Agricultural Development and Policy for the Period 1989-2010

R. Popov

Abstract: The article’s aim is to analyze the processes in agriculture on the base of the overall economic country development and from the point of view of its place in the national economy and of the led sector policy as an important starting point for the future development priorities in this sphere. In this period, the share of agriculture, forestry, hunting and fishery in the GVA decreases up to 5,3%, keeping at the same time the high employment share – 20,3%.. Nevertheless, agriculture remains a significant national economy sector, especially having in view its contribution to the employment and the incomes in the crisis years. In addition, the economic activity in the sector is still basic for rural areas economy and has a crucial importance for the natural resources and natural environment preservation. At the beginning of the period – up to 1997, despite of the inconsistent sector policy, preconditions for agricultural production have been created, based on a private ownership of the land and other assets. Economic measures are characterized by short-term purposes prevailing, related to the guaranteed population access to food products through prices suppression. The chaotic price and foreign-trade policy has decreased the interest to the agriculture and has deepen the production decline. After 1997 the macroeconomic stabilization, the full price liberalization and the more consistent foreigntrade policy improved the agricultural development conditions. The institutional development and SAPARD implementation have allowed the gradual integration of Bulgarian agriculture in the European one. In the crisis period after 2008, agriculture has become a stabilizing factor for Bulgarian economy. At the present stage, the agricultural policy of the country is in front of new challenge – to realize the agricultural potential to the benefit both of producers and consumers.

Keywords: agricultural policy; economic and agricultural development

Date published: 2018-02-15