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Livestock Sector in Serbia: Challenges, Structural Gaps, and Strategic Pathways Towards Sustainability
Milićević, Dragovan
Samolovac, Ljiljana
Lukić, Miloš
Milićević, Dragan
The livestock sector in Serbia has been experiencing a prolonged period of structural and economic challenges, characterized by decreasing animal numbers, low productivity, and reduced competitiveness in both domestic and EU markets. This study analyses the key structural, technological, economic, and policy factors shaping these trends to provide strategic recommendations for sustainable sector revitalization. The methodology inte- grates macroeconomic analysis, agricultural economic accounts, and international trade data, applying regression modelling to examine relationships between domestic food prices, exchange rates, and agri-food import volumes. The results indicate that livestock’s share of agricultural gross value added remains below 35%, significantly lower than EU averages, while export quotas remain underutilized and the trade balance for animal products is persistently negative. Contributing factors include fragmented farm struc- tures, outdated production technologies, limited adoption of innovations, demographic decline in rural areas, and insufficient alignment with EU CAP Strategic Plans and Green Deal objectives. Climate change impacts, such as droughts and heat stress, alongside ani- mal disease outbreaks and macroeconomic pressures, further exacerbate these vulnera- bilities. The study recommends modernizing production systems through investment in technological upgrades, strengthening farmer organizations and cooperatives, enhancing biosecurity and animal welfare standards, and improving policy frameworks to align with EU sustainability objectives. Emphasis is placed on developing integrated ap- proaches that simultaneously address productivity, economic resilience, and environ- mental sustainability. Implementing these strategic measures is essential for enhancing food security, supporting rural development, and ensuring Serbia’s successful integration into the EU market as part of a more sustainable and resilient agri-food system. Academic Editor: Francesco Bimbo Received: 14 July 2025 Revised: 26 August 2025 Accepted: 27 August 2025 Published: 28 August 2025 Citation: Milićević, D.; Samolovac, L.; Lukić, M.; Milićević, D. Livestock Sector in The livestock sector in Serbia has been experiencing a prolonged period of structural and economic challenges, characterized by decreasing animal numbers, low productivity, and reduced competitiveness in both domestic and EU markets. This study analyses the key structural, technological, economic, and policy factors shaping these trends to provide strategic recommendations for sustainable sector revitalization. The methodology inte- grates macroeconomic analysis, agricultural economic accounts, and international trade data, applying regression modelling to examine relationships between domestic food prices, exchange rates, and agri-food import volumes. The results indicate that livestock’s share of agricultural gross value added remains below 35%, significantly lower than EU averages, while export quotas remain underutilized and the trade balance for animal products is persistently negative. Contributing factors include fragmented farm struc- tures, outdated production technologies, limited adoption of innovations, demographic decline in rural areas, and insufficient alignment with EU CAP Strategic Plans and Green Deal objectives. Climate change impacts, such as droughts and heat stress, alongside ani- mal disease outbreaks and macroeconomic pressures, further exacerbate these vulnera- bilities. The study recommends modernizing production systems through investment in technological upgrades, strengthening farmer organizations and cooperatives, enhancing biosecurity and animal welfare standards, and improving policy frameworks to align with EU sustainability objectives. Emphasis is placed on developing integrated ap- proaches that simultaneously address productivity, economic resilience, and environ- mental sustainability. Implementing these strategic measures is essential for enhancing food security, supporting rural development, and ensuring Serbia’s successful integration into the EU market as part of a more sustainable and resilient agri-food system.
engleski
2025
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Keywords: livestock production; economic sustainability; economic accounts for agriculture (EAAs); gross value added (GVA); competitiveness; climate-smart livestock; Serbia