved Ottoman bridge built in 1770 by the Bushati family along the ancient trade route from Shkodra to Kosovo); the very beautiful middle age ruins of Sarda (on the island of Shurdhahu in the artificial lake of Vau i Dejës, including the ruins of a Vi-VII century castle and the residence of the Dukagjini family, one of the most important Albanian feudal families); Drisht Castle (a former fortress of the Montenegrin Principality of Zeta, in the IX century, then built as castle the XIII century, during the Byzantine period, including the ruins of 11 houses); the library “Marin Barleti”, the Historical Museum, the Art Gallery, and the Marubi Photographic Archives14.

Figurative art heritage

8 See “Shkodra, the Region of privacy”, edited by R. Novelli, p. 29 9 See “Shkodra, the Region of privacy”, edited by R. Novelli, p. 35 (“Xhamia e plumbit”) 10 See “Shkodra, the Region of privacy”, edited by R. Novelli, p. 35 (“Xhamia Ebu Bekir”) 11 See “Shkodra, the Region of privacy”, edited by R. Novelli, p. 36 (“Kisha Orthodoxe”) 12 See “Shkodra, the Region of privacy”, edited by R. Novelli, p. 36 (“Kisha e madhe”) 13 See “Shkodra, the Region of privacy”, edited by R. Novelli, p. 40 14 See “Shkodra, the Region of privacy”, edited by R. Novelli, p. 42

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• “Shapes insides olive trees”, that is the artistic activity of Muhamet Trepci, who cuts longitudinally olive logs and branches, and puts in evidence “pre-existing” shapes in the texture of the wood, as they were determined by the growth of the tree.

• Wood inlaid and pyrography, that is an old and consolidated tradition in the realization of artistic works made through the techniques of inlaid (pictures, decorated wooden boxes, etc.), and pyrography (pictures).

Other main pillar of the cultural tangible system are the Theatre “Migjeni”, the Radio Shkodra, and the Rozafa TV, the University “Luigi Guarakuqi”, and the DBUMK (Regional Directorate of Agriculture, Food and Consumers’ Defence)

Regional intangible cultural heritage is constituted mainly by music (classic, traditional, and modern)

• Classic music, mainly based on the work of Prenkë Jakova (born in Shkodra and dead in 1969), considered as one of the most important Albanian composers of all the times. • Traditional music: the lahuta (a wooden musical instrument having only one string, belonging to the Mediterranean family of lutes), the cifteli (Albanian wooden string instrument belonging to the Mediterranean family of the lutes), North Albanian traditional and contemporary folk music (epic or lyric songs, orally handed down during centuries by mountain rhapsodists, sang during convivial events of rural communities, by spontaneous choruses and considered as a very relevant heritage of collective memory, for safeguarding Albanian language). • Contemporary northern musical style (a contamination between old traditional objects and contemporary “point of views” as represented by Agim Molla).

The actors involved in the research-action have been DBUMK (Regional Directorate of Agriculture, Food and Consumers’ Defence); “Alba Montenegro” Association, “Dukagjini” Patriotic Association, “Jehona E Shkodërs” Artistic and Cultural Association, and “Prenkë Jacova” Musical Association. Significant and effective Culture dynamics haven’t been found in Shkodra region, mainly because the lack of crossed” interactions (among different fields) and, too often, the lack of primary interactions (in the frame of the same field) characterizing Culture context of Shkodra. Despite to the good state and the efforts of the Cutlural associations, the Shkodra Cultural System is, therefore, jus at the potential state. The most dangerous effects of this situation is the degradation process of territorial competitiveness du to the loss of cultural heritage, the loss of human creativity, and the loss of important added values for any kind of material and not material (especially tourism) production of the region.

3.2.2 Competitive advantage The competitive advantage of cultural context of Shkodra relies to • its particularity and uniqueness of its contamination, as result of a strong interaction among a western (old Venetian and European) and eastern (both Turkish Ottoman and “old regime soviet”), and Christian (Catholic, Orthodox, Protestant) and Muslim heterogeneous cultural elements. • an original and interesting urban-architectural heritage. Many cultural elements, belonging to different historical periods, can be found in Shkodra urban-architectural heritage, both downtown and in the region, such as a “western world”, represented by the catholic churches and some buildings as the English Watch Tower, a “Balkan world”, represented both by the orthodox churches and by “endogenous” sites and buildings, as Rozafa Castle, Mes Bridge, town of Sarda, an “eastern – Muslim world”, represented by the mosques and the hamam, a “Shkodra world”, represented by the many quarters and artistically relevant houses built according to an identifiable “contaminated Shkodra style”. • a good artistic production: wood inlaid, pyrography, “shapes inside olive trees” • good intangible cultural heritage, mainly in the classic music (referred to the contemporary composer Prenkë Jakova) and traditional and contemporary folk music has been identified, also played, in many cases, with philological instruments.

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• a good set of humanistic and technical-scientific subjects and supports, such as represented by an University, a Centre of production and diffusion of rural productive culture (the DBUMK), a library, a museum, an Art gallery, a peculiar archive, as the Marubi Photographic Archives are. • a significant whole of cultural Associations • good supports to information, communication, artistic performances , such the Theatre “Migjeni”, Radio Shkodra, Rozafa TV • good knowledge about historical objects, as the research activities aimed at producing knowledge about historical material and not material heritage have been much more than sufficiently developed until now.

3.2.2 Obstacles The lack, in Shkodra, of a shared awareness about the potentialities of a dynamic and effectively interacting Culture system, represents a serious obstacle to the full fruition of the cultural heritage as a powerful resource for the development. This scarce awareness has been shared, until now, among public and private actors, and the following causes were detected: • cultural heritage, when taken in consideration by public subjects, is considered as a mere accretion to the general potential of tourist attraction, and it is also promoted in a fragmented, approximate, not strategic and consequently not effective way, • cultural goods are scarcely taken in consideration as the main cores of new enterprises by Shkodra entrepreneurs, mainly tertiary – oriented. The specific obstacles relates to the relational capital, the state of heritage, the vitality, and the promotion of the system Relational Capital The obstacles regard the lack of cohesion among cultural actors belonging to different fields of the rich local cultural whole, the Scarce capacity of unitary representativeness of Shkodra cultural world, the scarce co- operation between Shkodra cultural (humanistic and scientific) world and the Shkodra institutional subjects, entrepreneur context, and foreign and international cultural subjects State of heritage The obstacles regard the lack of interaction among cultural actors belonging to different fields of the rich local cultural whole. Visibility of the system The obstacles relies on the lack of strategic management of the system, and the physical degradation of many quarters and artistically relevant houses built according to an identifiable and very valuable “contaminated” Shkodra style, and the small dimension of the cultural business. Promotion The obstacles regard the Knowledge diffusion, due to the scarce and mainly only in Albanian references can be found on the global nets about it, and the lack of a good external marketing, since so far Shkodra cultural heritage is promoted in a fragmented, approximate, not strategic and consequently not effective way

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3.3 Fish value chain 3.3.1 General Characteristics The Fish value chain ideally goes from the biodiversity of different territorial ecosystems (belonging to the sea and to the inland waters) to the final commercialization of fresh, raw and processed products of fishing and fish breeding activities.

Fresh products Refrigerators

Fish breeding Food processing

Frozen products Fishing

Processed products Biodiversity

Vegetable oil production Distribution Packages Production

Chemical Production

Water Management

Energy Management

Waste Management

Fishing activities in Albania are prevalently carried out in the sea (Albania belongs to FAO-GFCM GSA15 18), but also a growing presence of fishing activities in inland waters can be recorded during the last years. According to the last disposable information, in 2002 Albanian sea fishing fleet was formed by 212 vessels, divided in the main ports of Shëngjin, Durres, Vlora and Saranda, and employing around 900 people. Small- medium vessels are used, mainly practicing trawling. Also fish breeding activities had a good development in the last times. Last disposable data count 9 fish breeding plants (both in the sea and in inland waters, the latter for the breeding of the carp), 3 plants for the production of carp fry, and 46 trout breeding plants. The following products were identified by the research-action Sea o cods (hakes -Merluccius merluccius); o mullets (mud mullets -Mullus barbatus, as prevalent mullet species, and rockmullets-Mullus surmuletus, whose a small presence can be found); o blue fish (sardines, anchovies, mackerels); o others species of sea fish (sea breams, Mediterranean sea basses, rays); o cephalopods (cuttlefishes, squids) o shellfishes (grooved carpet shell, “lupino” clams (Dosinia exoleta), tellins (Macoma obliquilineata), cockles (from the family of Cardiidae), murexes (Murex brandaris), No fish breeding activity were identified in the region.

15 FAO-GFCM Geographical Sub Area 13

Freshwater In the Shkodra Lake live 60 fish species, belonging to 17 families. Fishing activities here are prevalently related to carp, grey mullet, eel. In the mountain rivers the very valuable brown trout (Salmo trutta morpha fario) is an important resource for sport fishing activities. Bred fish is mainly the common rainbow trout (Oncorhynchus mykiss). Freshwater fish breeding activities have been identified in the mountains, in plants located next to the streams, in plants located next to artificial basins.. Bred fish is fed with Greek not organic fodder of animal origin (mainly fish flour). In the region, neither sea nor freshwater fish is processed. Regional methodologies and supports In Shkodra region, few people in the coastal town of Velipojë carry out sea fishing activities. These activities are mainly considered as a mere chance of achieving small accretions to incomes of different nature. Small rowboats and drift nets are used. Trawling is not possible with this small and not equipped kind of boat. According to an approximate evaluation, not more than 40 boats are now on duty on Velipojë coast. The lack of a port, due to sandy nature of the shore, is a substantial obstacle for the improvement of the boats and of the methodologies and, consequently, for the development of fishing activities. In sea waters opposite to the area of Buna outfall, thanks to phenomena of coexistence among sea and freshwater life forms, both sea species and some freshwater species of fish can be fished. A critical problem is the presence of criminal activities of poaching, carried out there through devastating use of explosives, in spite of the presence of Forestry Police in charge of protection of the natural reserve of Velipojë. Boats with outboard engines and drift nets are here used for fishing in the lakes. Mountin stream fishing is a sport activities. In the region, neither sea nor freshwater fish is processed. There are not information related to veterinary services, neither for breeding activities nor for controlling fished products. Markets The market of fresh sea fish produced in Velipojë is substantially limited to the consumers and the restaurants and hotel of the town itself. The region is mainly supplied with seafood becoming from the close Shëngjin (district of Lezha) big fishing port. Freshwater fish (mainly carps and eels) and bred rainbow trouts are sold on regional markets, and can be also found in restaurants on the Lake and downtown Shkodra.

3.3.2 Competitive advantage The existence of a fish value chain, related both to the sea and to the freshwater, is a point of strength for a territory, because it easily and cheaply ensures a good and healthy variety of proteins and vitamins in people (especially child) diet, and offers an interesting variety of food for tourist purpose. The sea bream and the Mediterranean sea bass (sardines, the anchovies, and the mackerels), as well as freshwater fish, namely the rainbow trout, can originate valuable frozen products, that can be stored a longer time than the fresh ones, losing just few organoleptic and nutritional characteristics, and transported better toward more profitable markets as the international (European) ones. The can be easily processed, and preserved naturally or in vegetable oil. Through artisanal processes, very valuable food preserves can be obtained.

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The Shkodra fishing value chain has competitive advantages because: • it is a basic food resources for the local population, and the basis of many Shkodra gastronomic specialities • the fish is of good quality, valuable organoleptic characteristics, in particular for the sea fish geographic position (Velipojë) and of the streams of Adriatic sea, • there is a large quantities potential, whereas the freshwater fish production is significantly lower than the optimized level of environmentally sustainable production. • It is a rich ingredient for recipes having a high added tourist value, • It can originate valuable frozen products. • Of the uniqueness of the carp of Shkodra Lake (probably belonging to an endogenous variety) • The brown trout has a high added tourist value, for sport fishing.

3.3 3 Obstacles The general obstacle is the lack, in Shkodra, of effective systems of energy management, water management, and waste management. The Specific obstacles regard relational capital, production and marketing. Relational Capital The main obstacles are represented by the low number of sea and freshwater fishermen involved in Associations, and the relationships between fishermen and customs lying only on commercial individual base Production • For the sea fishing the obstacles relies on the fish population endangered by criminal activity of poaching with explosives (Buna outfall), a very ruddy fishing techniques, the sole utilisation of small rowboats, the ack of a port in Velipojë • For freshwater fish breading, the obstacles regard the Scarce technical assistance, and the utilization of not controlled fodders • For the processing the obstacle regard mainly the fact that no processed (frozen, preserved) products are yet identified. • For the certification the obstacles regard the lack of ISO rules and control the HACCP rule introduction • For the services the obstacles regard the scarce good practices spreading, the weak support to ISO rules introduction. the weak support to HACCP rules introduction, the lack of targeted finance and credit • For the training the obstacles regard the lack of advanced training for fish breeding, the lack of advanced training for artisanal product processing activities, the lack of training for ISO rules management, and the lack of training for HACCP rules management Market • Lack of value chain optimization according to total quality rules and principles (mainly for internal marketing), • the lack of branding: due to the absence of branding practices, the lack of a Value Chain Brand (mainly in relation with freshwater products), and the lack of a Territorial branding (“Shkodra Products”). • The distribution, very weak and carried out by a not known chain of brokerage • The promotion on domestic and regional markets, constrained also for a scarce food education for national and regional consumers

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3.4 Forest production system 3.4.1 General Characteristics

Fresh products Refrigerators

Farming Food processing

Frozen products Gathering

Jam and compotes Biodiversity

Juice Packages Production Distribution Fructose

Chemical Production Distillates

Water Management

Energy Management

Waste Management

The forests of Shkodra can be considered as a good context in order to obtain valuable organic products in an environmentally sustainable way. Many productions can be identified there. The effectiveness of considering them as “components” value chains of “complex dynamics” lies in the chances that a correctly integrated marketing phase (starting from the modality of promotion) can offer in order to show, at the same time, recognisable products and a territorial identity on domestic and international scale. The Forest production system ideally goes from the biodiversity of different ecosystems to the final commercialization of its products (fresh, raw and processed) that, here in Shkodra, are related to the soft fruits, the mushrooms, and the chestnuts. The following kinds of soft fruits (cultivated and/or gathered) have been identified in the region: cultivated strawberry, wild strawberry (Fragaria vesca), blueberry (Vaccinium Myrtillus), blackberry (Rubus frulicosus), mulberries (Morus Nigra and Morus Alba), raspberry (Rubus Idaeus), fruit of strawberry tree (Arbutus unedo), European cornel (Cornus mas). Soft fruits are processed in order to produce jams and compotes, preserves in syrup and alcohol, and juice (in small quantity). They are processed in a good traditional artisanal way; the information about the production of distillates and alcoholic Infusions can be found in “Liquors”. The following kinds of mushrooms have been identified in the region: edible boletus (Boletus edulis), gathered, and ovule (Amanita caesarea), gathered. Only dried products (edible boletus) are processed, through artificial processes (drier machines). The following kinds of chestnuts have been identified in the region: small, medium, large chestnuts. The chestnuts could be processed in order to obtain dried chestnuts, baked chestnuts, candied chestnuts (“marron glaces”), and chestnut flour, utilised in pastry making, but no processing activity exists in Shkodra

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These products are sold mainly on the regional market, but there is a high potential for national and international markets. In fact, the products of the Forest production system, regardless of their provenience, if really natural and unpolluted (and, so, free from additives or dangerous or just adulterating substances), are generally very appreciated by all the markets in the world by demanding consumers. 3.4 2 The competitive advantage In Shodra the forest products have • good nutritional properties • in particular “berry” fruits are rich in vitamins and antioxidants, • all the Forest products are very versatile, and many processed products can be obtained from them such as soft fruits: jams, compotes, juice, frozen soft fruits, distillates and alcoholic infusions, • wild strawberries and ovule mushroom can furthermore be easily farmed without losing their “wild” organoleptic and nutritional properties. • the environmental quality of gathering areas, due to the good and clean state of the ground and of the environment in which they grow. It influences the organoleptic characteristics and the general good quality • gathered fresh fruits, mushrooms and chestnuts can aim at receiving adequate certifications of quality, safety and organicity.

