World Grain - November 2009 - 22

COUNTRYFOCUS

Focus on
Bulgaria
Former communist nation has yet
to reach its vast potential as an
agricultural producer
by Chris Lyddon

Few countries have seen as much change in so short a time
as Bulgaria. From a communist-run nation of southeastern Europe, it has gone, in the space of 20 years, to being an E.U.
member state with a fast growing economy. The same period
has brought major changes for its predominantly arable farming sector.
The International Grains Council (IGC) put Bulgaria's total
grains crop in 2009 at 5.5 million tonnes, compared with 6.4 million in 2008, noting that early summer rains had adversely affected quality in 2009. It put the Bulgarian wheat crop in 2009 at
3.5 million tonnes, compared with 4.4 million in 2008. Bulgaria's
maize crop is unchanged at 1.2 million tonnes, with barley at
800,000 compared with 700,000 in 2008.
Cereals and oilseeds play a dominant role in Bulgarian agriculture. According to information supplied to World Grain
by the European Commission in 2004, 58% of arable land was
used for cereal production in 2004,
ROMANIA
with 19%, or 600,000 hectares, used
for oilseeds.
YUGOSLAVIA
According to the Commission, the
BULGARIA
largest farms specialize mainly in cereals and industrial crops (mainly sunMACEDONIA
TURKEY
flower). The 2003 census showed 54%
of the cereals area and 58% of the industrial crop area as being on large farms.
The same data also showed that cooperatives grow
almost 42% of cereals and 47% of oilseed crops.
What it calls "agro-companies" grow 17% of cereals and 18% of oilseeds.
It identifies a productivity problem caused by
a low level of mechanization, as well as the use of low quality
seeds and poor varieties and poor management. Because machinery was in short supply, labor productivity was low. In 2004
there were 32,000 tractors and 10,000 harvesters in Bulgaria
22

Key Facts
Capital: Sofia
Population: 7,204,687 (July 2009 est.)
Religions: Bulgarian Orthodox 82.6%, Muslim 12.2%,
other Christian 1.2%, other 4% (2001 census).
Location: Southeastern Europe, bordering the Black Sea,
between Romania and Turkey.
Government: parliamentary democracy. Chief of State:
President Georgi Parvanov. Head of Government: Prime
Minister Boyko Borissov
Economy: Bulgaria, a former Communist country that
entered the European Union (E.U.) on Jan. 1, 2007,
has experienced strong growth since a major economic
downturn in 1996. Successive governments have
demonstrated a commitment to economic reforms and
responsible fiscal planning, but have failed so far to rein in
rising inflation and large current account deficits. Bulgaria
has averaged more than 6% growth since 2004, attracting
significant amounts of foreign direct investment, but
corruption in the public administration, a weak judiciary,
and the presence of organized crime remain significant
challenges.
GDP per capita: $12,900 (2008 est.); Inflation: 12.3%
(2008); unemployment 6.3% (2008).
Currency: Lev (BGN). Leva per U.S. dollar: 1.31047 (Oct.
15, 2009).
Exports: $22.51 billion (2008 est.): clothing, footwear,
iron and steel, machinery and equipment, fuels.
Imports: $34.88 billion (2008 est.): machinery and
equipment; metals and ores; chemicals and plastics; fuels,
minerals, and raw materials.
Major crops/agricultural products: Vegetables, fruits,
tobacco, wine, wheat, barley, sunflowers, sugar beets;
livestock.
Agriculture: 7.3% of GDP and 7.5% of the labor force.
Internet: Code. .bg; 513,470 (2008) hosts and 1.899
million (2007) users.
Source: CIA World Factbook

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