The Ministry of Economy considers that the choice between the regional and rural development and agriculture as Moldova’s priority in putting to good use the EU assistance is a false dilemma. Therefore, the Ministry proposed including the fourth priority in the preliminary EU assistance strategic framework for 2014-2017 – development of competitive agriculture. Economic expert Alexandru Fala has told IPN that such a move is welcome as it will lead to the improvement of the situation in the agricultural sector.
Agriculture experiences serious problems and will have to be prepared for the possible coming into force of the Association Agreement with the EU, which envisions the gradual liberalization of the Moldovan market for European products. “This proposal plays the role of a pillow that would offset the effects of the liberalization of the market for European products,” stated Alexandru Fala.
The Moldovan business sector faces constraints that affect agriculture too. There are also specific problems that should be solved. The first problem is organizational - in order to develop the sector, the land should be consolidated. The second problem is the fact that our agriculture is very dependent on weather conditions. The expert considers that we must develop the irrigation infrastructure and have storehouses where to keep the harvest when it is very good.
“Competition is another problem. The possibility of foreigners purchasing land in Moldova should be considered. In different countries, there is a different approach to this issue,” said Alexandru Fala.
The expert hopes that the Association Agreement with the EU will be signed as this will join the influence of the foreign factor for Moldova to do reforms quicker and more seriously. “It depends a lot on the governors. Unfortunately, the political class is the most serious obstacle to the country’s development. After the accord is signed, the politicians will be pressurized into doing something for the country’s benefit,” stated Alexandru Fala.
The development of competitive agriculture will be added to the three priorities identified earlier, namely: public administration reform; regional and rural development, and police reform and border management. The Ministry of Economy said that if the proposal to include one more priority is not accepted, one of the three priorities should be renamed regional development, rural development and agriculture.
According to the authorities, agriculture and the raw material processing industry play an important role in the formation of the GDP. Over the last few years, they accounted for 18-19% of it.