3.4.3 Main Obstacles Relational Capital The main obstacles are is the lack of associations, and of relationship with the wild herbs gatherers, and with the farmers and the herbs producers Production • In farming, the lack of know-how, and the small quantity of the produced goods, if compared to the regional potentialities of sustainable production • In processing the Scarce knowledge and sensitiveness about processing opportunities, the lack of know- how, the weak innovation and research, the expensive production tools and machineries, the lack of laboratories to process products, and the lack of packaging • In certification, the Lack of quality rules and control (ISO), and of food safety rules (HACCP) • In the services, the scarce good practices spreading, the weak support to ISO and HACPP rules introduction, and the lack of credit services • In the training, the lack of advanced training for farming practices, the lack of training for artisanal processing, the lack of training for ISO and HACPP rules management. • Lack of training for HACCP rules management Market As for the other value chains

3.5 Fruit and vegetable value chain 3.5.1 General Characteristics

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The products of Fruits and Vegetables value chain have to be at least considered as basic resources, strongly contributing to the territorial competitiveness, since their existence is an important factor of steadiness.

Fresh products Refrigerators

Farming Food processing

Dried products Gathering

Jam Biodiversity

Juice

Olive Packages Production Distribution Vegetable preserves

Chemical Production Ready dishes

Water Management

Energy Management

Waste Management

The region is not renowned for fruit and vegetable production, mainly constituted by so called “common” varieties. On the other hand many varieties are traditional (and, so, not “global”) and, consequently, their flavours and tastes are typical and recognizable. Endogenous varieties of fruit (figs, pears and cherries) are characterized by good organoleptic properties. The existing typical fresh fruits are quinces of Puka, figs (30 varieties), pears (19 varieties, some endogenous), and local cherries. The exisiting typical vegetables are bamia (Hibiscus esculentus), scallion of Drisht, pepper of Oblik, eggplant of Oblik, potato of Vermosh, bean (local variety), and garlic (local variety). The bamia (or okra, also known as gombo), from the family of the Malvaceae, is an annual herbaceous shrub coming from Africa. It is readily identifiable by its beautiful, pale-yellow flowers. The pods and leaves are edible, and young pods can be used in stir-fry and soups either blanched or pickled. When cooked it resembles asparagus, yet it may be left raw and served in a cold salad. The production of the potato of Vermosh (considered a very appreciable product) is seriously limited and endangered. In fact, since the end of past regime, the plants for saving harvested potatoes from the coldest temperature of Vermosh’s winter are closed, and only small quantities of potatoes can be stored in local houses. The regional processed products are jam, juice and dried common varieties of fruit, quince jam, pickled or in brine preserved Drisht scallion. The organoleptic characteristics of all fruit processed products can be considered good. In particular the jam of the endogenous quince is considered a very valuable product, as well as the pickled scallion of Drisht. Mainly ordinary (not organic) farming techniques and ordinary (not organic) processing techniques have been identified. 18

Markets On domestic market, all the products of the FV value chain are recognized and generally appreciated by national consumers. Because of this reason, all regional production is sold, and there is further space on the market for more regional producers. There are good chances for positioning the Shkodra FV products on international markets, either because this is an expansive market (specially for good products), or because of the competitive qualities of the Shkodra products. A good level of quality, for all chain’s products, can be earned and certified, to increase the market’s points of strength against direct competitors. Until now, during action-research, only small international exporters of processed fruit have been identified, and the distribution strategy shall be reinforced. A significant part of fruit preserves (jam, dried fruit) is sold packaged and branded by the same local processers small enterprises; The most part of the FV value chain products of Shkodra is sold at sustainable prices for local markets.

3.5.2 Competitive advantage In Shkodra Fruit and Vegetables value chain have advantage because of: • Good and healthy variety of proteins and vitamins in people (especially child) diet, and it is a basic resource • Much versatility, and many processed products can be obtained from them. From fruits: dried fruit, jams, compotes, juice, distillates and alcoholic infusions; from vegetables: naturally, in brine, pickled or oil preserved vegetables, ready dishes. • Endogenous characteristics creating good organoleptic properties for several varieties of fruit and vegetables, such as quinces of Puka (necessary ingredient of a very valuable local kind of jam), figs, pears, and cherries, as bamia, scallion of Drisht, pepper of Oblik, eggplant of Oblik, potato of Vermosh, bean, garlic • Not globalised still genuine flavours and tastes, in some way recalling the “good” products once present Europe wide, and now disappeared

3.5.3 Obstacles Relational capital The main obstacles consist of the scarce involvement in associations, and the difficult external relationships (mainly commercial) Production • in farming: the lack of know-how, the small quantity of the production, if compared to the regional potentialities of sustainable production, the endangered germplasms (Vermosh potato) because of progressive loss of production • in processing: as for the other agro value chains • in certification: as for the other agro value chains • in services: as for the other agro value chains • in training: as for the other agro value chains Market

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As for the other agro value chains 3.6 Handicraft production system 3.6.1 General Characteristics Shkodra is considered the richest Albanian region with regard to handicraft activities. Many productions are here carried out at hand-crafted level, and each of them can be considered as a “micro” value chain. The Handicraft production system ideally goes from the raw material utilised for the productions to the final commercialization of its products that, here in Shkodra, are related to the different value chains. The effectiveness of considering different value chains as “components” of one Handicraft production system lies in the chances that a correctly integrated marketing phase (starting from the modality of promotion) can offer in order to show, at the same time, recognisable products and a territorial identity on domestic and international scale. The capability of doing that in such an integrated way is, probably, the main competitive characteristic belonging to a standard Handicraft production system. During the old regime, two artisan enterprises (“State Artisan Enterprises”), now closed, worked on 36 handicraft chains in Shkodra. The most part of the Artisans actually on duty in the region become from those enterprises. Today, the lack of a “technical bureau” is particularly evident, in order to improve and increase the production, protect old design and introduce new design and above all, provide to the training of new artisans. The Shkodra Handicrafts regard mainly jewellery and textile The main products are necklaces, bracelets, earrings; and small objects of figurative art. Artisans buy “old” silver (mainly old jewels) from private citizen, then fuse it in small artisanal coal crucibles and produce semi-finished small blocks which, through the utilisation of a die, become long silver lines. Silver line is finally modelled through the utilisation of tweezers and gas welding torches, in order to obtain the wanted end jewel. The Shkodra filigree jewels are designed taking inspiration from the will of making virtual pattern and pictures “material precious arabesques”. They entirely show the particular and traditional know-how thanks to whom they are produced, and then they have not similar foreign competing products in the field of filigrees, also in consideration of the strongly “contaminated” eastern-western context in which they are designed. Silver filigree jewels are prevalently sold not branded on domestic markets, directly or to the brokers and, in this case, can be found in small shops in Tirana. Jewellery production is small, if compared to local potentialities of production and to its market potential.

3.6.2 The competitive advantage The Shkodra handicraft production has competitive advantage because • Shkodra jewellery products in silver filigree are designed to transform virtual pattern and pictures in actual precious arabesques, and then have not similar foreign competing products in the field of filigrees, also in consideration of the strongly “contaminated” eastern-western context in which they are designed, and the traditional and recognizable know-how of the “artist-workers” of this value chain. • the textile handicraft production is based on old typical and traditional variety, fashions and styles, but also an evolution can be recorded. It has consistent chances of introducing new designs, in order to apply valuable production techniques to new identity and, at the same time, contemporary and original styles.

3.6.3 Obstacles The general obstacles are represented by the scarce awareness about the potentialities of a dynamic and effective Handicraft production system. As matter of fact the handicraft products are considered as a mere accretion to the general potential of tourist attraction in terms of “souvenirs”, and scarcely taken in consideration as the main cores of new enterprises by Shkodra entrepreneurs, mainly tertiary- oriented. The 20

great risk is the loss of the traditional know-how that stop to improve and increase the production, protect old design and introduce new design and, above all, provide training to new artisans. The specific obstacles as related to the relational capital, production and market are the following: Relational Capital The main obstacle is the lack of an association, and the fragmented and unfavourable relationships with trade sector in order both to purchase raw materials and to sell products Production • Lack of raw material, such as silver, cotton and wool, natural paints • In processing: lack of packaging • In the services: lack of targeted finance and credit • In training: Lack of training for artisanal processing Market • Lack of value chain optimization according to total quality rules and principles • Branding: branding practice not generally shared, lack of a specific Brand (“Shkodra Handicraft”), lack of a Territorial branding (“Shkodra Products) • Distribution: very weak, and mainly carried out by a not known chain of brokerage • Promotion: scarce level of promotion and communications on international scale, and lack of promotion on domestic and regional scale

3.7 Herbs value chain 3.7.1 General Characteristics The Herbs value chain ideally goes from the biodiversity of different ecosystems to the final commercialization of its products (fresh, raw and processed). The following varieties of herbs have been identified, until now, in the region: Clover (Trifolium incarnatum), gathered and cultivated, lavender (Lavandula officinalis), gathered and cultivated, mint (Mentha aquatica), gathered and cultivated, mountain savory (Satureja Montana), gathered, “mountain tea” (or “shepherd’s tea”, in Italian “stregonia siciliana”, Syderitis syriaca), gathered oregano (Origanum vulgare), gathered, sage (Salvia Officinalis), gathered and cultivated, thyme (Timus Serpillum), gathered. Identified regional methodologies Clover, lavender, mint, and sage (in high quantities) are cultivated. The herbs are gathered mainly in wild mountain areas. In many cases, regardless of the need of safeguarding natural cycles and chances of reproduction of the wild germplasms, herbs gatherers prefer to uproot all the body of the plants, instead of taking only the leaves, and they do that often before the reproduction of the plants. In this way, the gatherers both save time and obtain more herbs to sell. Law forbids this devastating technique of gathering herbs, but Forestry Police isn’t able to control the highlands as minutely as sufficient. In this way, both wild herbs colonies and the production of some kinds of honey (mainly sage and mountain savory honeys) are seriously endangered.

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Fresh products Refrigerators

Farming Processing

Dried products Gathering

Essences Biodiversity

Natural paint

Olive / Alcohol Packages Production Distribution Food products

Chemical Production Cosmetic products

Water Management Medical products

Energy Management

Waste Management

Simplified description of the Herbs value chain

Markets On domestic market, all the products of the Herbs value chain are recognized and appreciated by national consumers, for basic utilisations (mainly for cooking). Because of this reason, all regional production is sold, and there is further space on the market for more regional producers. Fresh and dried products are, mostly, directly sold to the store owners and to the consumers. The products of the Herbs value chain are worldwide very appreciated, and, therefore, there is relevant international markets’ space. The properties of fresh herbs, dried herbs and essential oils, are on an excellent level, and can be appreciated by foreign consumers. A good level of quality, for all chain’s products, can be earned and certified, to strengthening the market against direct competitors.

3.7.2 Competitive advantage The Shkodra products have advantage because: • they are of good quality, as recognised by foreign brokers and processing factories of Albanian herbs, derived from the characteristics of Shkodra environment and from the possibilities of finding clean and adequate soils (mainly in Malësi and Madhe district), not yet contaminated by the presence of burning garbage dumps. There are many extended areas, belonging to different ecosystems16, in which abundant wild colonies of herbs can be found, and farming herbs is possible. • They are recognizable Mediterranean characteristics, mainly for some products, such as thyme, oregano and sage

16 See “Survey of the resources of Shkodra” updated to 30/11/2010, sec. 3.2. 22

• There are high levels of biodiversity of some north Albanian areas for clover, mint and lavender, • of the uniqueness and/or or typicality as for mountain savory and “mountain tea”.

3.7.3 Obstacles They are the same for the other agrofood value chains

3.8.Liquors value chain 3.8.1 General Characteristics The Liquors value chain ideally goes from the biodiversity of different territorial ecosystems to the final commercialization of produced alcoholic liquors and alcoholic infusions. The products of the Liquors value chain can represent a real expression of the territory. Depending on the raw material characterising the area in which the liquors are produced. The rakì is the traditional Albanian alcoholic product, obtained through the distillation of fermented fruit. Its name becomes from the Turkish “rak”, that means “alcoholic drink”; the root of the word is also commune with the Serbo - Croatian word “rakija”, that indicates the same product having, so, a strong Balkan identity value. Alcoholic infusions are obtained thanks to the possibility of extracting essential oils from vegetal product through its infusion in alcohol. Flavoured alcohol is then added with water and sugar in order to obtain desired alcoholic strength and taste. There is a risk of a high presence of methylic alcohol (methanol) into the final hydro alcoholic solution in percentage that can be very dangerous for human health in artisanal distillation process, if carried out without adequate experience and control. The regional products are distillates, such as rakì of grape, plum, mulberry, cornel, and alcoholic infusions of nut, basil, and mint. The distillation is carried out thanks to the utilisation of copper distillers, and it is generally familiar - artisanal. Both distillates and alcoholic infusions of good quality are mainly homemade products, and their productions is small, if compared to regional potentialities of sustainable production. Markets On domestic market, all the products of the Liquors value chain are recognized and appreciated by national consumers. Because of this reason, all regional production is sold, and there is further space on the market for more regional producers. All Liquors value chain products are sold bottled and mainly not branded. Foreign international markets’ space for those products is very expansive, and it can be used to increase the export of regional products.

