Agriculture and food industry

Bosnia and Herzegovina is rich with natural resources and conditions which provide a great environment for agricultural production, including availability of labor, land, and other natural resources, as well as suitable climate.

The enormous agricultural potentials are only partly realized, in spite of the large amount of human and natural resources.

Strong development and permanent production growth, which characterized B &H agricultural sector is considerably below its actual potentials and expected performances. Most of the food products are imported, especially wheat, meat products, milk products and fruit juices.

Poor financial resources, needed for modernization of all segments of agricultural production (replacement of outdated technologies and equipment; upgrading of the existing structure of agriculture sector, etc.) are one of the main limitations for a faster development of this sector.

Nevertheless B&H agricultural sector presents a great opportunity for potential investors, based on the following main advantages:

  • Abundance of agricultural land - around 50 % of agricultural land is uncultivated
  • Favorable climate conditions
  • Good availability of skilled low cost labor & long tradition in agriculture
  • Developed educational system
  • B&H is a considerable net importer of agricultural and food products
  • Privatization of state owned companies