Migration and retirement - solutions for Romanian agriculture?

Migration abroad and retirement are the two solutions suggested by the Romanian Centre for Economic Policies for reducing the excess labour in rural areas.

“At present, more than 35% of Romania’s active population, that is 3.6 million people, are employed in the farming sector, compared with an average of 5% in the EU member countries.

“Migration is a seasonal phenomenon and does not entail budgetary efforts on the part of the European Union countries. Compared with urban emigrants, who go abroad to work less often, the people in the rural areas travel abroad repeatedly and have no intent of making a home there,” says Valentin Lazea, one of the authors of the “Rural Development and Romanian Agricultural Reform” study, commissioned by the Romanian Centre for Economic Policies.

Lazea, who is also chief economist of the National Bank of Romania (NBR), says Romanian peasants going to work abroad have short-term projects and return home in a few years. “The Romanian peasants seek to provide for themselves and their families; they want to build a home and buy a car. Romanians migratory projects are temporary. This needs to be relayed to our European partners to allay some of their fears,” Lazea added. He explained that in Portugal’s case, for instance, labour migration in the first few years after accession was the main solution for avoiding economic crisis.

Statistical data shows 80% of all Romanians working abroad are from rural areas, contrary to popular belief.

The authors of the study found that if 1 million peasants currently employed in the farming sector were to retire, 2 million ha of land would become available and could be commercially exploited.

Lazea says 50% of the funds provided to peasants should come from the 2 million ROL/ha aid granted to peasants this year, while the other half should come from the revenues generated by the land amalgamation associations that will lease the farmers’ land to investors.

The EU’s policy is to support farms of over 15 ha of land or those between 3 and 15 ha of land (semi-subsistence) that come up with business plans to prove their commercial capabilities. In Romania, 50% of farms are included in this 3 ha land-bracket, while the rest of the land is worked by 1,700 farming companies.

“No other country, not even Poland, has found itself in such a dramatic situation with regard to its agriculture,” Lazea said.
stelian.negrea@zf.ro