3.8.2 Competitive advantage Shkodra products have competitive advantage because of • the geographic position in a South Mediterranean and Balkan area. In fact the rakì of grape and of plum belong to the Balkan heritage of fruit distillates (together with, for example, the more known Serbian, Croatian and Montenegrin losova rakija and slivovica), whether the alcoholic infusions belong to a strong and well known north Mediterranean tradition and here, differently from many European (mainly Italian) industrial productions, they are produced exclusively through extracting aromatic essences in alcohol, without using chemical additives or artificial aromas.

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• the organoleptic properties, peculiar flavour and taste of all kinds of liquors, if produced taking necessary care, can be considered excellent. The organoleptic characteristics of the rakì of mulberry and of cornel, and of all the infusions can here be considered very particular. • a good level of quality, for all chain’s products, can be earned and certified, to increase the market’s points of strength against direct competitors.

3.8.3 Obstacles The same as for the other agro-food value chains

3.9 Milk value chain 3.9.1 General characteristics The Milk value chain ideally goes from the activities of cattle, sheep and goats breeding to the final commercialization of fresh, raw and processed products. Raw fresh milk is produced both by cows and sheep and goats. Bred varieties of dairy cows are the Holstein (main population) and the “Alpine”. Local actors taking part to the action-research have pointed out the existence of an endogenous breed of dairy cow, the “Valbona”, but it seems to be bred, today, only in Kukes region. The regional products are milk, cheese and yogurts (from cow milk). The milks are pasteurized fresh milk, and UHT processed milk. The cheeses are: Albanian feta cheese(Albanian variety of the more famous Greek feta cheese, but here having its own peculiarities, made from sheep’s milk -sometimes added with goat’s milk till to an amount of 20%-, and then put in brine in maturation, for 1 – 2 months); Albanian kaçkavall cheese (Albanian variety of the Balkan kaçkavall, here having its own peculiarities, made from cow’s and sheep’s milk in variable percentages); Vermosh cheese homemade from cow’s milk added with a small percentage of sheep’s milk, in the area of Vermosh); mozzarella cheese (spun dough fresh cheese, produced according to the Italian recipe of cow’s milk mozzarella); other kinds of “foreign-like” cheese, as ricotta cheese, gouda cheese, etc. Methodologies Bred cows are fed with not organic forages and processed (“concentrate”) fodders. Breeding activities are very fragmented. Dairy factories daily carry out the collection of milk from many small breeders (in some cases, till 320 breeders, each of them having not more than 20 cows, are needed to supply one big factory). The quality of the milk can’t be controlled. Often it happens that the breeders add water and “amidon” (maize amid, to sustain protein level) to the milk, in order to fraudulently increase milk productions and gains. Milk production is not ensured regularly. It also can happen that a dairy factory has to stand by for one or more days because milk suppliers have sold their milk to other factories. The utilization of natural rennet hasn’t been identified. The identified rennet are the common “Fromase”, a cheap, low quality, industrial micro – biological rennet extracted from Muchor miehei mould; and the “Sirka”, an acid product (industrially produced, probably from the vinegar) of Montenegrin origin, whose exact composition is unknown (mainly used in the production of the “homemade” Vermosh cheese). Markets On domestic market, all regional production is daily sold, packaged and branded; the Vermosh cheese is sold unbranded and unpackaged. The scarce local production of fodders and forages (mainly due to the frequent floods of Buna-Drin river system) makes production costs high. High prices of raw milk, together with high costs of energy, reflect themselves in dairy production costs. 24

The need of keeping relatively low and sustainable prices for the consumers, if put in relation with high production costs, explains the many failures of small dairy factories. The realistic risk is the future “invasion” of imported better and cheaper milk products and the failure of the local value chain. 3.9.2 Competitive advantage The Shkodra products have competitive advantage because: • Milk is a basic resource for the region • the cheeses obtained according to traditional recipes and through the utilisation of natural rennet have typical peculiarities • Uniqueness of the Albanian feta and kaçkavall and Vermosh cheeses,

3.9.3 Obstacles They are the same as for the other agro-food value chains

3.10 Olive value chain 3.10.1 General characteristics The Olive value chain ideally goes from the activities of olive farming to the final commercialization of the products (table olives and olive oil). During action research activity, until now, the following cultivars of olive have been identified: • a not better identified “common” variety, producing table olives, • kalinjot variety (Albanian endogenous), • frantoio variety (imported from Italy), • leccino variety (imported from Italy). The regional processed products are Table olives (produced in artisanal way), and Olive oil. Only one, very obsolete and untreated oil mill is on duty in the region, and the oil isn’t bottled. Neither mono- cultivar nor extra virgin olive oil is produced in the region. The very valuable of olive oil variety of kalinjot olive has been identified, whose oil, when extra virgin (here not produced) is intrinsically excellent. A massive presence of common Italian frantoio and leccino varieties, due to a very dangerous rural policy endangering the real competitive endogenous resources of the value chain, has been identified. Produced oil, as a milled mixture of different olive varieties, processed in bad ways and badly preserved, must be considered as a low quality product. Regarding market dynamics, it must be highlighted that productions of olive oil is mainly carried out for family use. There are good market opportunities, because the products of the olive value chain, regardless of their provenience, if really natural and unpolluted (and, so, free from additives or dangerous or just adulterating substances), are generally very appreciated by all the markets in the world.

3.10.2 Competitive advantage The Shkodra products take advantage from 25

• the existence of a massive number of olive plants has to be considered intrinsically competitive, since it is a prerequisite for the production of basic food resources (olive oil). Olive oil is the main ingredient in order to produce many kinds of food preserves and ready dishes. • a good germplasms, • the presence of the kalinjot, endogenous variety of olive plants, that could originate the production of a highly competitive mono-variety kalinjot extra virgin oil. • the presence of frantoio and leccino, Italian varieties of olive plants, could originate the production of good mono- variety kinds of extra virgin oil.

3.10. Obstacles They are similar to the other agro-food value chains

3.11 Tourism production system 3.11.1 General characteristics From the point of view of LED, the organization of a Tourism production system is based on the model of the Local Tourist System, composed by the following subsystems: attractors, hospitality, productions, and services. The attractors are many in the Shkodra region, from high mountain to the sea, from cultural resources to sport activities. Sustainable artificial attractors can be also established as, for instance, a well regulated activity of sport fishing in mountain streams, horse tourism, trekking, “en plein air”, etc. Sport hunting activities, here existing, cannot be considered sustainable, in consideration of the delicate biological equilibrium of the ecosystems. The environmental quality of anthropized areas is very low, but the presence of garbage also in medium urban centres (for example, in Velipojë) is a detractor for tourism. Hotels and restaurants constitute the hospitality subsystem. Hotels and restaurants downtown Shkodra can be considered existing in sufficient quantity, whereas the massive presence of hotels and restaurants in Velipojë is probably excessive, if compared with the real use of the attractiveness of the place, actually related only to the sea and not to existing environmental resources of the area. Rural areas of the region are characterised by a scarce presence of agro-tourism activities, bed & breakfast and organized camping areas. The quality of the hospitality subsystem is generally low. The scarce valorisation of local gastronomic heritage (too often in favour of a mediocre Italian cooking) has to be pointed out. Albania is listed as the first attractive country in the world by the Guide “Best in Travel” 2011 of Lonely Planet. Consequently, considering tourism as an effective Albanian socio-economic development dynamic is reasonable. At the same time, the scarce quantity and quality of the services for the tourism in Shkodra region are evident. The following factors must be considered serious constrains: • the lack of an effective and integrated activity of tourist promotion, • the lack of an effective and efficient public system of transportation, • the lack of a guide service.

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3.11.2 Competitive advantage The Shkodra system has an advantage because: • The Guide “Best in Travel” in general lists Albania as the first attractive Country in the world 2011 of Lonely Planet. • Many different kinds of attractors exist (from high mountain to the sea, from cultural resources to sport activities) in a relatively small space. • the existing hotels and restaurants in urban areas that can be considered in sufficient quantity. • sustainable artificial attractors can be established as, for instance, a well regulated activity of sport fishing in mountain streams, horse tourism, trekking, “en plein air”, etc. • It can potentially achieve adequate tourist quality certifications.

3.11.3 Specific obstacles The obstacles regard: • Coordination for addressing the tourism as an integrated production system, for facing the “mono-sectorial” approach to the tourism (mainly limited to the Hospitality systems), and the lack of effective promotion and communication activities. • Scarce awareness and valorisation of the attractors, and their real potentialities (for instance gastronomic heritage) • Scarce sustainability of several sport activities, such as the hunting, in consideration of the delicate biological equilibrium of the ecosystems. • Scarce presence of agro-tourism activities and bed & breakfast in the rural areas, and in general the low quality of the hospitality subsystem. • Scarce quantity and quality of the services for tourism (information, guides, etc.) • Lack of an effective and integrated activity of tourist promotion, and of a guide service. • Lack of organized systems of waste and water management. • Lack of public transportation.

3.12 Wine value chain 3.12.1 General characteristics The Wine value chain ideally goes from the biodiversity of different ecosystems to the final commercialization of the wines. In Shkodra the Kallmet (red and white wine), and the Shesh (Shesh i bardhë, white wine, Shesh i zi, red wine) are produced . Kallmet and Shesh can be considered good Albanian endogenous grape varieties, also having significant recognisability. In many cases (not always) a good wine is produced from them. Exogenous grape varieties produced in the region (mainly Cabernet, Merlot, Sangiovese, etc.) have not here taken in consideration, because of their common characteristics and low competitiveness. The most part of produced wine is sold bottled and branded on domestic markets

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3.12.2 Competitive advantage The Shkodra wines take advantage from • being endogenous products, with originality and typicality, made from good Albanian endogenous grape varieties, also having significant properties of recognisability so for the Kallmet and Shesh ones • the good environmental conditions (climate and soil)

3.12.3 Obstacles They are the same as for the other agro-food value chains

3.13 Industrial plants production system

The Industrial Plants production system hasn’t been sufficiently assessed, until now, during action-research activity. The information collected during action-research activity let suppose the existence, in the region, of the production of cotton, forages (maize, alfalfa), produced to be commercialized (and so not by breeders, for their own use), and soy. Therefore, an action aimed at increasing and improving the knowledge of the value chain, shall be carried out through: a) identifying regional producers belonging to the Industrial Plants production systems. b) evaluating quantitative and qualitative aspects of the productions of cotton, maize and soy. identifying the existence and quantitative and qualitative aspects of other productions (other oil plants, hemp, etc.) in the field of Industrial Plants

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4. Vlora’s context

Population Main Inhabitants Regions Districts (unofficial) Main towns Area (km2) density towns (2001) (inh./km2) Vlora Vlora 147,267 1,609 91.53 Vlora Vlora Delvina Delvina 10,859 367 29.59 Saranda Saranda 35,235 730 48.27

AGA2 Area: 193,361 2,706 71.46 Altitude A.S.L. Coordinates 0m from 39°38’40” N from Lat (sea shore of Vlora and Saranda, Adriatic / Ionian Sea) to 40°39’52” N 2,045 m from 19°19’08” E To Long (Çika Mountain, in Llogarà National Park, Vlora district) to 20°19’23” E Table 2.1.1.1 - General information about AGA2 Area of Vlora

Morphology and orography The extreme north-western side of Vlora district (Commune of Novoselë, Narta Lagoon and Vlora downtown) is predominantly flat. In the eastern side of the northern basin of Shushice River (Commune of Armen and Municipality of Selenice) a low-medium hill area extending into Mallakaster border can be found. From the south of Vlora (starting from Kanina and Drashovice) still to Qeparo latitude, a wide mountain area - containing also the northern side of Delvina district- can be found. The highest peak of the region (Çika mountain, 2,045 m) is located in the western side of this area, approximately on the same latitude of the Commune of Vranisht. Delvina district is prevalently characterized by hills. The only mountain area of the district can be found on east, close to Gjirokaster border. Also flat and hill areas characterize the big part of Saranda district. Mountain areas surround the borders with Gjirokaster district and, on the south, with Greece. State of the soil Good agricultural lands can be found in Novoselë plain and in Delvina district. Furthermore, all hill areas and river valleys are generally characterized by fertile soils. The lack of organized and effective systems of waste management is the main cause of the existence of dumping grounds, too often burning, both in urban peripheral and in wild areas. Underground The region is very rich in underground water reserves. Freshwater springs can be found in all regional area. One of the most famous spring of the region is Blue Eye Spring, located in the northern side of Saranda district (Muzina pass), close to the border with Gijrokaster district. This spring is the source of Bistrica River. Regional underground is also rich in oil and natural gas. In the area of Drashovice (Vlora district), the first identification of oilfields in Albania happened at the dawn of XX century. Albanian well drilling activities started there in 1918, to a depth of about 200 m. Actually, in Vlora district oil production is carried out in the area of the village of Amonice. Also in Delvina oil can be found, close to the villages of Gorisht and Kocul. The concession over the oil field belongs to the Canadian “Stream Oil & Gas Ltd.”. Produced oil is considered of low – medium quality, since it is very rich in sulphur and it has a high tar level. A preliminary process of hydrogenation is necessary in order to favour its refining. Sea and inland waters The seashore of the region belongs to the districts of Vlora and Saranda. Delvina doesn’t access the sea.

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From the northern border of the region (outfall of Vjosa River) to Vlora downtown, the shore is constituted by a sedimentation area, in which very interesting environments can be identified, such as the dunes around the outfall of Vjosa and the wetlands of Narta Lagoon. From the south of Vlora downtown to the southern border with Greece, the shore is constituted by a rugged erosion line on the whole, with gulfs and bays (the gulf of Vlora, the small bay of Porto Palermo, Qeparo, the bay of Kakome, the bay of Saranda, Ksamil, Butrint) and many beaches: Palasa, Dhermi, Gjipe and Jal, beaches of Saranda (Lukove and Ksamili). In the north of the region, in front of the sedimentation shore, the sea bed is sandy. From the south of Vlora to the Greece border, underwater landscape is rocky. The sea water generally appears blue and very clear, but close to big and small built-up areas, its quality is low, because of the pollution mainly due to the lack of urban water purifiers. Lagoons There are the Narta Lagoon, the Orikum Lagoon, the Butrint Lagoon.

Rivers and artificial basins Many rivers of the region have a seasonal regime and, in the past, in their flood time, they inundated the areas standing around their beds. Nowadays, through the building of adequate dams, their flows are more regimented. Large intervals of rivers’ shore are polluted by garbage.The most important rivers are the Vjosa River, that flows in Greece for a length of 80 km through the Vikos–Aoos National Park, where it forms impressive canyons, through Konitsa, and enters Albania near Carshove for its remaining 192 km length, the Shushice River, tributary of Vjosa River, the Bistrica River between Saranda and Delvina.

