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Green Report 2014 GREEN REPORT 2014 December, 2014 Preface Agriculture and rural development are key sectors that can contribute significantly to the overall economic development of the country. Agriculture and rural diversification are two sectors that offer Kosovo real opportunities in poverty alleviation, creating new jobs and generating income for residents in rural areas. MAFRD through policies and development strategies is oriented in supporting production factors, in stimulating farmers and creating a more favorable developmental environment. These policies and strategies are creating opportunities to achieve sustainable development and a more efficient use of natural resources. The development of the agricultural sector plays a special role in improving the trade balance, reducing unemployment, food safety, environmental protection and the improvement of people's lives in general. Therefore, the agricultural sector remains a key priority for the Government. This is the second edition of the Green Report to be issued by the Ministry of Agriculture, Forestry and Rural Development, which presents a detailed overview of the agricultural sector and situation of rural areas in Kosovo. In particular it reflects the structural changes in this sector including policies and support programs that are being implemented by the Ministry of Agriculture, Forestry and Rural Development to intensify agricultural development and raise living standards in rural areas. This report combines many dimensions of agrorural sector, including foreign trade, food safety, organic farming, loans and other economic elements which create an information-rich platform. This document is not only evidence of the work done by the Ministry of Agriculture, Forestry and Rural Development but also of its genuine collaboration with other actors involved in its compilation. Therefore, while recognizing the importance of the Green Report of Kosovo, we will continue to work towards the continuous update of the necessary information required for its yearly publication. Kapllan Halimi Sekretar i Përgjithshëm Kosovo Green Report 2014 Ministry of Agriculture, Forestry and Rural Development, Pristina 2014 Introduction This is the second edition of annual Green Report of the Republic of Kosovo which presents an overview of developments in sectors whose development is being promoted by the Ministry of Agriculture, Forestry and Rural Development. The Kosovo Green Report is a product of cooperation between different MAFRD departments and agencies as well as other organisations. Also, the Steering Committee (SC) plays a key role in the distribution of responsibilities regarding the content of the report through the contributions of departments and their respective agencies. Its members were the heads of MAFRD Departments: Ekrem Gjokaj, Isuf Cikaqi, Sebahate Haradinaj, Tahir Halitaj, Tahir Ahmeti, Bekim Hoxha, Shefki Zeqiri, Shqipe Dema; cabinet of the Minister, Peonare Caka; Head of the Paying Agency Mr. Elhami Hajdari; Head of the Food and Veterinary Agency Mr. Valdet Gjinovci, respectively Fillojeta Rrustemi; Head of the Agricultural and Environmental Department from the Kosovo Agency of Statistics, Bajrush Qevani, representative from Ministr of Trade and Industry, Arjeta Islami. The Economic and Statistical Analyses Departament (Skender Bajrami, Belgin Dabiqaj, Mediha Halimi, Delvina Hana, Adelina Maksuti, Donjeta Pozhegu, Hakile Xhaferi, Edona Mekuli, Shkëlqim Duraku) has prepared the main part of the report, coordinated by Ekrem Gjokaj and supported by the Secretary General Mr. Kapllan Halimi and the TAIEX expert Mr. Martin Knipert and Stephan Leeds for proof reading it. A valuable contribution in the preparation of this report was given by the Austrian Expert Mr. Karl Ortner. On this occasion we would like to thank him for the support given in all preparation stages of the Green Report 2014. Note that in the publication of the report for 2013, The Agricultural Household Surveys by KAS did not provide data for some products therefore again DEAAS has replaced them with estimates which are displayed in italics. The data on trade in some cases differ from the last edition’s data because of harmonisation with the data from all institutions involved in this field: Statistical Office of Kosovo, Kosovo Custums and Ministry of Trade and Industry. This is a result of countinuig work with the expert engaged from TAIEX. Ekrem Gjokaj, PhD. Diretor of Departament for Economic Analysis and Agricultural Statistics 2 Table of contents INTRODUCTION ................................................................................................................................. 2 TABLE OF CONTENTS ...................................................................................................................... 3 LIST OF TABLES ................................................................................................................................. 4 LIST OF FIGURES ............................................................................................................................... 8 LIST OF ABBREVIATIONS ............................................................................................................... 9 1 SOURCES AND INPUTS .......................................................................................................... 12 1.1 Overall economic environment.......................................................................................................... 12 1.1.1 The level of socio-economic development .......................................................................................... 12 1.1.2 Work and employment ........................................................................................................................ 15 1.1.3 Land use ............................................................................................................................................... 17 1.2 Inputs and investments in the primary sector.................................................................................... 20 1.3 Farm structure ................................................................................................................................... 25 2 AGRICULTURAL PRODUCTION AND ITS USE ................................................................ 26 2.1 Gross Domestic Production in the agricultural and forestry sector .................................................... 26 2.2 Cereals ............................................................................................................................................... 28 2.3 Vegetables ......................................................................................................................................... 30 2.4 Fruits and wine .................................................................................................................................. 35 2.5 Forage crops and green cereals .......................................................................................................... 43 2.6 Cattle ................................................................................................................................................. 45 2.7 Sheep and goats ................................................................................................................................ 47 2.8 Pigs and other farm animals .............................................................................................................. 48 2.9 Poultry ............................................................................................................................................... 49 2.10 Fisheries and Aquaculture ................................................................................................................. 50 2.1 Beekeeping ........................................................................................................................................ 52 3 FORESTRY ................................................................................................................................. 54 4 CONSUMPTION, TRADE AND MARKET PRICES ............................................................ 62 4.1 Consumption trends .......................................................................................................................... 62 4.2 Trade ................................................................................................................................................. 64 4.3 Prices in the value chain .................................................................................................................... 79 4.4 Food safety and quality ..................................................................................................................... 82 5 POLICIES, DIRECT PAYMENTS IN AGRICULTURE AND RURAL DEVELOPMENT SUPPORT ........................................................................................................................................... 90 5.1 Overview of aims, programmes, measures, budget, grants and subsidies ......................................... 90 5.2 Amount and distribution of direct payments ..................................................................................... 94 5.2.1 Direct payments for crops ................................................................................................................... 95 5.2.2 Direct payments for the livestock sector ..........................................................................................
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