Competitive Abilities of the Bulgarian Food Industry in terms of European Integration

Ts. Kovacheva, I. Petrova, N. Malamova

Abstract: In the study aims to assess the competitive positions and abilities of the Bulgarian food industry in terms of integration. It is based upon criteria and indicators, featuring the foreign trade with sector products at the world and European markets and sectoral efficiency of production and marketing used statistical indicators for foreign trade sector in the Combined Nomenclature and Structural Business Statistics (SBS). Evaluate the results achieved by the Bulgarian food industry accepted indicators of SBS in terms of average EU-27 levels in individual member states. The analysis is based on statistical data and analytical indicators for 2006-2010. The data sources are NSI and Eurostat. The investigation results show comparative competitive advantages of the food industry in the national economy. The industry exhibits highest economic activity during the four years, following the accession of the country to the EU. The sales at the international and European markets increased considerably, which justifies a successful integration and good competitive abilities of the Bulgarian food industry. In the European food industry, Bulgarian are insignificant, produces more small businesses to the average and the lowest labor productivity. Its competitive advantages in the European market due primarily to lower labor costs in the unit and consequently the higher efficiency of production and marketing. This factor in a single labor market does not have advantages in the long run. The industry delays concerning the size and efficiency of the investments, which slows down the mechanization and automation of the labor processes and detains the increase of the labor productivity.

Keywords: competitive abilities; Euro-integration; European market; food industry

Date published: 2018-01-31