Climatic areas Vlora region is characterized by a typical mild Mediterranean climate. The climate of the region is suitable. Yearly solar radiation is around 1,700 kWh/m2, with around 170 sun days/year. Maximum wind speed rarely reaches 3.2 -3.3 m/s in winter, and 2.2 – 2.3 m/s in summer. Yearly average air temperature is around 17°C, in a range from around 10°C (January) to around 25°C (August). Yearly rain quantity is not so scarce (averagely, more than 1,200 mm/year).

Air pollution The existence of dumping grounds that burns especially in the night, both in urban peripheral and in wild areas, makes the existence of air pollution by dioxin very probable.

Ecosystems The ecosystems identified until now can be found in the following table

GPP (x 103) Typology Sites (kcal/m2)

Negative GPP o Downtown Vlora Urban areas (GPP < 0) o Downtown Saranda Low GPP o Çika Mountain (Llogarà National Park, higher than High mountain areas (0 < GPP < 0.5) 1,500 m a.s.l.) o Llogarà National Park, (from 500 m to 1,500 m a.s.l.) o Cape Karaburun (more than 500 m a.s.l.) Medium GPP Mountain forests o Southern Shushice Valley (more than 500 m a.s.l.) (0.5 < GPP < 3.0) o Northern Delvina district (more than 500 m a.s.l.) o Northern Saranda district (more than 500 m a.s.l.) Mediterranean maquis o Generally spread

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Dunes o Area of Vjosa River outfall o Vlora coast Sea coastal waters o Saranda coast o Generally spread in eastern side of Vlora district (up to 500 m a.s.l.) o Cape Karaburun (up to 500 m a.s.l.) Forests o Southern Shushice Valley (up to 500 m a.s.l.) o Northern Delvina district (up to 500 m a.s.l.) o Northern Saranda district (up to 500 m a.s.l.) o Plain of Novoselë Agricultural lands o Southern Delvina district High GPP (small production) o Other hill areas (3.0 < GPP < 10.0) o Other fluvial plans and valleys o Bistrica artificial basin Not very deep lakes o Other artificial lakes o Vjosa River Rivers o Shushice River o Bistrica River o Narta Lagoon Lagoons o Orikum Lagoon o Butrint Lagoon Agricultural lands o South Delvina Very high GPP (industrial production) (10.0 < GPP < 25.0) o Vjosa River outfall River outfalls o Bistrica River outfall

Identified ecosystems of AGA2 Area of Vlora

Potentialities Good potentialities have been confirmed for economic system of Vlora, constituted by: • natural resources (biodiversity) belonging to an interesting variety of ecosystems, and linked both to the potentialities of rural resources and to tourism prospects;

• several agricultural and agro-food value chains, expressing both resources of excellence17 , such as Kalinjot olive variety and extra virgin oil, all kinds of herbs, many species of sea fish, products of the bee value chain (mono-flowers honeys, royal jelly and propolis), and basic resources, such as meat, some liquors (rakì of grape and cornel), Feta cheese (or “hard white cheese”), Kaçkavall cheese, yogurt, the wines Kallmet, Shesh and Vlosh; • other kinds of resources of excellence as cultural resources (for instance, the musical heritage, based both on the traditional iso-polyphonic music and to new tendencies, or an artistic vitality that can be nowadays identified), the products of the handicraft activities (silver filigree, wooden and wicker furniture, decors and trinkets, wool carpets). The value chains related to the industrial plants, forest, fruit and vegetables have to be further and better assessed.

Critical Factors

17 The resources of excellence are endogenous competitive resources that can be considered “rare” (unique, at the limit) or owning primary qualities. Therefore, they are comparable or even preferable to similar resources expressed by other territories. 31

• Regional heterogeneous conditions: difference of the quality of life between the urban area of capital and rural areas is evident, and it is the main cause of many social and economic diseases. • Lack or scarce quality of the relational capital: just few Associations of local actors exist, and “bottom up” strategies of social and sectorial development are absent, so that there is a low capacity of representation of rural and peripheral social and productive contexts, that are compelled to be subdued to the interests of the “strong central powers”, too often generating ineffective and economically and socially unsustainable dynamics. • Scarce sensitiveness about endogenous heritage: a pernicious form of esterophilia is rampant mainly in the rural sectors, also due to a scarce territorial awareness about regional identity and tangible and intangible heritage. This generates a high risk of the loss of typical and endogenous animal races and vegetable germplasms and species, ancient and traditional knowledge, of biodiversity and cultural diversity and any chances of saving and profiting of the competitive advantage related to the peculiarities of its material and not material resources. Also in consideration of the impossibility of increasing comparative advantage, because of the small productive potentialities in terms of quantity of product, the risk of decline of Shkodra rural world is very high. • Lack of basic environmental networks: it regards the absence of an effective management of the energy, water, and waste management, necessary conditions for achieving acceptable levels of territorial competitiveness. • Growing tertiarization: the growing tertiarization (mainly on brokerage and import not linked to the existing regional primary and secondary sectors) and financialization risks to overexpose the economy of the region to the dependence from external, not manageable processes, and to serious breakdown, as the international economic crisis is actually demonstrating on world scale. • Drawbacks risking tourism: At least three phenomena, seriously risking the achievement of sustainable development can be observed in the region, mainly in Saranda district, which are a strong decay of urban quality (mainly in the Town of Saranda and in its suburbs), evident lack and scarce quality of tourist services, and a serious lack of know-how and a disproportionate ratio quality/price affecting the management of the tourist subsystem of the hospitality. In consideration of the high level of expectations and requirements nowadays characterizing the international tourist market, Vlora is risking to stay out of it, because it is too expensive for a mass target, and it offers a very low general quality, if compared to the standard quality levels of upper market sectors.

5. Analysis of Vlora’s value chains The study finally took into consideration the following value chains: Beekeeping, Fish, Herbs, Meat, Milk Liquors, Olive, Wine, and the Culture and Tourism systems. For each value chain the analysis regards: 1) the general characteristics, including assessment of products and their quality, the process methodology, the presence of services and their quality, the markets, and the main constrains; 2) the competitive advantage for each product of the value chain (when applicable) 3) the obstacles, regarding, in general, the relational capital, the production, and the market

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5.1 Bee value chain

5.1.1 General characteristics

The main regional bee value chain products The main bee value chain products are: multi-flower honey (citrus, sage, oregano, mountain savory, thyme, mint, “mountain tea”); propolis and propolis tincture; royal jelly (small quantities); pollen (small quantities); bee wax (small quantities).

Water Management

Mead

Energy Management Bee Wax

Honey - dew

Biodiversity Beekeeping Honey

Pollen

Distribution Waste Management Royal Jelly

Chemical Productions Propolis

Bee Poison Packages Production

Synth. Prod.

Simplified description of the Bee value chain

General characteristics: • good organoleptic characteristics for all the kinds of honeys; • low quantity of medicines (especially antibiotics, whose traces can be found in final products) used by regional beekeepers, if compared to international standards; • products are fungicide-free; • good chances of receiving adequate certifications of quality and organicity (actually not achieved yet), due to the good and clean state of the ground and of the environment of the areas; • propoli is processed in a very simple and traditional way, in order to produce tincture, for this reason it would have good chances of certification of quality and organicity. The following methodologies and services are used: • Bee plundering: bee pollen gathering from spontaneous vegetation. • Beehives: In Vlora, different varieties of multi-flower honeys can be produced by the same beekeeper thanks to the use of mobile beehives, located in different places of the region according to the seasons. Langstroth beehives are used. 33

• Other tools: in order to collect royal jelly and pollen, obsolete instruments are used. This is mainly the cause for a low production of those bee products. Markets On domestic market, all the products of the Bee value chain are recognized and appreciated by national consumers. Because of this reason, all regional production is sold, and there is further space on the market for more regional producers. Honey, royal jelly and propolis are, mostly, directly sold to the people, often not by the producer, in makeshift stands on the road. On foreign markets, the products of the Bee value chain are worldwide very appreciated; there are relevant international markets’ opportunities. Vlore honeys and honeydew have good quality and can be appreciated by foreign consumers. Organoleptic properties of honeys and honeydew of Vlore are on a good level, and can be appreciated by foreign consumers. A good level of quality, for all chain’s products, can be earned and certified, to increase the market’s points of strength against direct competitors, the Chinese ones, which cannot be faced in terms of quantity of product. Thanks to the participation of Vlora Beekeepers Association “Nectari” to the MBF (Mediterranean Beekeeping Forum), Albanian products of the Bee value chain started to be known and appreciated abroad. Retail prices of local products (7 – 8 €/kg for multi – flower honey, 4 – 12 €/g for royal jelly) are not so cheap, if compared to the prices of imported products. Both honey and no honey products (royal jelly, pollen, propolis, bee wax) are very expensive both for domestic and foreign markets, if compared with analogous foreign products and, therefore, a productive optimisation (quality – quantity – local processing) is needed.

5.1.2 General competitive advantage The Vlora products have advantages because of: • Multi-flower honeys which have good quality, original smell, taste and flavour and it can be innovative on many foreign markets because of its original mixture of flowers, and is recognizable as a Mediterranean product. • Bee wax, pollen, propolis and royal jelly can be unpolluted. • The use of low quantity of medicines. • The excellent organoleptic characteristics of honeys and honeydew. • Good environmental conditions, belonging to different ecosystems and, fortunately, not yet degraded by the presence of burning garbage dumps. • The participation of Vlora Associations to the MBF (Mediterranean Beekeeping Forum. The competitive advantage is good for the multi-flower honey, characterized by a significant level of territorial representativeness and recognisability, being typically representative of Mediterranean region because of its provenience from pollens of oregano, thyme and sage.

5.1.2 Obstacles The obstacles are mainly related to the relational capital, the production and the markets. Relational Capital The obstacles are represented mainly by the lack of internal cohesion and the fragility of the external relationships. Many individual beekeepers of the region are not involved in Associations, and they don’t have solid relationships with the farmers and the herbs gatherers and producers.

Production-Productivity 34

The obstacles refer to: • very expensive veterinary medicines and the sage bee pasturing endangered by unsustainable activities of the wild herbs gatherers for bee breeding; • absence of mono-flower honey and the lack packaging for the honey production; • Obsolete instruments for collecting royal jelly and pollen are used. • Produced quantities of “no honey” products are very small. • very expensive production tools and machineries, scarce knowledge and sensitiveness about processing opportunities, lack of know – how, weak innovation and research, and lack of laboratories to process products; • lack of certification, in terms of lack of quality rules (ISO), lack of quality control (ISO), and lack of food safety rules (HACCP); • weakness in the service system, in terms of scarce good practices spreading, weak support to ISO and HACCP rules introduction, lack of targeted finance and credit, and lack of advanced training for bee breeding, “no – honey” productions, artisanal processing, lack of training for ISO and HACPP management. Markets The main obstacles refer to: • The lack of value chain optimization according to total quality rules and principles • All kinds of “no honey” products are sold prevalently not packaged. • branding practice not generally shared; lack of a Value Chain Brand (“Bees of Vlora”); and lack of a Territorial branding (“Vlora Products”) • Very weak distribution, mainly carried out by a not known chain of brokerage • High ratio prices / quality • Scarce level of promotion and communications on international scale, now mainly due to the participation of “Vlora Apicultural Association” to the MBF (Mediterranean Beekeeping Forum); lack of promotion on domestic and regional scale; lack of food education for national and regional consumers

5.2 Culture production system 5.2.1 General Characteristics Regional tangible cultural heritage, as it has been identified until now during action-research, is described as follows: Archaeological heritage linked to the sites of Orikum (the Roman settlement located inside the Albanian Navy base of the town, dated III century b.C.), “Guri me Qiell” (“Stone with sky”- pre-historical megalithic altar, composed by two vertical stones upon whom a horizontal stone rests, located close to the village of Vranisht), “Guri i Qytetit” (“Stone of the town” - pre-historical “natural” fortress, whose walls are up to 15 m tall. In the past, the people of the village of Vranisht took refuge in its upper side, in any case of danger), Finiq (located 20 km north of the Greek border, the political center of the Epirot Greek tribe of the Chaonians, with ruins of a temple and even a theatre), the IV century b.C fortress of Onhezmi (it was the port of the capital of Epirus, the town of Phoinike/Finiq, and the ruin of the fortress of Onhezmi are the only visible relics of the Chaonian town); the mosaics downtown Saranda (a “spread” II – III century a.C archaeological area in different places of the town with six mosaics); archaeological site of Butrint Saranda district (located on the southern side of the lagoon, close to the channel connecting the lagoon with the sea, rich and interesting wide archaeological site, offering an infrastructural landscape of the history of the town starting from Neolithic VII century b.C. age -

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UNESCO World Heritage Site); the Acropolis of Kalivò (located 2 km far from the site of Butrint); the mosque of Muradie (XVI century, in sultan style, by Sinani, the architect of Albanian origin who planned the “Sulimania” mosque of Istanbul, being one of the most important mosque builder of the first period of Ottoman Empire), the tomb of Ismail Quemali, the Independence monument; the castle of Kanina (built by the Emperor Giustiniano in the V century a.C. on an ancient Illyrian settlement of IV century b.C.); the castle of Himara (built in the first Middle Age on an ancient Illyrian settlement of “kaoneve” tribe of II century b.C), the fortress of Ali Pasha (located on a small peninsula in Porto Palermo bay, close to the town of Himara, and built by a French engineer in XVIII century on a pentagonal plan), the Tower of Dervsh Ali (in the village of Dukat, built in XVIII century by Dervsh Aly, a famous warrior of that age), the fortress of Gjon Boçari (built between XVI and XVII centuries, in the village of Tragjas, with a rectangular plan, and tall (up to 5.5 m) and thick (up to 1.25 m) walls, two towers), the Monastery of Zvernec ( the most important cultural monument in the region of Narta, built in the XIII century in Byzantine style and dedicated to St. Mar, located in the middle of the island. Every August 15, there is an Orthodox celebration to commemorate the birthday of Holy Mary), the church of Marmirò (located at north-west of Orikum, close to the lagoon. Its cylindrical tambour is considered the archetype of the architecture of the church of the monastery of Zvernec) Museums, Galleries, Libraries in Downtown Vlora (Museum of the Independence, Historical Museum, Ethnographic Museum, Library “Shevqet Musaraj”), Downtown Saranda (Archaeological Museum of Saranda, Ethnographic Museum), and the archaeological museum of Butrint Figurative art heritage represented mainly by the works of Zequir Alizoti, a contemporary artist working in Vlora, who carries on the tradition of terracotta modelling (here, during the past regime, a State School for artists and artisans trained artists in many figurative techniques of expression of the human creativity). Other subjects and places of culture are the Theatre “Petro Marko, the Culture Department of Vlora Municipality, the University “Ismail Qemali”, DBUMK (Regional Directorate of Agriculture, Food and Consumers’ Defence) Regional intangible cultural heritage, as it has been identified until now during action-research, corresponds mainly to music, and specifically to the Albanian traditional iso-polyphony and Laberia cantos. Iso-polyphony is a form of traditional Albanian polyphonic music. It comes originally from the South of the Country, and it can be divided into two major stylistic groups as performed by the Tosks and Labs18. This type of folk vocal tradition is also found in Macedonia and Bulgaria. The phenomenon of Albanian folk iso- polyphony has been proclaimed by UNESCO as a "Masterpiece of the Oral and Intangible heritage of Humanity". Iso-polyphonic form is based on two branches of voices: one is the “canto” (generally higher), and the other is the drone19. The form of the cantos is very often a “responsory”20. The tradition of iso-polyphonic cantos is carried on by amateurs. The activity of the Cultural Center “Aulona” and of the group of singers “Bilbili”, working in Vlora, deserves to be remarked. Other cultural activities are underwater activities, since the seabed of the region is a very interesting place for SCUBA underwater activities related to sea biology, caves, and wrecks. A good support for these activities is represented by the association “Expedita Blu” of Vlora In Vlora, the productions of knowledge (both in technical-scientific and humanistic fields) and of work of human creativity can be considered good. Also the existence of good primary (in the frame of the same field) and “crossed” (among different fields) interactions originating, for instance, a yearly Folk Festival, has to be highlighted.

