SUPPORTING FARMERS IN NORTH MACEDONIA AND SERBIA TO IMPLEMENT GLOBAL GAP STANDARDS
Despite substantial potential, agricultural production in the Western Balkan countries tends to be characterized by small and scattered production plots, below-optimal productivity, and significant variations in product quality. As a result, small farmers face challenges positioning themselves as reliable exporting partners due to the lack of certificates of quality on the production level — for example, the Global Good Agriculture Practices (GAP).
The Macedonian Association of Agriculture Cooperatives (MAAC), a grantee of the USAID Economic Development, Governance, and Enterprise Growth (EDGE) project, and their partners, the Unions of Agricultural Cooperatives from Vojvodina and South Serbia, assisted farmers in adopting Global GAP standard that will improve their productivity, standardize their production practices and increase farmers’ income generation and export prospects in the long term.
Agricultural cooperatives (AC) serve an essential role in aggregating the production of small farmers and providing them with opportunities for a group Global GAP certification at an affordable price. MAAC supported 12 apple and peppers producers from North Macedonia and Serbia to attain the Global Gap quality standard, either as individuals or as a group on a cooperative level. Adopting this standard will enable the producers of apples and peppers to offer products to more sophisticated and higher-margin markets.
Additionally, the Global GAP standard means sustainable agriculture through the responsible use of pesticides and environmental protection. One of the certified ACs’ is Krani from Resen, North Macedonia. The 29 members of AC Krani are the country’s most prominent apple producers, they own over 120 hectares of an orchard, and have an annual production of 4,500 tons. Their products end up in schools and kindergartens across the country and on domestic green markets, as well as exports to Bulgaria, Montenegro, and Bosnia and Herzegovina.
“With the Global Gap certification process, all practices from the standard are applied, which helps us achieve better quality and safety of the apples. Additionally, the markets are becoming increasingly demanding, and the sale of apples is more challenging; therefore, this certificate can help us bring our apple production closer to the European markets,” noted Ljube Pampulevski, Manager of AC Krani.
Another AC certified with Global GAP is Krsturska Paprika from Ruski Krstur, Serbia, whose members specialize in growing, selling, and exporting vegetables. They have about 450 hectares of farming land and sell their produce in Serbia and European Union (EU) countries. They also value the certification’s benefits. “The Global GAP certificate will provide us opportunities to better compete on the EU market and expand the current sales opportunities,” said Zeljko Oros, Manager of Krsturska Paprika AC.
In addition, study visits were organized for the agriculture cooperatives from the two countries to learn from the best practices in European countries. Representatives of seven apple producer cooperatives from North Macedonia and Serbia had a study visit in Trento, Italy, in November 2022. Participating in apple farmers and cooperatives learned about the specifics of apple production in Italy, particularly post-harvest activities, storage, and packaging. Attendees learned about sustainable economic cooperation models for cooperatives and producer groups and leading consortiums of mutual business cooperations. One of the participants in this study visit was the agricultural cooperative “Granichar” from Shid, Serbia. Their agricultural production is primarily fruits and crops on about 2,300 hectares of land, of which 80 hectares are fruits. Granichar sells on domestic and foreign markets. “The participation in the study visit to Italy was a valuable source of good practices that will improve production sophistication. We have an excellent opportunity to replicate the positive practices and experiences of successful agricultural cooperatives from the EU and to enhance the competitiveness and profitability of our agricultural cooperative,” said Nenad Mishljenkovikj from AC Granichar.
In January 2023, a study visit for the peppers producers and cooperatives was held in Szentes, Hungary. Representatives of seven pepper producers and cooperatives from the two countries learned from their colleagues in Hungary about pepper production, emphasizing production and post-harvest activities. Additionally, the participants learned from best practices how cooperatives could create better conditions to support their members. By striving to create value with their reliably sourced products, they are laying the foundations for a greener and more sustainable future. The AC Vegefresh from Strumica, North Macedonia, was one of the participants in this study tour. They produce greenhouse vegetables, mainly peppers, cabbage, and tomatoes. The cooperative has 20 members and owns 25 hectares of agricultural land and 2.5 hectares of leased state land intended to construct a distribution center, seedling production, and processing of farm products. Dragi Pamukov, Manager of AC Vegefresh, said, “Our presence on the study visit to Hungary has shown us a clear goal of where to move forward and what our vision should look like, especially what we have seen is a top-notch experience of pepper production. The study visit will improve our production practices due to sharing newly gained knowledge and experience. We are grateful for our study visit and the opportunity to learn from best European practices.”
To further support the ACs’ and producers and increase visibility and representation among the stakeholders, the Public Advisory Board of MAAC developed policy recommendations and submitted them to the Ministry of Agriculture, Forestry and Water Economy of North Macedonia. As a result, the Ministry confirmed eligibility for additional financial support for farmers who are members of agricultural cooperatives that apply for government support programs. In December last year, the Ministry released the draft Program for support of the development of ACs for 2023, where the Serbian model of support and stimulation of agricultural cooperatives was replicated as a successful model, introducing the mechanism of sub-granting schemes intended for the development and strengthening of newly formed and already existing cooperatives. The Program is expected to be adopted next month and to be implemented in the forthcoming period.
This knowledge attained during the study visits and the experience exchange will result in improved production sophistication for the apple and peppers cooperatives and provides an excellent opportunity to replicate the good practices and the practical experience of successful agricultural cooperatives from the EU countries. North Macedonia and Serbia agricultural cooperatives will also benefit from improved competitiveness, new market linkages, and increased profitability.