Strengthening of the Private and Public Sector Capacities in Priority Value Chains - TCP/BIH/3705

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Agriculture in Bosnia and Herzegovina represents a large share of the country’s output, employment and foreign trade, but its potential is hindered by several deficiencies and gaps the low productivity of the sector, insufficient marketability of products and an insufficient institutional capacity and legal framework to deal with the challenges of the European Union approximation processes The key policy objectives for the sector are focused on aligning the structures and administrative procedures to ensure the eligibility of Bosnia and Herzegovina for pre accession assistance Agriculture employs a large share of the country’s labour force 19 percent in 2017 and an even larger share in rural areas 36 percent) Agricultural output represents 5 61 percent of gross domestic product In trade flows, agriculture and food products account for 16 4 percent of imports and 9 8 percent of exports, mainly to and from the European Union, especially Croatia and Central European Free Trade Agreement parties (over 80 percent).

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