18 “Tosk” refers to the Tosk-speaking Albanian population of southern Albania, subgroups of which include the Myzeqars of Myzeqe, Labs of Laberia and Chams of Chameria. Also the Arvanites of Greece and the Arbereshes of Italy are descendants of Tosk-speaking settlers, as are the original inhabitants of Mandritsa in Bulgaria. Tosk, in its narrowest sense, may be also applied to the people of Toskëria, the region to the north of the Vjosë river and south of the Shkumbin river, in the territory of Fier district. However, the name Toskëria itself is often used to name entire Tosk-speaking parts of Albania, in contrast to northern Gegëria 19 The “drone” (Italian bordone) is an accompaniment mono – phonic or harmonic effect, in which one note (this is the case of Laberia cantos) or one chord is continuously played as long as all the composition or a large part of it, sustained or repeated, often establishing the tonality of it. Systematic use of the drone has been originated in ancient music of south- eastern Asia, and then it has been spread in eastern India, in the North and in the West of Europe. Also south Albanian iso – polyphony is based on the drone mode. 202020 An antiphon (“opposite voice”, from Greek) is a "responsory", or a composition based on a “question – answer” form. 36

3.2.2 Competitive advantage

• A cultural syncretism, due to the strong interaction among ancient endogenous, ancient Greek, ancient Roman, medieval, western (old Venetian and European) and eastern (both Turkish Ottoman and “old regime soviet”), Christian (Catholic, Orthodox, Protestant) and Muslim heterogeneous cultural elements. That’s why any cultural expression found in Vlora can be considered as particular and, in some way, unique. • An original and interesting urban-architectural heritage, constituted by many structures (mainly castles and fortresses, churches and mosques) of cultural elements, belonging to different historical periods, both downtown and in the region. • Very rich archaeological heritage region wide. • A good artistic production, mainly good figurative art production (i.e. the masterpieces of Zequir Alizoti). • Good intangible cultural heritage, linked to the traditional folk music (mainly to be referred to the tradition of iso polyphony) and contemporary pop music has been identified. • A good set of humanistic and technical-scientific subjects and supports (Universities, a Centre of production and diffusion of rural productive culture (the DBUMK), a library, ethnographic, historical and archaeological museums • A good whole of cultural Associations • Good knowledge about historical objects, through many research activities carried on at producing knowledge about historical material and not material heritage • Significant existence of interactions among cultural and culturally oriented subjects . 3.2.3 Obstacles The lack, in Vlora, of a shared awareness about the potentialities of a dynamic and effectively interacting Culture system, represents a serious obstacle to the full fruition of the cultural heritage as a powerful resource for the development. This scarce consciousness has been shared, until now, among public and private actors: • cultural heritage, when taken in consideration by public subjects, is considered as a mere accretion to the general potential of tourist attraction, and it is also promoted in a fragmented, approximate, not strategic and consequently not effective way, • cultural goods are scarcely taken in consideration as the main cores of new enterprises by Vlora entrepreneurs, mainly tertiary – oriented.

The specific obstacles relate to the relational capital, the state of heritage, the vitality, and the promotion of the system. Relational Capital: The obstacles regard the lack of cohesion among cultural actors belonging to different fields of the rich local cultural whole, the scarce capacity of unitary representativeness of Shkodra cultural world, the scarce co- operation between Shkodra cultural (humanistic and scientific) world and the Shkodra institutional subjects, entrepreneur context, and foreign and international cultural subjects Vitality: The interactions among cultural actors belonging to different fields of the rich local cultural whole should be increased and improved, and the lack of strategic management of the system, while the presence of cultural enterprises is very small Promotion: The obstacles regard the Knowledge diffusion, due to the scarce and mainly only in Albanian references can be found on the global nets about it, and the lack of a good external marketing, since so far Shkodra cultural heritage is promoted in a fragmented, approximate, not strategic and consequently not effective way

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5.3 Fish value chain 5.3.1 General Characteristics

Fresh products Refrigerators

Fish breeding Food processing

Frozen products Fishing

Processed products Biodiversity

Vegetable oil production Distribution Packages Production

Chemical Production

Water Management

Energy Management 21 Fishing activities in Albania are prevalently carried out in the sea: (Albania belongs to FAOWaste Management -GFCM GSA 18), but also a growing presence of fishing activities in inland waters can be recorded during the last years. According to the last disposable information, in 2002 Albanian sea fishing fleet was formed by 212 vessels, divided in the main ports of Shëngjin, Durres, Vlora and Saranda, and employing around 900 people. Small- medium vessels are used, mainly practicing trawling. Also fish breeding activities had a good development in the last times. Last disposable data count 9 fish breeding plants (both in the sea and in inland waters, the latter for the breeding of the carp), 3 plants for the production of carp fry, and 46 trout breeding plants. The following products were identified by the research-action • cods (hakes -Merluccius merluccius); • mullets (mud mullets - Mullus barbatus and rockmullets - Mullus surmuletus); • blue fish (sardines, anchovies, mackerels); • others species of sea fish (sea breams, Mediterranean sea basses, rays); • cephalopods (octopus – Octopus vulgaris, Horned octopus – Eledone moschata, cuttlefishes, squids) • crustaceans (shrimps, langoustines octopus - Nephrops norvegicus, European lobster- Homarus gammarus, spiny lobster- Palinurus elephas) • shellfishes (grooved carpet shell, “lupino” clams-Dosinia exoleta, tellins-Macoma obliquilineata, cockles from the family of Cardiidae, murexes - Murex brandaris) Also the date mussel, or date shell (Litophaga litophaga), whose fishing is forbidden (because of important environmental reasons) in some European countries, is fished here. Sea fish breeding activities are carried out in plants located in coastal waters, mainly in the area of Qeparo and Porto Palermo. Bred species of fish are, mainly sea breams (Sparus aurata), and Mediterranean sea basses (Dicentrarchus labrax).

21 FAO-GFCM Geographical Sub Area 38

The activity of mussel breeding is carried out in the Butrint Lagoon.

Regional methodologies and supports In the region, sea fishing activities are carried out by two important fishing fleets, located in fishing ports of Vlora (Triport) and Saranda. Also small fishing fleets, in coastal villages, can be found. The fleets are mainly composed by small and medium fishing vessels. All fishing techniques (trawling, drift nets, etc.) are adopted. Around 70 vessels compose fishing fleet of Vlora. Markets About domestic market, the fresh sea fish produced in Vlora is sold to the whole Southern Albania. The products of Vlora Fish value chain are mostly sold at sustainable prices for local markets.

5.3.2 Competitive advantage The Vlora fishing value chain has competitive advantages because: • sea fish has excellent quality • sea fish has valuable organoleptic characteristics • sea fish can be here fished in large quantities, due to the geographic position of the region,. • It is a rich ingredient for recipes having a high added tourist value, • It can originate valuable frozen products. • There are very valuable fresh fish, such as octopus, shrimps, crustaceans • The sea bream and the Mediterranean sea bass can originate valuable frozen products; the sardines, the anchovies, and the mackerels can be easily processed, and preserved naturally or in vegetable oil. Through artisanal processes, very valuable food preserves can be obtained. They can be easily processed, and preserved naturally or in vegetable oil. Through artisanal processes, very valuable food preserves can be obtained.

5.3.3 Obstacles The lack of effective systems of energy management, water management, and waste management represents a serious general obstacle to the introduction of innovative processes in the Fish value chain. The specific obstacles regard production and marketing. Production • Needs of renewing boat engines. • For the processing the obstacle regard mainly the fact that no processed (frozen, preserved) products are yet identified. • For the certification the obstacles regard the lack of ISO rules and control the HACCP rule introduction • For the services the obstacles regard the weak support to ISO rules introduction, the weak support to HACCP rules introduction, the lack of targeted finance and credit • For the training the obstacles regard the lack of advanced training for fish breeding, the lack of advanced training for artisanal product processing activities, the lack of training for ISO rules management, and the lack of training for HACCP rules management Market

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• Lack of value chain optimization according to total quality rules and principles (mainly for internal marketing). • The lack of branding due to the absence of branding practices, the lack of a Value Chain Brand (mainly in relation with freshwater products), and the lack of a Territorial branding (“Vlora Products”). • The lack of promotion on domestic and regional markets, constrained also for a scarce food education for national and regional consumers.

5.4 Handicraft production system 5.4.1 General Characteristics The Handicraft production system ideally goes from the raw material utilised for the productions to the final commercialization of its products that, here in Vlora, are related to different value chains. The effectiveness of considering different value chains as “components” of one Handicraft production system lies in the chances that a correctly integrated marketing phase (starting from the modality of promotion) can offer in order to show, at the same time, recognisable products and a territorial identity on domestic and international scale. The capability of doing that in such an integrated way is, probably, the main competitive characteristic belonging to a standard Handicraft production system.

The main regional handicraft products In the region, a relevant whole of artisans producing wrought iron art can be found. Vlora wrought iron products, designed taking inspiration from very original pattern and pictures, have not similar foreign competing products, also in consideration of the strongly “contaminated” eastern – western context in which they are designed The production of wrought iron doors of a relevant artistic value, also as a supply for building activities, has to be highlighted. There is also a relevant presence of handmade textile products, made of natural raw materials and embody territorial identity value; they are considered very valuable products on the market. During action-research activity, the Artisan Textiles value chain has been identified in Vlora district and it is related to the following products: • Wool: carpets (kilims, rugs, mats, knotted carpets), bags. • Cotton: artisanal coats, embroidery. The tradition and the know – how behind handicraft textile products has ottoman origin. For instance, the name 'kilim' or 'kelim' is Turkish, and comes from the Persian “gelim” (“to spread roughly”), which is probably of Mongolian origin. This added value gives to all the products very important market chances. Methodologies About the production of iron objects, raw iron is imported from abroad, and sold to the artisans by brokers. The iron is folded and modelled in traditional way, through the utilisation of hammer, anvil, and welded by welding torch. About the production of handicraft textiles, local wool is not considered good for the production of handicraft textiles, and the artisans have highlighted the lack of local productions of cotton. Therefore, textile raw materials are imported mainly from abroad. The production is based on old traditional fashions and styles. The colors of the kilim are light, and their patterns are predominantly geometric.

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The chances of introducing new designs, in order to apply valuable production techniques to contemporary and original styles have been taken in consideration by local actors. The weaving happens through the utilisation of traditional wooden and iron handloom. Some of them are engine – powered. The kilims are produced by tightly interweaving the warp and weft strands of the weave to produce a flat surface with no pile. Markets Wrought iron objects are considered prestigious home accessories and have a good market Countrywide. According to the words of the artisans, the prices of wrought iron products are adequate and sustainable for local markets. Handicraft Textiles products can be found on regional and domestic markets, in the shops selling traditional products of handicraft; they are probably sold undervalued on the market.

5.4.2 The competitive advantage The Vlora handicraft products have competitive advantage because • They are an original and interesting representation of the cultural contamination of the region (ancient Greek, Roman, European, Turkish Ottoman) • They embody the traditional and recognizable know-how of Vlora “artist – workers”.

5.4.3 Obstacles The general obstacles are represented by: • Scarce awareness about the potentialities of a dynamic and effective Handicraft production system. Handicraft products are considered as a mere accretion to the general potential of tourist attraction in terms of “souvenirs”, and scarcely taken in consideration as the main cores of new enterprises by Vlora entrepreneurs, mainly tertiary-oriented. • the lack of “technical bureau” to improve and increase the production, protect old design and introduce new design and provide the training of new artisans. The specific obstacles as related to the relational capital, production and market are the following Relational Capital The main obstacle is the lack of an association, and the fragmented and unfavourable relationships with trade sector in order both to purchase raw materials and to sell products Production • Lack of raw material, such as cotton and wool, natural paints • In processing: lack of packaging • In the services: lack of targeted finance and credit • Lack of training for artisanal processing Market • Lack of value chain’s optimization according to total quality rules and principles • Branding practice not generally shared, lack of a specific Brand (“Vlora Handicraft”), lack of a Territorial branding (“Vlora Products) • Distribution: very weak, and mainly carried out by a not known chain of brokerage

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• Promotion: scarce level of promotion and communications on international scale, and lack of promotion on domestic and regional scale

5.5 Herbs value chain 5.5.1 General Characteristics The Herbs value chain ideally goes from the biodiversity of different ecosystems to the final commercialization of its products (fresh, raw and processed).

Fresh products Refrigerators

Farming Processing

Dried products Gathering

Essences Biodiversity

Natural paint

Olive / Alcohol Packages Production Distribution Food products

Chemical Production Cosmetic products

Water Management Medical products

Energy Management

Waste Management

Simplified description of the Herbs value chain

The following varieties of herbs have been identified, until now, in the region: mint (Mentha aquatica) gathered and cultivated; mountain savory (Satureja Montana) gathered; “mountain tea” (or “shepherd’s tea”- Syderitis syriaca) gathered; oregano (Origanum vulgare) gathered; sage (Salvia Officinalis), gathered and cultivated; thyme (Timus Serpillum) gathered.

Identified regional methodologies Mint and sage (in small quantities) are cultivated. All the herbs other herbs are gathered mainly in wild areas. In many cases, regardless of the need of safeguarding natural cycles and chances of reproduction of the wild germplasms, herbs gatherers prefer to uproot all the body of the plants, instead of taking only the leaves, and they do that often before the reproduction of the plants. In this way, the gatherers both save time and obtain more products to sell.

