The free trade offers the possibility of entering larger markets, which is a vital necessity for Moldova’s economy, but this requires increased competitiveness on the home and foreign markets, shows the 2012 National Human Development Report, titled “European Aspirations and Human Development of the Republic of Moldova”, Info-Prim Neo reports. The butter, patisserie products, cakes, food products, sugar and confectionery are among the most sensitive agrifood products if the trade with the EU is liberalized, said the report authors. At the same time, the corn, grapes, fruit and cow skins are the most competitive products of Moldova. The wine industry is essential both from the economic prospect and from the human development one as it offers employment opportunities, especially in small towns and in rural areas. The authors say bold policies are needed in order to increase competitiveness in the most important sectors of the Moldovan agrifood sector. Analyzing the competitive impact of the Deep and Comprehensive Free Trade Area on industry, the report says that this sector is much more integrated in the commercial flows with the EU than the agrifood one. Moldova seems to be more competitive in five main industrial sectors, compared with the European partners, namely: textiles; tissues and similar products; metal processing; furniture, bedclothes, mattresses; clothes and footwear. The simulations performed by the authors of the report show that the institution of the Deep and Comprehensive Free Trade Area between Moldova and the EU has a net positive effect, representing thus the most recommended solution for modernizing the Moldovan economy based on modern technology and innovations and for realizing its competitive potential. The 2012 National Human Development Report, commissioned by the United Nations Development Program (UNDP) in Moldova, was developed by the Independent Analytical Center “Expert-Grup”.