"The output of Hungarian agriculture has increased by 22 percent so far this year, as a result of which the sector was responsible for half of the country's economic growth", Minister for Rural Development Sándor Fazekas announced in Kalocsa on Thursday at the 6th National Agriculture Forum.
"Agriculture is over a difficult but successful year, as also shown by the figures", Mr. Fazekas said. Investment within the sector and the funding received have increased by 15 percent and 200 billion forints (some 660 million euros), respectively, compared to the previous year, he continued, adding that thanks to improving conditions and the professional expertise and "oceans of work" performed by farmers, the sector's profitability has increased by 10 percent, according to statistics. The Minister said he very much hoped that this is not only reflected in the numbers, but that farmers are also beginning to feel an improvement.
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Mr. Fazekas emphasised that the performance of Hungarian agriculture this year has been responsible for half of the country's newfound economic growth. The sector directly contributed 5 percent to GDP, and the whole "agri-business" makes up one third of the total gross domestic product. This year's 8 billion euros in agricultural exports is the highest export performance seen in recent history, the Minister said, adding that further increases in production levels could lead to a doubling of the current export volume within 3-4 years. The general objective of the Ministry is to again realise the output of the "golden era" before the 1990s, and the agriculture sector, which is now over the period of recovery and strengthening, has begun to move in the right direction to achieve this goal, Mr. Fazekas said.
The Minister also pointed out that the agriculture sector is not just "performing significantly better" compared to its past glory, but also in comparison to the other sectors. The farming community managed to stand its ground even during the global crisis, something which the Government has rewarded by creating a predictable legislative background and providing appropriate funding. As a result, the standing of farmers within the community, the profession's competitiveness, the quality and quantity of the goods produced and the sector's profitability have all increased, he added.
Instead of demonstrations, "advocacy is represented by work", employment within the sector is increasing by 3-5 percent each year, the decrease in the numbers of livestock seems to be coming to a halt and there are "positive, but still insufficient" developments within the field of lending, he stressed. Mr. Fazekas also noted that, in line with previous years' practices, 96 percent of area-based funding due this year has already been paid.
(Press Office of the Ministry of Rural Development / MTI)