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Law forbids this devastating technique of gathering herbs, but Forestry Police isn’t able to control the highlands as minutely as sufficient. In this way, both wild herbs colonies and the production of some kinds of honey (mainly sage and mountain savory honeys) are seriously endangered. Markets On domestic market, all the products of the Herbs value chain are recognized and appreciated by national consumers, for basic utilisations (mainly for cooking). Because of this reason, all regional production is sold, and there is further space on the market for more regional producers. Fresh and dried products are, mostly, directly sold to the store owners and to the consumers. On international market, the products of the Herbs value chain are worldwide very appreciated, and, therefore, there is relevant international markets’ space. The properties of fresh and dried herbs, and of the essential oils of theirs, are on an excellent level, and can be appreciated by foreign consumers. A good level of quality, for all chain’s products, can be earned and certified, to increase the market’s points of strength against direct competitors.

3.5.2 Competitive advantage The herbs of Vlora have advantage because of: • the excellent properties of fresh and dried herbs and their essential oils, which are worldwide recognized • the characteristics of Vlora environment: clean and adequate soils not yet contaminated by the presence of burning garbage dumps. There are many extended areas, belonging to different ecosystems in which abundant wild colonies of herbs can be found, and farming herbs is possible; • their recognizable Mediterranean characteristics, mainly for some products, such as thyme, oregano and sage • high levels of biodiversity of some Albanian areas; • rarity and/or or typicality as for mountain savory and “mountain tea”.

3.5.3 Obstacles The lack of effective systems of energy management, water management, and waste management, represents a serious obstacle to the introduction of innovative processes in the Herbs value chain. The specific obstacles related to the relational capital, production and market are the following: Relational capital • Many individual farmers and gatherers of the region are not involved in Associations. • Lack of integration and relationships among farmers, gatherers, beekeepers. Production • Farming: Lack of know–how; small quantities of products, if compared to the regional potentialities of sustainable production; endangered germplasms (wild sage) because of unsustainable gathering activity. • Processing: scarce knowledge and sensitiveness about processing opportunities; lack of know – how; weak innovation and research; expensive tools and machineries; lack of laboratories to process products; lack of packaging. • Certification: Lack of quality rules and controlo(ISO); lack of food safety rules (HACCP). • Services: scarce spreading of good practices; weak support to ISO and HACCP rules introduction; lack of targeted finance and credit. • Lack of advanced training for farming practices, artisanal processing, ISO rules management, HACCP rules management.

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Market • Lack of value chain optimization according to total quality rules and principles. • Branding practice not generally shared; lack of a Value Chain Brand; lack of a Territorial branding (“Vlora Products”). • Very weak distribution mainly carried out by a not known chain of brokerage. • Scarce level of promotion and communications on international scale; lack of promotion on domestic and regional scale; lack of food education for national and regional consumers.

5.6. Liquors value chain 5.6.1 General Characteristics The Liquors value chain ideally goes from the biodiversity of different territorial ecosystems to the final commercialization of produced alcoholic liquors and alcoholic infusions. The products of the Liquors value chain can represent a real expression of the territory. The rakì is the traditional Albanian alcoholic product, obtained through the distillation of fermented fruit. Its name becomes from the Turkish “rak”, that means “alcoholic drink”; the root of the word is also commune with the Serbo - Croatian word “rakija”, that indicates the same product having, so, a strong Balkan identitary value. Alcoholic infusions are obtained thanks to the possibility of extracting essential oils of a vegetal product through its infusion in alcohol. Flavoured alcohol is then added with water and sugar in order to obtain desired alcoholic strength and taste. There is a risk of a high presence of methylic alcohol (methanol) into the final hydro alcoholic solution in percentage that can be very dangerous for human health in artisanal distillation process, if carried out without adequate experience and control. The regional products are distillates, such as rakì of grape and plum, and alcoholic infusions of lemon and mint. The distillation is carried out thanks to the utilisation of copper distillers, and it is generally familiar - artisanal. Both distillates and alcoholic infusions of good quality are mainly homemade products, and their production is small, if compared to regional potentialities of sustainable production.

Markets On domestic market, all the products of the Liquors value chain are recognized and appreciated by national consumers. Because of this reason, all regional production is sold, and there is further space on the market for more regional producers. All Liquors value chain products are sold bottled and mainly not branded. Most of Liquors value chain products of Vlora is sold at sustainable prices for local markets. Foreign international markets’ space for those products is very expansive, and it can be used to increase the export of regional products.

5.6.2 Competitive advantage Vlora products have competitive advantage because • the organoleptic characteristics of all kinds of liquors, if produced taking necessary care are excellent,. • the rakì of grape, which is the most spread and it is analogous to the Serbo-Croatian “losova rakija”, has its own organoleptic peculiarities; • the rakì of plum, which is analogous to the Serbo-Croatian “slivovica”, has its own organoleptic peculiarities;

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• all the alcoholic infusions are excellent, thanks to a processing skill spread region – wide; they are very recognizable because of the typical Mediterranean essences (lemon, mint), and they are made extracting only natural essences in alcohol, without using chemical additives or artificial aromas. • the liquors are strongly representative products: the rakì of grape belongs to the Balkan heritage of fruit distillates (together with, for example, the more known Serbian, Croatian and Montenegrin losova rakija and slivovica), whether alcoholic infusions belong to a strong and well known north Mediterranean tradition • all the chain’s products a can be certified, to increase the market’s points of strength against direct competitors.

5.6.3 Obstacles The same as for the Herbs Value Chain

5.7 Meat value chain 5.7.1 General characteristics This value chain ideally goes from the activities of cattle, sheep and goats breeding to the final commercialization of fresh, raw and processed products. The existence of a Meat value chain is a point of strength for a territory in order to easily and cheaply ensures a good and healthy variety of vitamins and proteins in people (especially child) diet. The products of this value chain have, therefore, to be considered intrinsically competitive since they are basic22 resources. The fresh products present in the region are: bovine meat, sheep and goat meat, and poultry meat. The processed products are traditional handmade meat preserves (salt preserved beef meat).

5.7.2 Competitive advantage A good competitive advantage of Vlora Meat Value Chain derives from: • the traditional know-how applied in producing beef meat preserves; • the traditional ways of breeding sheep; • the UNDP Project “Improving the performance of livestock sector in Albania”, that is valorising the small ruminants.

5.7.3 Obstacles The lack of effective systems of energy management, water management, and waste management, represents a serious obstacle to the introduction of innovative processes in the Meat Value Chain. The specific obstacles related to the relational capital, production and market are the following: Relational capital • Many individual home producers, producing for their own use, not involved in Associations. • Lack of external relationships

22 Basic resources are endogenous resources of “ordinary” nature that can used in order to reduce primary needs of the territory. These resources must be considered as competitive because they are necessary for the steadiness of the territory and, consequently, for the competitiveness of this latter 45

Production • Breeding: lack of grazing areas; forage and fodders not controlled. • Processing: lack of slaughterhouses; lack of know – how in processing; weak innovation and research; lack of laboratories to process products; lack of packaging. • Certification: Lack of quality rules and control (ISO); lack of food safety rules (HACCP). • Services: scarce spreading of good practices; weak support to ISO and HACCP rules introduction; lack of targeted finance and credit. • Lack of advanced training for farming practices, artisanal processing, ISO rules management, HACCP rules management. Market • Lack of value chain optimization according to total quality rules and principles. • Branding practice not generally shared; lack of a Value Chain Brand; lack of a Territorial branding (“Vlora Products”). • Very weak distribution mainly carried out by a not known chain of brokerage. • Scarce level of promotion and communications on international scale; lack of promotion on domestic and regional scale; lack of food education for national and regional consumers.

5.8 Milk value chain

5.8.1 General characteristics The Milk value chain ideally goes from the activities of cattle, sheep and goats breeding to the final commercialization of fresh, raw and processed products. The regional products are milk, cheese and yogurt (from cow milk). Cows, sheep and goats produce raw fresh milk. Bred varieties of dairy cows are the Holstein (main population) and the “Alpine”. The milks are pasteurized fresh milk, and UHT processed milk. The cheeses are: Albanian feta cheese (Albanian variety of the more famous Greek feta cheese, but here having its own peculiarities, made from sheep’s milk - sometimes added with goat’s milk till to an amount of 20%-, and then put in brine in maturation, for 1 – 2 months); Albanian kaçkavall cheese (Albanian variety of the Balkan kaçkavall, here having its own peculiarities, made from cow’s and sheep’s milk in variable percentages); mozzarella cheese (spun dough fresh cheese, produced according to the Italian recipe of cow’s milk mozzarella); other kinds of “foreign-like” cheese, such as ricotta cheese, gouda cheese, gruyere, etc.

Methodologies Bred cows are fed with not organic forages and processed (“concentrate”) fodders. Breeding activities are very fragmented. Dairy factories daily carry out the collection of milk from many small breeders (in some cases, till 320 breeders, each of them having not more than 20 cows, are needed to supply one big factory). The quality of the milk can’t be controlled. Often it happens that the breeders add water and “amidon” (maize amid, to sustain protein level) to the milk, in order to fraudulently increase production and income. Milk production is not ensured regularly. It can also happen that a dairy factory has to stand by for one or more days because milk suppliers have sold their milk to other factories. The utilization of natural rennet hasn’t been identified. The identified rennet is the common “Fromase”, a cheap, low quality and industrial micro – biological rennet extracted from Muchor miehei mould.

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Markets On domestic market, all regional production is daily sold, packaged and branded. The scarce local production of fodders and forages makes production costs high. High prices of raw milk, and high costs of energy reflect themselves in dairy production costs. The need of keeping relatively low and sustainable prices for the consumers, if put in relation with high production costs, explains the many failures of small dairy factories. The realistic risk is the future “invasion” of imported better and cheaper milk products and the failure of the local value chain. 5.8.2 Competitive advantage The Vlora products have competitive advantage because: • the quality of milk is good and in some cases excellent when it is produced by cows, sheep and goats feeding with natural forages or natural grazing; • endogenous cheeses, like Albanian feta and kaçkavall could be very valuable and appreciable products for skilled consumers, if produced according to traditional recipes and with good ingredients (good milk and natural rennet),; • the Albanian feta cheese and the kaçkavall cheese have their own recognisable peculiarities.

5.8.3 Obstacles The specific obstacles related to the relational capital, production and market are the following: Relational capital • Lack of Producers’ Associations • Only individual relationships with breeders (milk). Production • Processing: scarce knowledge and sensitiveness about quality processing and traditional recipes (milk of scarce quality, chemical rennet, etc.); expensive tools and machineries; lack of laboratories to process products. • Certification: Lack of quality rules and control (ISO); lack of food safety rules (HACCP). • Services: scarce spreading of good practices; weak support to ISO and HACCP rules introduction; lack of targeted finance and credit. • Lack of advanced training for farming practices, artisanal processing, ISO rules management, HACCP rules management.

Market • Lack of value chain optimization according to total quality rules and principles. • Lack of a Value Chain Brand; lack of a Territorial branding (“Vlora Products”). • Scarce level of promotion and communications on international scale; lack of promotion on domestic and regional scale; lack of food education for national and regional consumers.

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5.9 Olive value chain

5.9.1 General characteristics The Olive value chain ideally goes from the activities of olive farming to the final commercialization of the products (table olives and olive oil). The following cultivars of olive have been identified: • a not better identified “common” variety, producing table olives, • kalinjot variety (Albanian endogenous), • frantoio variety (imported from Italy), • leccino variety (imported from Italy). The regional processed products are table olives and olive oil (monocultivar kalinjot extra virgin olive oil; monocultivar frantoio extra virgin olive oil; monocultivar leccino extra virgin olive oil; extra virgin olive oil; olive oil; “sansa” olive oil) The kalinjot variety is very valuable and the kalinjot extra virgin olive oil is excellent. A massive presence of common Italian frantoio and leccino varieties, due to a very dangerous rural policy endangering the real competitive endogenous resources of the value chain, has been identified. Produced oil, as a milled mixture of different olive varieties, processed in bad ways and badly preserved, must be considered as a low quality product. Markets The production of olive oil is mainly carried out for family use. In some cases, extra virgin olive oil (kalinjot, frantoio, leccino) is sold bottled and branded. Extra virgin olive oils produced by Vesaf Musaj milling plant have been recognized also in Italy because of their high quality.

5.9.2 Competitive advantage The Vlora products have advantages because: • a massive number of olive plants exist and this it is a prerequisite for the production of basic23 food resources (olive oil). • olive oil is the main ingredient for many kinds of food preserves and ready dishes. • the kalinjot is an endogenous variety of olive plants, and could generate the production of a highly competitive mono-variety kalinjot extra virgin oil. • the frantoio and leccino Italian varieties of olive plants could generate the production of good mono- variety kinds of extra virgin oil. • the mono-varieties kalinjot, frantoio and leccino extra virgin oil are characterized by excellent organoleptic and nutritional properties, and, in some cases, are quality, safe and organic certificated • few small and good olive milling plants exist

3.9.3 Obstacles

23 Basic resources are endogenous resources of “ordinary” nature that can used in order to reduce primary needs of the territory. These resources must be considered as competitive because they are necessary for the steadiness of the territory and, consequently, for the competitiveness of this latter. 48

They are similar to the other agro-food value chains Further constrains are highlighted as follows: • Presence of bad quality olive milling plants. • Generally low quality of the oil. • A not correctly managed presence of common Italian frantoio and leccino varieties could endanger the real competitive endogenous resources of the value chain.

5.10 Tourism production system

5.10.1 General characteristics A Tourism production system is composed by the subsystems of attractors, hospitality, productions, and services. Vlora region is very rich in environmental attractors, due to the presence of many ecosystems, and cultural attractors. Sustainable artificial attractors can be established and/or increased as, for instance, a well regulated activity of horse tourism, trekking, “en plein air” tourism, underwater and snorkelling activities, etc. Sport hunting activities, here existing, cannot be considered sustainable, in consideration of the delicate biological equilibrium of the ecosystems. Detractor elements are constituted by the low environmental quality of anthropized areas, and the presence of garbage also in medium urban centres. The hospitality subsystem is characterised by a sufficient quantity of hotels and restaurants downtown Vlora. Nevertheless the massive presence of hotels and restaurants in Saranda is probably excessive, if compared with the real use (and with the progressive lowering) of the attractiveness of the place, actually related only to the sea and not to existing environmental and cultural resources of the area. Rural areas of the region are characterised by a scarce presence of agro-tourism activities, bed & breakfast and organized camping areas. The quality of the Hospitality subsystem is generally low (very low related to too high prices in Saranda). The production subsystem is quite relevant, since all the value chains analysed in this document are related to tourism interests, and their improvement generates an increase of the regional attractiveness. It is a shame the inhabitants do not valorise the local gastronomic heritage, too often in favour of a mediocre Italian cooking. Services for tourism are very insufficient in Vlora, despite Albania is listed as the first attractive Country in the world by the Guide “Best in Travel” 2011 of Lonely Planet. Particularly serious must be considered the lacks of an effective and integrated activity of tourist promotion, an effective and efficient public system of transportation, and a really exhaustive guide service. 5.10.2 Competitive advantage The Vlora tourism system has the following advantages: • By the point of view of the attractors, the Vlora region is very rich in environmental attractors, due to the presence of many ecosystems (also related to seaside resort), and cultural attractors • Potential and sustainable artificial attractors could be a regulated activity of horse tourism, trekking, “en plein air”, etc. • As far as hospitality, hotels and restaurants, they are quite sufficient in the region • The presence of many productive value chains with typical goods (honey, herbs, wine, handicrafts, fruit&vegetables, etc.) can contribute to adding value to the attractors. 49

5.10.3 Obstacles • Coordination: very scarce local awareness of the need of addressing the tourism as an integrated production system, mainly because of the lack of an effective “coordination subsystem”, a “mono-sectorial” approach to the tourism (mainly limited to the hospitality systems), and the lack of effective promotion and communication activities. • Attractors: the consciousness about the real potentialities of the attractors is scarce: in many cases, the attractors are undervalued or overrated. • Hospitality: rural areas of the region are characterised by a scarce presence of agro-tourism activities and bed & breakfast; the massive presence of hotels and restaurants in Saranda is probably excessive, if compared with the real use of the attractiveness of the place, actually related only to the sea and not to existing environmental resources of the area; the quality of the Hospitality subsystem is generally low. • Production: lack of optimization of the production oriented to strengthen the attractiveness of the region. • Services: the scarce quantity and quality of the services for tourism, particularly of integrated activity of tourist promotion, and of a guide service.

