Support to Capacity Building on Agriculture and Rural Development Policy and Implementation of Local Community Development Pilot Projects - TCP/MOL/3607

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Agriculture is a pillar of the Republic of Moldova’s RoM economy and serves as the primary source of income in rural areas Approximately 1 9 million people, or 58 percent of the country’s population, live in rural areas, while one quarter of the employed population works in the agriculture sector Generally, however, the sector has low productivity and a high level of informal employment Additionally, over 94 percent of private households in the RoM possess less than 3 hectares of land, which is reflective of the land reforms that occurred during the 1990 s Notwithstanding, agriculture, together with the food processing industry, accounted for USD 1 billion, equivalent to 15 percent of the national GDP, and 30 percent of total exports in 2015 Unemployment affects two thirds of the rural population, while relatively low wages exist in the agriculture sector These factors have both contributed to the pockets of poverty that persist in the country Moreover, wages for rural women are only 76 percent of those of men (on average), further complicating this matter Farmers continue to face several challenges in the advancement of agriculture, including underdeveloped rural infrastructure, poor access to markets and susceptibility to extreme weather events (especially droughts.

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