of the Republic Moldova
Strategic priorities for the activities of the Ministry of Agriculture and Food Industry of the Republic of Moldova in the years 2011 – 2015
Table of contents
Introduction
1.Food Safety strategy for the Republic of Moldova 2011 – 2015
1.2.Food Safety Strategy Objectives for the Republic of Moldova
1.3.Programme of priority actions to achieve objectives of the strategy
2.Restructuring and modernisation of the wine sector.
2.1.The current situation in Moldova
2.2.The challenges
2.3.Specific goals
2.4.Ministerial approach to the sectoral development
2.5.European Investment Bank loan
3.Development of modern market infrastructure and imports substitution
3.1.Project objectives.
3.2.Project Description.
Project site (placement)
Facility description
Project’s Beneficiaries.
Project Initiator.
Implemented and planned actions.
Project Partners.
Financing & Governmental Support
Project Implementation Terms.
Conclusions & Next Steps.
4.Conservative Agriculture (No-Till).
Background
Programme objectives
Component II - creating conditions for implementation of modern growing technologies and know how in agriculture.
5.Milk and meat production sector
Background
Current Assessment
Strengths
Weaknesses
Milk Development Considerations
Animal Nutrition
Animal Housing
Genetics
Profitability
Processors
Objectives
Milestones
Meat Production
Livestock
Household production.
6.Support development of renewable energy production from agricultural raw materials.
6.1.Introduction
6.2.The current context
6.3.General and specific objectives
6.4.Ways and means of achieving objectives in the recovery potential of biomass
6.5.Estimating the impact
6.6.Expected results and indicators of progress
6.7.Implementation Stages
7.Reorganisation of the education and research in agriculture, consolidation of the agricultural extension services.
8.Reorganization of the agricultural subsidy system to support the implementation of policies for modernization of strategic sectors.
9.Basic information systems to support the functioning of the food chain.
Introduction
Objectives
Context
Benefits
E-Traceability subsystem
Integrated information system for the management of activity of Phytosanitary Authority
10.Support the development of High Value Agricultural Production.
10.1.Fruit and vegetables
Current situation
Program Objectives
Determination of fruit-growing areas
Fruit plantations productivity
Deforestation plantations
Improving varieties
Nurseries
Fruit plantations
Vegetable production
Introduction
The years 2011 and 2015are a period of huge changes in the agricultural sector of Moldova. The need for these changes is due to many factors which can be divided into internal and external:
- Internal - resulting from circumstances and developmental needs of our country
- External - resulting from the deepening economic integration with the European Union and the developments in worldwide trade.
The first group of factors is the result of a deep structural transformation of the economy of Moldova. The transition to a market economy, especially in agriculture has forced the need to implement mechanisms characteristic of the free market economy. Since then, “what and for whom to produce?” are dictated by market forces. Agricultural production in a market economy is not easy. It requires multiple mechanisms of support. Therefore, the Ministry of Agriculture and Food Industry in the coming years will be focused on key areas that require such support. The geographic and economic characteristics of our country clearly will place agriculture as a key sector in export development. Agri-food products are the subject of the largest export volume. Agriculture, together with agri-food business in our country provides many jobs and brings a large contribution to the GDP. Undoubtedly this is a key future-oriented segment of our economy on the development of which the state should focus its efforts.
At the same time advancing our country's economic integration with the European Union requires a number of organizational changes in agriculture. Particularly important changes are needed in institutional and administrative environment of agriculture responsible for the food safety of the country. Ensuring national food safety through the production of safe, high quality food to the public, as well as competitive in both the European market and the traditional eastern markets (CIS markets) is a key medium-term priority of the Ministry of Agriculture and Food Industry of the Republic of Moldova. The fulfilment of this priority will provide our producers the possibility to sell their products at higher prices and by raising their income providing a decent life in the countryside. The Ministry of Agriculture has prepared an appropriate national strategy implementing new European rules and standards for food safety.
To ensure that food production meets the highest standards of safety and quality requires a lot of investment in the entire food chain from primary production on the farm through modern processing methods and extensive sales network in the country and abroad.
2011 is the secondyear in which the Agency for Intervention and Payments in Agriculture (AIPA) operates created to financially support the restructuring and modernization of our Agriculture. The government is currently undertaking a big financial effort of the state budget amounting to about (450 million lei in 2010 year) funding critical needs of our agricultural sector.
State subsidies granted through the AIPA are focused on such activities as supporting and encouraging:Credit schemes for farmers, agricultural insurance, investment in protection and post-harvest production infrastructure and machinery, organic farming, agro-chemicals, animal breeding, irrigation and drainage.
