Romania’s potential winners for the EU markets are software production, machinery and equipment industry, metallurgical and furniture industry, according to the “Winners and losers in the European integration process. An overall view of Romania” survey.
The survey conducted by a team headed by Daniel Daianu measures the competitive edge the industries might have on the European Union markets, namely how well positioned a specific product or an industry is in relation to the total exports in the region.
The potential losers, according to the survey, include agriculture, chemical industry, with the textile and footwear industry threatened to lose the competitive edge derived from the extremely low salaries.
The biggest problem found by the survey is the extremely high percentage of employees having to change their job for a structure comparable to the one in the Southern EU countries to be attained: 33.4% in 1997 compared 31.3% in 1989.
“Relying on its labour intensiveness, Romania has become a net exporter of labour force and a subcontracting location,” the survey shows. This led to a paradox of the Romanian foreign trade: high added value imports are used to export low added value products.
For instance, most of the machinery and equipment imported are used in less intensive technological sectors, such as textile, metal, plastic or wood processing.
“Romania and Bulgaria have the longest way to go in terms of resource reallocation,” Daniel Daianu said during the presentation of the survey at the end of last week.