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Strategic Plan for Rural Development of Bosnia and Herzegovina (2018-2021) Framework Document

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Strategic Plan for Rural Development of Bosnia and Herzegovina (2018-2021) Framework Document STRATEGIC PLAN FOR RURAL DEVELOPMENT OF BOSNIA AND HERZEGOVINA (2018-2021) FRAMEWORK DOCUMENT Strategic Plan for Rural Development of BiH Table of Contents ABBREVIATIONS AND ACRONYMS ............................................................................................ VI 1. INTRODUCTION ............................................................................................................................ 1 2. ANALYSIS OF THE CURRENT SITUATION IN THE SECTOR ............................................... 4 2.1. IMPORTANCE OF AGRICULTURE IN THE BIH ECONOMY ......................................................... 4 2.2. NATURAL RESOURCES AS THE BASIS OF AGRICULTURAL PRODUCTION................................. 5 2.3. FORESTRY .............................................................................................................................. 8 2.4. AGRICULTURAL PRODUCTION ................................................................................................ 9 2.4.1. Plant production ....................................................................................................... 9 2.4.2. Livestock production ............................................................................................... 11 2.5. EQUIPMENT LEVEL OF AGRICULTURAL HOLDINGS .............................................................. 15 2.6. FISHERIES ............................................................................................................................. 15 2.7. ORGANIC AND INTEGRATED FARMING ................................................................................. 16 2.8. MEDICINAL, AROMATIC AND WILD HERBS ........................................................................... 17 2.9. EFFICIENCY AND COMPETITIVENESS OF AGRICULTURAL PRODUCTION ............................... 18 2.9.1. Efficiency of agricultural production ...................................................................... 18 2.9.2. Average yield generated ......................................................................................... 18 2.9.3. Import to export ratio .............................................................................................. 19 2.10. FOOD INDUSTRY ................................................................................................................... 19 2.11. FOREIGN TRADE ................................................................................................................... 20 2.11.1. Trade of important groups of agricultural and food products ................................ 21 2.11.2. Important BiH foreign trade partners in the sector of agricultural and food products................................................................................................................................ 22 2.11.3. Market infrastructure .............................................................................................. 22 2.12. AGRICULTURAL PRODUCERS ................................................................................................ 23 2.13. POLICY, LEGAL AND INSTITUTIONAL ENVIRONMENT ........................................................... 24 2.13.1. Legal environment .................................................................................................. 24 2.13.2. Budgetary transfers for agricultural policy ............................................................ 27 2.13.3. Institutional environment ........................................................................................ 30 2.13.4. BiH in international and regional trade and economic integrations ...................... 31 2.13.5. Educational and scientific-research institutions in agriculture sector ................... 32 2.13.6. Extension services in agriculture ............................................................................ 32 2.14. FINANCING OF AGRICULTURE .............................................................................................. 33 2.15. SOCIAL AND ECONOMIC ASSESSMENT OF THE STATE OF PLAY IN RURAL AREAS ................ 33 2.15.1. Income sources........................................................................................................ 34 2.15.2. Rural infrastructure ................................................................................................ 34 2.15.3. Demographic situation ............................................................................................ 34 2.16. AGRO-ENVIRONMENTAL CONDITIONS ................................................................................. 35 2.16.1. Degradation of land and water management ......................................................... 35 2.16.2. Waste management ................................................................................................. 35 2.16.3. Agro-environmental policy ..................................................................................... 35 2.16.4. Biodiversity and animal and plant genetic resources ............................................. 36 2.16.5. Products with protected geographical origin, indigenous and traditional products .......... 37 Page iii Strategic Plan for Rural Development of BiH 2.17. GENDER EQUALITY .............................................................................................................. 37 2.18. DONOR SUPPORT .................................................................................................................. 38 3. SUMMARY SWOT ANALYSIS .................................................................................................. 40 4. STRATEGIC VISION ................................................................................................................... 45 5. STRATEGIC GOALS AND MEASURES .................................................................................... 45 6. STRATEGIC MEASURES ............................................................................................................ 50 6.1. DIRECT SUPPORT TO AGRICULTURAL PRODUCERS ............................................................... 50 6.2. SUPPORT FOR INVESTMENTS FOR AGRICULTURAL ENTERPRISES, PRODUCER GROUPS & PROCESSORS ......................................................................................................................... 51 6.3. SUPPORT FOR VOCATIONAL TRAINING, KNOWLEDGE DEVELOPMENT & ACQUISITION OF ADVICE & INFORMATION ...................................................................................................... 53 6.4. SUPPORT FOR THE RURAL INFRASTRUCTURE DEVELOPMENT AND IMPROVEMENT OF AVAILABILITY OF SERVICES TO RURAL POPULATION ........................................................... 55 6.5. SUPPORT FOR DIVERSIFICATION IN RURAL AREAS ............................................................... 57 6.6. SUPPORT FOR DEVELOPMENT OF PUBLIC FOOD SAFETY AND AGRI-FOOD QUALITY INFRASTRUCTURE AND SERVICES ......................................................................................... 58 6.7. SUPPORT FOR VETERINARY AND PHYTOSANITARY SYSTEMS AND SERVICES ...................... 61 6.8. SUPPORT FOR ORGANIC PRODUCTION, ENVIRONMENT PROTECTION & REDUCING THE IMPACT OF CLIMATE CHANGE .............................................................................................. 63 6.9. SUPPORT FOR DEVELOPMENT OF ADMINISTRATIVE SECTOR AND DATA SUPPORT SERVICES ............................................................................................................................................. 66 6.10. SUPPORT FOR DEVELOPMENT OF INSTITUTIONAL MANAGEMENT CAPACITIES .................... 67 6.11. CROSS-CUTTING INITIATIVES ............................................................................................... 69 7. INDICATIVE ACTION PLAN ..................................................................................................... 71 8. INDICATIVE BUDGET FRAMEWORK (2018-2021) ................................................................ 76 8.1. TOTAL BUDGETARY ALLOCATIONS ...................................................................................... 76 8.2. BUDGETARY ALLOCATIONS PER OBJECTIVES ...................................................................... 77 Page iv Strategic Plan for Rural Development of BiH List of Tables Table 1: Structure of arable land in BiH, Entities and BD BiH, year 2015 (in 000 ha) .......................... 6 Table 2: Number of livestock units in Bosnia and Herzegovina, Federation BiH and Republic of Srpska, 2015 (in 000) ............................................................................................................... 12 Table 3: Comparative overview of average yields in BiH Entities, neighboring countries and the EU (2006-2014 average) .......................................................................................................... 18 Table 4: Share of agriculture & food products in total BiH foreign trade (2006-2015), millions (BAM) ...................................................................................................................................... 20 Table 5: Overview of budget allocations for agriculture and rural areas, FBiH, RS BD BiH and BiH, (2006-2015 period), in millions (BAM) .................................................................................. 27 Table 6: SWOT analysis ....................................................................................................................... 40 Table 7: Indicative action plan .............................................................................................................
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