Implementing Aid-for-Trade Road Maps
Tackling internal barriers to
trade: lessons from Moldova
Geneva, 11 July, 2013
Shifting landscape for the sector
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Agriculture: around 11% of GDP;
Employing almost third of labor force;
Balanced external trade in agrifood;
Still relatively protected but changing;
Fresh fruits and vegetable exports around 13% (2012)
High external market concentration
Key constraints and key trends
Key Constraints:
Administrative (Customs, Tax, SPS)
- occasional, short-term, can be dismantled by
administrative
decisions
Structural – long-term and costly
- Satisfying prospective demand (quantity and quality);
- Infrastructure and skills;
- Marketing knowledge and know-how;
Key external trends
Russian consumers switch to supermarkets
Russia joined WTO in 2012
Looking beyond Russia - DCFTA
Arising challenges
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Quantity to lure supermarket chains;
Consistent quality;
Rhythmicity (whole year availability)
Price competitiveness
Increased competition on open air markets + lack of hold on
Russian supermarkets + need for stronger positioning and
promotion of the country brand
• Lack of experience on the European markets, lack of cooperation
and positioning
Key issues and responses
• Insufficient cooperation: public support for cooperation +
grants for association
• Lack of big intensive orchards: state subsidies + land
consolidation (underdeveloped land market, suboptimal
privatization model)
• Lack and under-use of cooling storages: association and state
support (customs duties vacation for import of cooling storage
equipment)
• Lack of calibration equipment: state subsidies, custom duties’
facilitation, cooperation
Key issues and responses
Key issues and responses
Key issues and responses
• Lack of modern orchards (80% old/apples) – state subsidies,
support for cooperation, adoption of the EU catalogue, land
consolidation
• Lack of hold on abroad markets: promotion of the country’s
commercial brand + strengthening capacity of association for
export promotion + PPP-based platform to advance exports
UNDP Moldova
http://md.undp.org/
[email protected]