5.11 Wine value chain

5.11.1 General characteristics The Wine value chain ideally goes from the biodiversity of different ecosystems to the final commercialization of the wines. In Vlora the following varieties of wine are produced: Kallmet (red and white wine), Shesh (Shesh i bardhë, white wine, Shesh i zi, red wine), Vlosh (red wine). Kallmet, Shesh and Vlosh can be considered good Albanian endogenous grape varieties, also having significant properties of recognisability. Exogenous grape varieties produced in the region (mainly Cabernet, Merlot, Sangiovese, etc.) have not taken in consideration, because of their common characteristics and low competitiveness.

Markets Most of regional production is sold bottled and branded on domestic market

5.11.2 Competitive advantage The Vlora wines take advantage from: • being endogenous products, with originality and typicality, made from good Albanian endogenous grape varieties, with particular reference to the Kallmet and Shesh that have significant properties of recognisability; • the good environmental conditions (climate and soil)

5.11.3 Obstacles They are the same as for the other agro-food value chains Further constrain is the endangered endogenous germplasms because of the introduction of exogenous grape varieties (mainly Cabernet, Merlot, Sangiovese, etc.).

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6.Guidelines for strategic actions These guidelines are a logical framework, derived by the analysis of the advantages and constrains of each value chain, and can orientate the elaboration and implementation of strategies and actions for Shkodra and Vlora economic development, through strengthening the above described value chains, and overcoming the obstacles they currently face. These guidelines can be divided in two typologies: a) common guidelines for all the value chains, with the exception of the “Cultural System”, and b) guidelines for Cultural System.

6.1 Common guidelines The strategic actions regard: • productive effectiveness24, • safety and quality, • internal marketing, • external marketing.

6.1.1 Improving productive effectiveness The improvement actions regard: I. supporting cohesion and networking, II. improving territorial LED governance, III. improving regional productive block, IV. managing the innovation, V. energy, water, and waste management.

Supporting cohesion and networking in the value chains The main needed actions refer to: a) the reinforcement and the creation of associations of individual producers, belonging to the value chains; b) the promotion of “Shkodra Value Chain Forum” and “Vlora Value Chain Forum”, participated by the Associations of producers. The main function of the Forum consists in creating and managing the implementation of a shared, continuously evolving strategy for the production, the innovation and the external marketing. The expected results are the improvement of local representativeness of the actors belonging to the value chains, and the achievement of scale and scope economies, mainly for favouring a shared use of tools and machineries, obtaining better prices in order to purchase veterinary medicines, tools, machineries, and make disposable significant mass of products in order to satisfy the needs of big distributors

Improving territorial LED Governance The main needed actions regard:

24 The productive effectiveness is here defined as the ratio quantity of production / costs of production. 51

a) the support for involving the associations of producers in TEULEDA and AULEDA Local Partnership b) the promotion of synergies among complementary value chains. The expected results are the improvement of the representativeness, strategic quality and effectiveness of TEULEDA and AULEDA actors; the increase of the possibilities of strategic integration among various territorial chains and production systems, and the reinforcement of the function of TEULEDA and AULEDA as leading territorial strategic subjects of LED

Improving regional productive block The main needed actions are a) supporting the Forum in order to organizing basic training courses, mainly dedicated to disadvantaged people; b) supporting the creation of new individual or associated and small enterprises (also through the utilisation of the Guaranty Fund), for completing and reinforcing the value chain The expected results are the reduction of regional unemployment, and the increase of the regional production

Managing innovation The main needed actions are: a) promoting an action-research process, carried out by the Forum, in order to define in a shared way production plans for new products and processes; b) elaborating the processes for defined products, the design of processing laboratories, and the business plans of the investments in order to establish processing laboratories; c) supporting the Forum in order to organize advanced training courses related to product processing; d) supporting the creation of the laboratories (also through the utilisation of the Guaranty Fund), and links among industry and research; A national or international advisory support may be needed. The expected results are the reduction of regional unemployment, the increase of the regional production, the introduction of new processed products, the increase of potential level of competitiveness of the value chains.

Energy, water, waste management The main needed actions regard: a) Sensitizing institutional awareness about the needs of organizing services of energy management, water management, and waste management, based on integrated cycles. b) Supporting Institutional subjects in order to establish integrated cycle of energy, water and waste management (see also the experiences of European “Agenda 21”) The expected result is the availability of cheaper and more steady energy, easier and cheaper drinking water for product processing, the improvement of general conditions of context in order to obtain quality certifications, and safety certifications for the products of the food value chains, the increase of unpolluted areas for pasture, the ecosystems and biodiversity safeguard.

6.1.2 Certifying quality, safety, organicity The improvement actions regard: I. quality certification of the enterprises, 52

II. safety certification of the food enterprises, III. organic certification of the food enterprises, Quality certification, safety certification, organic certification of the enterprises of the food value chains The main needed actions are a) establishing an agreement for an easier and cheaper acquisition of ISO Quality, HACCP, and Organic Certification, a continuous support for quality management and control in favour of the chains’ individual and small enterprises; b) supporting the needs related to the enterprise fitting to the quality rules (also through the utilisation of the Guaranty Fund). A national or international advisory support may be needed. The expected results are the acquisition of certifications, the fulfilment of a necessary condition about the quality of the products in order to approach European markets, and the increase of potential level of competitiveness of the value chain.

6.1.3 Improving market conditions The improvement actions regard: I. market analysis and strategies II. promotion III. distribution

Market analysis and strategies The main needed actions regard: a) analyzing regional and domestic, and international markets; b) elaborating regional and domestic, and international market strategies. A national or international advisory support may be needed to support the Forum

Promotion The main needed actions regard: a) promoting applied researches about bio-chemical and nutritional characteristics of Shkodra and Vlora products; b) promoting food education activities for regional and domestic consumers; c) creating and promoting, on national and international scale, a Shkodra and Vlora quality brand of the chains products, through defining and sharing a set of products, their characteristics and prerogatives, their standards. Distribution The main needed actions regard: a) identifying national, and foreign distributors to final consumers; b) reinforce negotiation capacity of the Forum with distributors.

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6.2 Guidelines for the cultural system development The guidelines regard the following strategic actions: • the vitality of the system, • the state and use of the heritage, • the communication and promotion.

6.2.1 Improving cultural vitality The improvement actions regard: I. supporting cultural cohesion and networking, II. improving territorial LED governance.

Supporting cultural cohesion and networking The main needed actions are: a) increasing the quality of relational capital related to the Culture System through involving other research subjects (first of all, University of Shkodra and Vlora), identifying and involving other local cultural or culturally oriented existing subjects, promoting and supporting cohesion and exchanges among artists and local creative people through supporting the creation of Associations. b) Promoting the networking among the Culture Administrative Departments, the Associations (both cultural Associations and Associations of representation of social and productive subjects), the education, cultural, research, and divulgation and popularization (schools, University, DBUMK, etc.), institutions, the organisms managing museums, galleries, libraries, information and communication activities (theatre, radio, TVs, publisher, etc.), the owners and managers of material cultural heritage. c) Consolidating the networking through promoting the establishment of “Shkodra Culture Forum” and “Vlora Culture Forum” The expected results are the improvement and increase of the chances of the local creativity, the improvement of the effectiveness of the local Culture System, the increase of potential level of territorial competitiveness

Improving territorial LED governance The main needed actions is to involve the local cultural network (Shkodra Culture Forum and Vlora Culture Forum, when established) in the process of LED Strategic Programming, contributing to improve the overall LED strategies, and to increase its effectiveness and human sustainability, through a better fruition of the territorial competitiveness.

6.2.2 Improving the heritage The critical areas regard: I. improving the possibilities of fruition of the heritage II. improving the conditions of historical buildings

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Improving the possibilities of fruition of the heritage The main needed actions are: a) Organizing the realization of the survey of cultural resources of Shkodra and Vlora, as a digitalized and georeferenced heterogeneous database. b) identifying new business opportunities for exploiting the cultural resources, and establish micro and small cultural enterprises, through TEULEDA and AULEDA financial and non financial support The expected results are the creation of cultural value chains, job creation, and increase of the overall territorial competitiveness

Improving the conditions of historical buildings The main needed actions are: a) Designing new uses and purposes for abandoned or decaying building and quarters of cultural interest. b) Carrying on the recovery of artistic and historical building heritage c) Evaluating the opportunity, the effectiveness and the feasibility of the establishment of a “Bazaar of Shkodra” (see, for example, in Gjuhadol) The expected results are soil saving, through avoiding new buildings, characterization, in a proper way, of existing estate heritage of cultural interest, urban re-qualification, increase of potential level of territorial competitiveness, handicraft development.

6.2.3 Communication and promotion The main critical areas regard I. integrating the activities II. showing a coherent context.

Integrating the activities The main needed action is designing, promoting and implementing integrated activities of cultural promotion, mainly through the establishment of a calendar of events. The expected results are the increase and improvement of the extra- regional visibility of Shkodra and Vlora cultural context, the increase of the markets of cultural, tourist and handicraft enterprises, and the increase of the overall territorial competitiveness.

Showing a coherent context The main needed action is building and managing digital interactive web spaces representing the Culture system of Shkodra and Vlora with all their elements (subjects, material and not material cultural heritage, events, etc.). The expected results are the increase and improvement of the extra regional visibility of Shkodra and Vlora cultural context, the increase of the markets of cultural, tourist and handicraft enterprises, and of the overall territorial competitiveness.

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MAP OF ECONOMIC POTENTIAL IN SHKODRA (SINTHESIS)

Value Chain (CV) Resources Competitive advanced Obstacles Lack of internal cohesion and the fragility of the external relationships; Queen bees quality, veterinary services, variety of mono-flower honeys, too expensive veterinary medicines and the sage bee pasturing; too typical mountain savory honey, quality of multi-flower honeys, expensive production tools and machineries, lack of packaging, scarce Honey (chestnut, clover, heather, mountain savoury, sage, organoleptic characteristics, few medicines used, environmental knowledge and sensitiveness about processing opportunities; lack of thyme, multi-flower); Bee poison; Bee wax; Pollen; Propolis; Beekeeping conditions not yet degraded by the presence of burning garbage dumps, know – how, weak innovation and research, and lack of laboratories to Royal jelly high specific production, relational capital, participation of Shkodra process products are serious obstacles for the no-honey products, the Associations to the MBF (Mediterranean Beekeeping Forum) lack of certification, lack of branding, weak distribution, high prices, scarce level of promotion and communications on international scale Weak awareness about the potentialities of the Culture system, Uniqueness of its “syncretism”, result of a strong interaction among a cultural heritage mere accretion to the general potential of tourist western (old Venetian and European) and eastern (both Turkish Mosques, castels, traditional houses, churches, ancient attraction, and promoted in a fragmented way, cultural goods not Ottoman and “old regime soviet”), and Christian (Catholic, Orthodox, bridges,, pdestrian road in Shodra, arquelogical ruins, figurative valorised for businesses, lack of cohesion among cultural actors, Protestant) and Muslim cultures; humanistic and technical-scientific arts, classical and traditional music, library “Marin Barleti”, the scarce capacity of unitary representation Shkodra cultural world, lack Culture institutions and Associations, information and communication, artistic Historical Museum, the Art Gallery, and the Marubi of interaction among cultural actors belonging to different fields, lack of exhibitions, good knowledge about historical objects, as research Photographic Archives strategic management of the system, and the physical degradation of activities aimed at producing knowledge about historical material and many resources, scarse knowledge diffusion, lack of external not material heritage. marketing, Few sea and freshwater fishermen involved in Associations, relationships between fishermen and customs lying only on Cods (hakes; mullets (mud mullets, rockmullets; blue fish Basic local food resource and for Shkodra gastronomy, good quality, commercial individual base, fish population endangered by criminal (sardines, anchovies, mackerels); others species of sea fish valuable organoleptic characteristics, in particular for the sea fish activity ruddy fishing techniques, the sole utilisation of small rowboats, (sea breams, Mediterranean sea basses, rays); cephalopods geographic position (Velipojë) and of the streams of Adriatic sea, large the lack of Velipojë, scarce technical assistance, and the utilization of (cuttlefishes, squids); shellfishes (grooved carpet shell, “lupino” quantitative potential, rich ingredient for recipes having a high added not controlled fodders, absence of processed (frozen, preserved) clams), tellins, cockles (from the family of Cardiidae), murexes; Fishing tourist value, can originate valuable frozen products, uniqueness of the products , lack of certification, scarce good practices spreading, the 60 lake fish species, belonging to 17 families, prevalently carp of Shkodra Lake, high added sport fishing tourist value, for the lack of targeted finance and credit, lack of advanced training for fish related to carp, grey mullet, eel. mountain rivers brown trout, brown trout has a breeding, artisanal product processing activities, certificastion bred fish rainbow trout, freshwater fish breeding in the management, lack of the total quality rules and principles (mainly for mountains internal marketing), approach, lack of branding:, weak distribution, scarce food education for national and regional consumers Weak associations, lack of relationship with the wild herbs gatherers, Cultivated strawberry, wild strawberry, blueberry, blackberry, Nutritional properties (in particular “berry” fruits are rich in vitamins and and with other farmers, lack of know-how, small quantitative mulberries, raspberry, fruit of strawberry tree, European cornel, antioxidants,), versatility for processing, wild strawberries and ovule production, scarce knowledge and sensitiveness about processing Fruit jams and compotes, preserves in syrup and alcohol, juice, mushroom can furthermore be easily farmed without losing their “wild” opportunities, weak innovation and research, expensive production Forest and distillates; edible boletus, and ovule mushrooms, dried properties., environmental quality of gathering areas, due to the good tools and machineries, lack of laboratories to process products, and mushrooms; small, medium, large chestnuts, dried chestnuts, and clean state of the ground and of the environment in which they lack of packaging.lack of certification, lack of credit services, lack of baked chestnuts, candied chestnuts (“marron glaces”), and grow. gathered fresh fruits, mushrooms and chestnuts can aim at advanced training for farming practices, the lack of training for chestnut flour receiving adequate certifications of quality, safety and organicity. artisanal processing, the lack of training for ISO and HACPP rules management., weakness in market actions (as for the other VC) Basic resource for local food, versatility for processed products, Figs, pears, cherries quinces of Puka, figs (30 varieties), bamia organoleptic properties, uniqueness of several endogenous products typical vegetables, scallion of Drisht, pepper of Oblik, eggplant (quinces of Puka (necessary ingredient of a very valuable local kind of Lack of associations, lack of know-how, the small quantity of Fruit & vegetables of Oblik, potato of Vermosh, bean, garlic (local variety), jam, jam), figs, pears, and cherries, as bamia, scallion of Drisht, pepper of production, endangered germplasms (Vermosh potato) , other juice and dried common varieties of fruit, quince jam, pickled or Oblik, eggplant of Oblik, potato of Vermosh, bean, garlic, not globalised obstacles as for the forest products in brine preserved Drisht scallion still genuine flavours and tastes, in some way recalling the “good” products once present Europe wide, and now disappeared