At the same time the Government is making great efforts to obtain preferential external financing for the development of agriculture (EU, World Bank, European Investment Bank, JICA, IFAD). External funds are earmarked primarily for restructuring in the agriculture sector. One such example is the recently undertaken restructuring of the wine sector for the funds obtained from preferential loans from the European Investment Bank (EIB) focused on a thorough modernization of this key sector for Moldova. Currently, the Ministry of Agriculture is preparing other sectoral programmes requiring a thorough restructuring and modernization of the sector such as dairy and animal genetic resources.
The Ministry of Agriculture in the next few years will strongly support the development of the use of agricultural raw materials for energy purposes. Agriculture is a virtually unlimited supply of biomass that can be successfully used for energy purposes. Based on the experience of many European countries, Moldova should develop this direction of giving benefits to all parties involved, i.e. farmers may use animal and plant by-products for energy purposes, and the newly formed processers of these raw materials to clean, green energy. As a result, the society will receive large amounts of energy from renewable natural resources.
In the present circumstances there can be no sustainable development of agriculture of Moldova without a modern and efficient market infrastructure. Therefore, one of the priorities of the Ministry of Agriculture is to create a modern infrastructure at the regional and central level. The support of the Ministry at the regional level is focused on the creation of modern complexes associated with the infrastructure for storage, cleaning, sorting and packaging food products. At the central level the Ministry based on the experience of many European countries (Italy, Poland, Germany., Netherlands, and Spain) has taken the initiative to create a modern, functional logistics centre - serving the wholesale market in Chisinau and adjacent villages. To build this infrastructure in the next few years will improve the functioning of the food chain of Moldova.
Moldova's agricultural development has always had its own scientific research base. The transition to a market economy entails the need to reorganise the existing resources of research, so that the development of agriculture serves directly the current market requirements. The Ministry has adopted a medium-term objective to carry out the reorganization of the institutions, together with subordinate resources involved in education and research for agriculture. Work is currently underway on the preparation of a concept of reorganizing the government's research and education resources.
The creation of modern agriculture in the twenty-first century is not possible without proper information technology aimed at developing the sector. Currentlyin EU leading counties computerisation supports virtually every process in the food chain, i.e. production, processing, storage, logistics, and modern marketing. In addition, for purposes of food safety monitoring it is necessary to safeguard the movement of potentially unsafe products (traceability). Control and monitoring institutions must have the necessary equipment to ensure these requirements. The Ministry of Agriculture has adopted another medium term priority in this regard - to build the necessary IT resources in individual institutions supporting the functioning of the food chain in the Republic of Moldova.
The soil and climate of our country require modern techniques of cultivation of the soil. Limited rainfall and soil structure in many parts of the country forced the use ofconservative tilling techniques. The Ministry is widely promoting conservative tilling techniques.
Based on the current situation in Agriculture, and having analysed internal and external conditions in the sector Ministry Agriculture and Food Industry of the Republic of Moldova has adopted the following priorities to be achieved in the medium term:
- Implementation of the reform of food safety.
- Restructure and modernise the wine sector.
- Support the development of a modern market infrastructure.
- Implementation of conservative agriculture (No-Till).
- Support the development of milk and meat production sector.
- Support development of renewable energy production from agricultural raw materials.
- Reorganisation of the existing education and research resources.
- Reorganization of the agricultural subsidy system, aimed at modernizing and concentration of production.
- Implementation of basic information systems to support the functioning of the food chain.
- Support in development of the High Value Agricultural Sector.
1.Food Safety strategy for the Republic of Moldova 2011 – 2015
The main objective of the food safety policy prepared by Ministry of Agriculture and Food Industry is to achieve the highest feasible level of protection of human health and consumer interests concerning food. See attachment no 1. – “Food Safety strategy for the Republic of Moldova 2011 – 2015”
The basic principle of EU food safety policy is the application of an integrated approach, such as "from farm to fork", covering all sectors of the food chain - including fodder production, animal and plant health, animal welfare, primary production, food processing, storage, transportation, sale, and import and export. This is a comprehensive and integrated approach, in which the responsibilities of food and feed business operators, as well as those of the competent authorities are clearly defined and are part of a coherent, efficient and dynamic food policy which will be adopted in this strategy by the Moldovan Government.
By observing all food safety principles throughout the entire food chain from "farm to fork", the food business operators involved in the production, processing, storage, transportation, distribution and marketing of food products, guarantee the safety of these products for the final consumer and the lack of any risk to consumer health.The EU food safety concept, as defined in the European Parliament Regulation no. 178/2002 on food safety includes all categories of food and feed.
Food and feed safety and protection of consumer interests are two increasing concerns of the general public, non-governmental organizations, professional associations, international trading partners and trade organizations. Measures must be taken to ensure an open and transparent implementation of food legislation in order to ensure the confidence of the consumers and business partners, including by measures taken by public authorities to inform the population where there are reasonable grounds to suspect that a food product imposes a health risk.
