City of Glina and UNDP Assisting in Legalization of Agricultural Facilities

Dec 19, 2012

Mayor of Glina, Milan Bakšić, signed the contract on co-financing of technical documentation required for the consolidation of farmers' establishments and their property with 37 farmers from the territory of Glina, on behalf of the City of Glina today. The farmers received the complete technical documentation for the facilities on their property – geodesic and architectural analysis of the situation, and they undertook the obligation to complete the legalization procedure within the timeframe required by the law.

The City of Glina, in cooperation with the United Nations Development Programme (UNDP), is the first administration in Croatia to co-finance the establishment of the Fund for the Preparation of Technical Documentation for Family Farms. The City of Glina and UNDP secured 100,000 kn each for that purpose, which means that the Fund invested 200,000 kn in the legalization of these 37 facilities.

– In such a way, the local community, in cooperation with UNDP, provides direct assistance to inhabitants of rural communities – said Louisa Vinton, UNDP Resident Representative in Croatia. – I am convinced that the results of this project will contribute to the development of agricultural production in this area, thus enabling local agricultural producers to access EU funds.

The process of legalization of economic facilities in general, including agricultural facilities, is particularly important given the forthcoming accession of Croatia to the European Union, which brings access to a range of financing and support programs for agriculture and entrepreneurship, in particular in rural areas.

– The goal of this project is to develop and strengthen agriculture and the comprehensive economy of our region, which leads to the improvement of the standard of living for the local community – stated Mayor Milan Bakšić. – This is one of the measures we are tackling as we strive to support the development of agricultural production, and to decrease the tendency of emigration of the population from rural areas.

In the area of special state concern where the City of Glina is located there are over 500 registered family farms, crafts, cooperatives, etc. They deal with agricultural and processing activities, ranging from small cheese production facilities, wineries and wine tasting facilities to producers of alcoholic beverages, honey and fruit. There are also entrepreneurs active in meat processing and village tourism.

Only a small part of these processing capacities is registered in accordance with legal provisions, which is a prerequisite for market access and product competitiveness. Such a situation is reflected in the inability to further develop the capacities, and in the poor usage of available funds that the state and EU funds dedicate precisely for the development of agriculture and entrepreneurship in rural communities. As a consequence, goods and services are produced and sold in the gray economy zone, and there is no organized market access. That is reflected in revenues that are smaller than the available potential, and in higher unemployment and poor economic status of the population living in this traditionally agricultural area.