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Uniqueness of the silver filigree designed to transform virtual pattern Scarce awareness about the potentialities, Loss of the traditional and pictures in actual precious arabesques, “contaminated” eastern- know-how, lack of associations, lack of raw material, such as silver, Handicrafts Necklaces, bracelets, earrings; and small objects of figurative western context, traditional and recognizable know-how of the “artist- cotton and wool, natural paints, lack of packaging, lack of targeted (jewellery, textile) art, Shkodra filigree, textile workers”; the textile handicraft production based on old typical and finance and credit, lack of training for artisanal processing, lack of total traditional variety, fashions and styles, but also in evolution with quality rules and principles, lack of branding, very weak distribution, contemporary and original styles. scarce level of promotion and communications on international scale. Quality, as recognised by foreign brokers and processing factories of Albanian herbs, derived from the characteristics of Shkodra environment and from the possibilities of finding clean and adequate Clover, lavender, gathered and cultivated, mint, mountain soils (mainly in Malësi and Madhe district), extended areas with Herbs savory, “mountain tea” (or “shepherd’s tea”, gathered oregan, abundant wild colonies of herbs farming herbs possible, recognizable Similar to the other agro-food VC (see forest products) sage, thyme. Mediterranean characteristics, mainly for some products, such as thyme, oregano and sage, high levels of biodiversity of some north Albanian areas for clover, mint and lavender, rarity and/or or uniqueness as for mountain savory and “mountain tea”. Geographic position in a South Mediterranean and Balkan are, uniqueness of the rakì of grape and of plum belong to the Balkan Distillates, such as rakì of grape, plum, mulberry, cornel, and heritage of fruit distillates and of the alcoholic infusions belong to north alcoholic infusions of nut, basil, and mint. Similar to the other agro-food VC (see forest products) Liquor Mediterranean tradition and produced without using chemical additives

or artificial aromas, organoleptic properties, peculiar flavour and taste, quality, potential for cefrtification. Massive number of olive plants, main ingredient in order to produce A “common” variety, otable olives, kalinjot Albanian many kinds of food preserves and ready dishes, good germplasms, endogenous olive, frantoio variety (imported from Italy), leccino uniqueness of the kalinjot, endogenous variety, that could originate Similar to the other agro-food VC (see forest products) Olives variety (imported from Italy). Regional processed products of highly competitive mono-variety kalinjot extra virgin oil, frantoio and table olives (produced in artisanal way), and Olive oil. leccino, could originate good mono-variety kinds of extra virgin oil. Coordination for addressing the tourism as an integrated production Many attractors: high mountain, sea, cultural resources, sport The Lonely Planet guide lists Albania as the first attractive Country in system, scarce awareness and valorisation of the attractors, scarce activities. Additional potential attractors can be sport fishing in the world 2011 of Lonely Planet; different kinds of attractors in a presence of agro-tourism activities and bed & breakfast in the rural mountain streams, horse tourism, trekking, “en plein air”, etc. relatively small space, hotels and restaurants in urban areas, additional Tourism areas, low quality of the hospitality infrastructure, Little and weak Hotels and restaurants constitute the hospitality subsystem, potential attractors, potential achievement of adequate tourist quality services, lack of promotion, and guides, lack of waste and water hotels and restaurants mainly in downtown Shkodra certifications. management, lack of public transportation. In Shkodra the typical wine are Kallmet (red and white wine), Uniqueness related to being endogenous, made from good Albanian Wine and the Shesh (Shesh i bardhë, white wine, Shesh i zi, red endogenous grape varieties, also having significant properties of Similar to the other agro-food VC (see forest products) wine) are produced . recognisability, Good environmental conditions (climate and soil) The milks are pasteurized fresh milk, and UHT processed milk. Basic resource for the region, typical peculiarities of the cheeses The cheeses are: Albanian feta, kaçkavall); Vermosh obtained according to traditional recipes and through the utilisation of Similar to the other agro-food VC (see forest products) Milk mozzarella other kinds of “foreign-like” cheese, as ricotta natural rennet, uniqueness of the Albanian feta, kaçkavall and Vermosh cheese, gouda cheese, etc cheeses.

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MAP OF ECONOMIC POTENTIAL IN VLORA (SYNTHESIS)

Value Chain (CV) Resources Competitive advanced Obstacles Lack of internal cohesion and the fragility of the external relationships; too expensive veterinary medicines and the sage bee pasturing; too Good quality of multi- flower honeys which have original smell, taste and expensive production tools and machineries, lack of packaging, scarce flavour and original mixture of flowers, it is recognizable as a knowledge and sensitiveness about processing opportunities; Multi-flower honey (citrus, sage, oregano, mountain savory, Mediterranean product; unpolluted bee wax, pollen, propolis and royal absence of mono-flower honey and the lack packaging for the honey thyme, mint, “mountain tea”); propolis and propolis tincture; jelly, low quantity of medicines used, organoleptic characteristics of, production; obsolete instruments for collecting royal jelly and pollen, Beekeeping royal jelly (small quantities); pollen (small quantities); bee wax environmental conditions, belonging to different ecosystems and, little production of “no Honey” products lack of know – how, weak (small quantities). fortunately, not yet degraded, participation of Vlora Associations to the innovation and research, and lack of laboratories to process products MBF (Mediterranean Beekeeping Forum. are serious obstacles for the no-honey products, the lack of certification, lack of branding, weak distribution, high prices, scarce level of promotion and communications on international level Uniqueness of its syncretism, due to the strong interaction among Lack, of a shared awareness about the potentialities of the Culture ancient endogenous, ancient Greek, ancient Roman, medieval, western Roman settlement, megalithic altar, ruins of a temples, system, cultural heritage considered only accretion to the general (old Venetian and European) and eastern (both Turkish Ottoman and fortresses, castles, mosques, monasteries, churches, potential of tourist attraction, cultural goods are scarcely taken in “old regime soviet”), Christian (Catholic, Orthodox, Protestant) and Museums, Galleries, Libraries, ficurative artists (firts of all the consideration as the main cores of new enterprises lack of cohesion Muslim heterogeneous cultural elements, original urban-architectural masterpieces of Zequir Alizoti), places of culture, cultural among cultural actors belonging to different fields of the rich local heritage, (castles and fortresses, churches and mosques, etc.), very rich Culture heritage, of the Albanian traditional iso-polyphony and Laberia, cultural whole, scarce representation of Shkodra cultural world, lack of archaeological heritage region wide, artistic production, tradition of iso technical-scientific and humanistic institutions Universities, a strategic management of the system, micro dimension of cultural polyphony), humanistic and technical-scientific institutions, cultural Centre of production and diffusion of rural productive culture enterprises scarce knowledge diffusion, lack of a good external Associations, knowledge about historical objects, through many (the DBUMK, and works of human creativity. marketing, research activities, significant existence of interactions among cultural

and culturally oriented subjects Cods (hakes), mullets (mud mullets and rock mullets, blue fish Basic local food resource and for Vlora gastronomy, and added value Very old boat engines, absence of processing lack of of ISO rules and (sardines, anchovies, mackerels); others species of sea fish for tourism, quality, valuable organoleptic characteristics, , large control the HACCP rule introduction, weak services, lack of targeted (sea breams, Mediterranean sea basses, rays); cephalopods quantitative potential, , can originate valuable frozen products, finance and credit, lack of advanced training for fish breeding, for (octopus, horned octopus, cuttlefishes, squids), crustaceans uniqueness of the carp of Shkodra Lake, Excellency for . octopus, artisanal product processing activities, and for ISO and HACCP rules Fishing (shrimps, langoustines octopus, European lobster, spiny shrimps, crustaceans,; the sardines, the anchovies, and the mackerels management, lack of total quality approach, lack of branding lack of lobster), shellfishes (grooved carpet shell, “lupino” clams, can be easily processed, and preserved naturally or in vegetable oil; promotion on domestic and regional markets, scarce food education tellins, cockles from the family of Cardiidae, murexes); sea through artisanal processes, very valuable food preserves can be for national and regional consumers breams and Mediterranean sea basses obtained. Individual production, lack of associations, lack of external relationships, not controlled grazing areas; forage and fodders; lack of slaughterhouses; lack of know-how in processing; weak innovation The fresh products present in the region are: bovine meat, Traditional know-how applied in producing beef meat preserves; and research; lack of laboratories to process products; lack of sheep and goat meat, and poultry meat. traditional ways of breeding sheep; potential for small ruminant packaging., lack of certification: scarce spreading of good practices; Meat The processed products are traditional handmade meat development, supported by a UNDP Project. weak service, lack of targeted finance and credit, lack of advanced preserves (salt preserved beef meat). training for farming practices, artisanal processing, ISO and HACPP , lack of total quality approach, lack of branding lack of promotion on domestic and regional markets, scarce food education for national and regional consumers Quality of milk, when it is produced by cows, sheep and goats feeding with natural forages or natural grazing, recognisable peculiarities of Milk Fresh milk and dairy, with particular reference to he kaçkavall endogenous cheeses like Albanian feta and kaçkavall could be very As for the other agro food value chains (see herbs) valuable and appreciable products for skilled consumers; the Albanian feta cheese and the kaçkavall cheese have their own

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Scarce awareness about the potentialities considered as a mere accretion to the general potential of tourist attraction (souvenirs) o consideration as potential for new enterprises, the lack of Wrought iron art, handmade textile products, made of natural Unique representation of the cultural syncretism of the region (ancient protection of the old design, lack of associations, lack of raw raw materials and embody territorial identity value. Greek, Roman, European, Turkish Ottoman); uniqueness of the material, as cotton and wool, natural paints, lack of packaging, Handicrafts Wool: carpets (kilims, rugs, mats, knotted carpets), bags. traditional and recognizable know-how of Vlora “artist workers”. lack of targeted finance and credit, lack of training for artisanal Cotton: artisanal coats, embroidery. processing, lack of total quality rules and principles, lack of branding, very weak distribution, scarce level of promotion and communications on international scale. Lack of associations, lack of know-how; small quantities of products, scarce knowledge and sensitiveness about processing Excellent properties of fresh and dried herbs and their essential oils, the opportunities; weak innovation and research; expensive tools and Vlora environment: clean and adequate soils not yet contaminated, machineries; lack of laboratories to process products; lack of many extended areas, belonging to different ecosystems with abundant Mint; mountain savory; “mountain tea” (or “shepherd’s tea”; packaging, lack of certification, scarce spreading of good wild colonies of herbs; recognizable Mediterranean characteristics, oregan; sage; thyme practices; weak support, lack of targeted finance and credit, lack of Herbs mainly for some products, such as thyme, oregano and sage; high advanced training for farming practices, artisanal processing, ISO levels of biodiversity; uniqueness and typicality as for mountain savory rules management, HACCP rules management, lack of approach, and “mountain tea”. lack of branding, weak distribution, scarce promotion and

communications on international scale; lack of food education for national and regional consumers. Organoleptic characteristics, excellency for the alcoholic infusions, Distillates, such as rakì of grape and plum, and alcoholic thanks to a processing skill spread region-wide; recognizable because Liquor infusions of lemon and mint. of the typical Mediterranean essences (lemon, mint), and extracting only Similar to the other agro-food VC (see erbs) natural essences, without using chemical additives or artificial aromas, strong Balkan heritage of fruit distillates, potential for certification Massive number of olive plants, main ingredient in order to produce Generally similar to the other agro-food VC (erbs), and specifically A “common” variety, otable olives, kalinjot Albanian many kinds of food preserves and ready dishes, good germplasms, bad quality olive milling plants, low quality of the oil, not correctly endogenous olive, frantoio variety (imported from Italy), leccino uniqueness of the kalinjot, endogenous variety, that could originate managed presence of common Italian frantoio and leccino Olives variety (imported from Italy); regional processed products of highly competitive mono-variety kalinjot extra virgin oil, frantoio and varieties, that could endanger the real competitive endogenous table olives (produced in artisanal way), and olive oil. leccino, could originate good mono-variety kinds of extra virgin oil. resources of the value chain Richness of the environmental attractors, due to the presence Coordination for addressing the tourism as an integrated of many ecosystems, and cultural potential, additional attractors The Lonely Planet guide lists Albania as the first attractive Country in production system, scarce awareness and valorisation of the as horse tourism, trekking, “en plein air” tourism, underwater the world 2011 of Lonely Planet; richness of environmental and cultural attractors, scarce presence of agro-tourism activities and bed & Tourism and snorkelling activities, etc, hotels and restaurants, attractors, potential attractors for horse tourism, trekking, “en plein air”, breakfast in the rural areas, massive presence of hotels and production subsystem is quite relevant, since all the value etc., good hotels and restaurants, many productive value chains with restaurants in Saranda low quality of the hospitality infrastructure, chains analysed in this document are related to tourism typical goods (honey, herbs, wine, handicrafts, fruit & vegetables, etc.) little and weak services, lack of promotion, and guides, lack of interests waste and water management, lack of public transportation. In Vlora the typical wine are Kallmet (red and white wine), and Uniqueness related to being endogenous, made from good Albanian Wine the Shesh (Shesh i bardhë, white wine, Shesh i zi, red wine) endogenous grape varieties, also having significant properties of Similar to the other agro-food VC (see erbs) are produced. recognisability, Good environmental conditions (climate and soil)

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