Agricultural companies, which reported dramatic slumps in output this year, are optimistic of an agriculture revival, due to the massive amount of investments operated during this summer's drought and to the fact that enough water has been put back into the ground over the last few months as a result of rainfall.
"Large quantities of fertilisers were used, 40% of which will take effect next year. We also expect to register a high output, as a result of between 70 and 120 ml of rainfall (per square metre) in October, with the soil receiving the necessary amount of water," stated Stefan Poenaru, general manager at Agrofarm Holding Fetesti, which farms 19,000 hectares of agricultural land.
According to Poenaru, 25-30 kg of active substances (per hectare) are used in Romania on average, 10 times less than in EU countries. However, this year's drought prompted many farmers to double or even triple these quantities.
The National Federation of Romanian Farmers also hopes for higher yield, at least for grain.
"The use of over 70 kg of active substance this year should double the grain output next year," explained Viorel Matei, the chairman of the federation.
This drought also prompted Agro Chirnogi to invest hundreds of thousand of euros in technology.
Adrian Porumboiu, who owns Racova Agro Pan Grup in Vaslui, believes the agricultural sector generally goes through a crisis every four years, so expectations for 2008 remain positive.
Drought also pushed the price of fertilisers up by 40% during this period, which meant several farmers stop using them.
Although farmers received financial aid from the state during September-October period (500 RON per wheat hectare, 450 RON per barley and two-row barley hectare and 400 per hectare of rapeseed), many farmers maintain that this amount is insufficient as most EU member states receive 240-350 euros.
While farmers received some state aid, vegetable growers say their sector did not receive anything, even though they were hit by drought and by the storms at the beginning of the year that destroyed their greenhouses and crops in the field.
Romanian farmers were originally promised 400m euros in state aid. However, the Romanian Government was unable to allocate this amount to farmers, because it did not have permission from European agriculture ministers, although European Council members eventually approved the aid.
If the European Commission does not activate the safeguarding clause for Romania (which would mean a 25% European fund reduction, namely 110m from 440 million euros), Romanian farmers will receive 50 euros per hectare from the EU, and 30 euros from the state budget, most likely early next year.
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