Globalization of the food chain generates the constant emergence of new challenges and risks to consumers' health and interests. In this context, a comprehensive legal framework on food safety will have to be developed, and it will be continually updated and adapted to new developments.
Major global trade transactions are currently made with food and feed, and in this context, international trade agreements have been concluded, helping in the implementation of international standards which underpin food law and which support the principles of free trade with safe and healthy feed and food in a non-discriminatory manner, based on fair and ethical business practices.
In this way, the best possible protection will be achieved for Moldovan consumers, whilst facilitating access of Moldovan producers to high value markets and ensuring compliance with international trade obligations in this sphere.
The strategy is developed based on the Government Decision no. 1125 of 14.12.2010 on the approval of the Action Plan of the Republic of Moldova regarding the implementation of the European Commission Recommendations for establishing a Deep and Comprehensive Free Trade Area between the Republic of Moldova and the European Union published on 21.12.2010 in the Official Gazette No. 252-253, art. No. 1258.
Currently in the Republic of Moldova there are multiple Government institutions involved in food safety policy, regulation and implementation. As a result any government institution can establish through law separate a food safety strategy in its own area of activity, which goes against the concept of a unified sectoral strategy.
Most control systems in the Republic of Moldova have a fragmented structure, represented by separate administrative structures that are responsible for monitoring the different stages of the food and feed chain.
Common tasks and responsibilities of various ministries and agencies related to food safety generate in practice overlapped controls and checks, operators' discontent and inefficiencies.
The following authorities are involved in the food safety area:
- State Sanitary Veterinary Agency for Safety of Products of Animal Origin;
- Veterinary and Phytosanitary Policy Departments of the Ministry of Agriculture and Food Industry
- General Inspectorate of Phytosanitary Surveillance and Seeds Control;
- Ministry of Health and SANEPID;
- Consumer Protection Inspectorate of the Ministry of Economy.
1.2.Food Safety Strategy Objectives for the Republic of Moldova
The main objectives of the approved food safety are:
- Improving the legal framework to ensure a more consistent food safety legislation, that would cover all aspects of human food production from the field to the consumer's table, as well as fodder;
- Establishing a NationalFood Safety Authority, which will be assigned a number of key tasks in managing all aspects of food safety from the field to the final consumer, operation of the early warning system, dialogue and communication with the consumer as well as relations with national agencies and scientific bodies;
- Controlling food safety to ensure a coherent framework for the operation of national control and inspection systems by appropriate division of duties and responsibilities among all state authorities involved in food safety.
Achieving these objectives through legal approximation and practical on the spot implementation will help to:
- Raise the level of human health protection through marketing of safe food and through protection of the health of animals and plants;
- Improve the export potential of Moldovan food products to high value markets, namely those of the Member States of the European Union, United States of America etc.
- Protect the territory of Moldova from introduction of highly contagious diseases and pathogens specific to animals and plants, by strengthening sanitary and phytosanitary border controls;
- Increase the capacities of the veterinary and phytosanitary specialists;
- Modernize and restructure the entities operating with products of animal origin and prohibiting activities that do not meet the general hygiene requirements laid down in the legislation in force;
- Continue the process of transposition into national legislation of the provisions of Community legislation on food safety, and to develop specific legislation under which the Republic of Moldova will develop trade relations with food products, live animals, non-animal products with other third countries with which it concluded agreements on collaboration in these areas
- Increase the efficiency of official veterinary and phytosanitary controls
- Improve the quality assurance system for food safety purposes (risk analysis and economic analysis);
The following actions shall be undertaken to achieve the objectives:
- Developing a certification system for food products' export and placement on the domestic market;
- Developing laboratory system including reference functions;
- Improving the surveillance and control system, including inspection and monitoring of products of animal and non-animal origin and animal welfare;
- Developing control systems at Border Inspection Points (BIPs);
- Fully implementing the requirements of the World Trade Organization Agreement (WTO) on the Application of Sanitary and Phytosanitary Measures (SPS) and Agreement on Technical Barriers of Trade (TBT);
- Assessing the toxicological control systems to compare them with the international and EU requirements;
- Assessing the risk of food products contamination with residues of medical substances, pesticides and other contaminants in order to establish the measures to be taken;
- Developing and coordinating a national plan for monitoring residues in live animals, plants and food products;
Achieving these objectives will lead to the elimination of all technical and legislative barriers to export, both to traditional and to new markets, aiming at equivalence and mutual recognition.
Implementation of this strategy should take place gradually while increasing the responsibility of producers and creating control systems, in order to be implemented by the end of 2015. (See attachment no 1).
1.3.Programme of priority actions to achieve objectives of the strategy
- Establishing the structure, powers and responsibilities of the new authorities responsible for food safety, staffed with sufficient staff, trained accordingly, that will launch the whole process of legislative harmonization, will be completed by the end of 2012.
Food safety structures (Food safety Agency)established by the end of 2012