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Agricultural lands in Moldova cannot be profitable, as they are disintegrated -“ IDIS Viitorul

21.07.2009   Infotag  617 
Gradul ştiinţific: Expert in economic policies, Coordinator of the Functioning market economy department

The land market cannot be profitable, as the agricultural lands are disintegrated. Such is the main conclusion of the survey "The Development of the Agricultural Land Market in the Republic of Moldova", carried out by Expert of the IDIS Viitorul IDIS Viitorul Institute for Development and Social Initiatives Viorel Chivriga and published on Tuesday.

He considers that the Moldovan agrarian sector is surviving a crisis, as the privatization of agricultural lands was delayed, was not transparent and without observing social justice principles.

"Moldova has more than 1.9 million hectares of agricultural lands, 1.6 million hectares of them are arable lands and over 20% of lands are not cultivated. The non-unbiased legislation of the 1990s allowed some interested groups to acquire assets for dumping prices and to capture the best land plots, which fact facilitated the liquidation of some enterprises, but they might be reorganized or privatized", the expert said.

He considers that the failed reforms in the agrarian sector could facilitate long-term investments. Under these conditions Moldova faces the mass outflow of labor force from the agrarian sector, as it is non-functional.

The survey's author asserts that the main obstacle to the agricultural market development is bribery.

"Everybody considers that we do not have enough land and that our country is small. It is not exactly so. The area of arable lands per one Moldovan citizen constitutes 0.26 ha, whereas in Europe - 0.236 ha", he said and remarked that the Moldovan land degraded considerably due to irrational practices in the agrarian sector.

Chivriga recommended the central authorities to change radically the legislation in this field and to give the right to investors to buy agricultural lands on certain conditions, to simplify the registration procedures of land transactions and to lower their price.

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