Polska pomoc


Development of non-agricultural services in rural regions of Moldova

Moldova was 107th on the Human Development Index 2014 raking of UNDP, which annually monitors the socio-economic development of all the countries of the world. Moldova is characterised by low national income and other development indicators; it is one of the poorest countries in Europe and heavily dependent on foreign aid. The dependence of its economy on raw material supplies from Russia and the existence of the internationally unrecognised Pridnestrovian Moldovan Republic within its most industrialised region of Transnistria are some of Moldova’s most serious problems. The signing of the association agreement with the EU and the Deep and Comprehensive Free Trade Areas (DCFTA) marked a turning point in the direction of the country’s systemic and economic reforms aimed at strengthening its institutional structures at all levels, limiting its vulnerability to economic fluctuations, and removal of the barriers blocking the development of its exports.

Agriculture, including viticulture as well as fruit and vegetable growing, plays an important part in the country’s economy. Animal husbandry is of little importance. Cattle, pig and poultry farming represent a minor part of Moldovan agricultural production. Non-agricultural services in rural areas are still underdeveloped.

Development of non-agricultural services in rural regions of Moldova

The project’s main objective was to support enterprise development and job creation in the non-agricultural services sector operating in the country’s rural areas. The project was prepared by the East Foundation in partnership with the National Rural Development Agency in Moldova (NRDA). The project obtained the recommendations of the Ministry of Economy of Moldova and of the National Farmers Federation of Moldova and was compliant with the National Development Strategy of Moldova.

The purpose of the project was to lend support to the process of diversification of the labour market in rural areas and to thus reduce labour emigration. The project provided for the development of non-agricultural services in rural areas and the use of local resources as sources of income from non-agricultural activity. The project was implemented in eight villages across seven regions of Moldova. It provided for the expansion and modernisation of five existing local service sector entities (a pectin preparation facility at a fruit juice processing plant, a bakery and rural joinery and carpentry, metalworking and furniture making shops) as well as the equipping and launch of four new entities of that type (two bakeries, a wooden toy and souvenir manufacturing shop and a logistics and regional food sales centre). The implementation of the project resulted in the creation of 32 new jobs and the generation of a combined sales revenue of approximately EUR 617,000 per year.

Development of non-agricultural services in rural regions of Moldova

In the course of the project:

  • five rural plants were expanded and modernised: a pectin preparation facility, a bakery and joinery and carpentry, metalworking and furniture making shops (in the villages of: Iorjniţa of the Soroca region, Alexeuca of the Sîngerei region, Chiştelniţa of the Teleneşti region and Balauresti of the Niesporeni region);
  • four new, rural, non-agricultural service centres were equipped and opened (in the villages of: Ustia of the Dubăsari region, Tomai of the Ciadîr-Lunga/Gagauzia region, Ratuş of the Telleşti region and Brăviceni of the Orhei region);
  • nine new local consultants providing rural development advisory services under the NRDA extension system were trained.