Journal of Accounting and Management Information Systems (JAMIS)


Sugar industry in the context of the Romania’s accession to the European Union

9/2004 ,   p155..164

Author(s):  
Stefania Cristina NEAGU


Keywords:   sugar industry, accession to the European Union, sugar domestic production

Abstract:  
Presently, the sugar industry in Romania is in a free-fall stage which only the privatization can settle. From a sugar exporter Romania has become the largest importer in the region. Within only 17 years, a flourishing industry was set and the domestic market has become the favoured sugar outlet all around the world. The result is the following: of 33 sugar factories (1991) only 9 are still operating. Even these are not operating quite well. The employers of the sugar industry provide only five of them to compete in the European Union. The agricultural land    cultivated with sugar-beet has dramatically decreased from 200,000 hectares in 1991 to 20,000 in 2005. The domestic production fell in the same rapid rhythm. In 1991, we produced 340,000 white sugar tones of sugar-beet, following that 14 years later, to praise ourselves with only 85,000 tonnes. However, if from ’89 until 2004, the sugar industries proved to be not-profitable, the things have started to change since 2004. Last year brought good news to the sugar-beet cultivators by doubling of subvention granted for a sugar-beet tonne: from 270 lei to 500 lei per kg. This decision created the premises of a reliable development of the sugar-beet crops in the future.


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