The Organic Market in Croatia

Summary

Land use and production
The Croatian organic agriculture sector is still in an early stage of development but has recorded a rapid expansion over the last three years. According to the estimates of the Ministry of Agriculture, Croatia has some 7’000 hectares under organic management managed by some 250 (mostly family) farms. Cereals seem to account for more than 70 percent of the total organic production in Croatia.
State regulations and support
Organic farming in Croatia is regulated by the La w on Organic Agriculture adopted in 2001. In 2003 the government introduced subsidies to support organic farming (400 EUR/ha of arable land). This had a great impact on the development of the sector and the area under organic management in 2003 has increased tenfold as compared to 2002.
Inspection and certification
Croatia has a fully functioning domestic inspection and certification system. There are six inspection and two certification organisations accredited by the Ministry of Agriculture.
Market and consumers
Data about the organic market as well as a thorough market analysis do not exist and the value of the Croatian organic food sector is difficult to estimate. Almost all products are sold on the domestic market. The price premium is in the range of 50 to 100 percent. Only a few organic enterprises export their products and these are mostly herbs and spices. The total export value in 2003 was about 0.65 million EUR. Organic produce is sold either directly at the farm and farmers’ markets or at numerous health food shops. Almost all supermarket chains also sell organic products but most of these are imported. Imported organic food includes pasta, cereals, juices, sweets, biscuits and soy products. Not a single shop sells organic fruit, vegetables, meat and dairy products.
Organic data collection
There is no structural data collection on organic agri culture in Croatia. Production data are based on the information recorded by the inspection and certification n bodies which have to report to the Ministry of Agriculture. The Croatian Statistical Office so far has not collected any data on organic farming but preparations have been made to start with collection of some basic production data. Data on the market volumes, imports and exports as well as price statistics are not yet available. Several private market information companies occasionally conduct surveys on consumer attitudes and behaviour related to organic products. Ecologica, one of the leading organic organisations in the country has also started data collection on organic production, marketing and consumer attitudes.