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Competitive changes of food production in Bulgaria

100%
Agri-food sector is one of the traditionally well-developed sectors in Bulgaria. The export picture of Bulgarian food industry has been changed after the full EU membership of the country in 2007. Thus, the food import exceeds the food export more than twice nowadays. The aim of the paper is to reveal why Bulgarian food producers have lost their competitive advantages so fast, what kind of factors drives the food producers to worsen their production in comparison with other food-market players? The analyse showed that the food producers do not use effi ciently inter-business competitive factors (technology development and transfer as well as package design and service development). On the sectorial level, the food producers focus on to the resource management and they miss to enlarge their competitiveness by cooperation with suppliers, consumers or other food processors.
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51%
Perspectives for competitive growth are put in the core of the re-industrialization policy of the European Union for the next program period, and respectively are key issue for the Bulgarian industrial policy. Re-industrialization of the Bulgarian economy is possible in terms of support for competitive industries at present, but also to support industries that are at the bottom of competitiveness. The methodology for selection of appropriate “priority” sub-sectors and production specializations, is based on the following two principles: 1. A combination of economic criteria (at national and company level) and social criteria; 2. Measures targeted both: certain sub-sectors and production specializations that either have a competitive advantage, or are at the bottom of the rankings for competitive advantage. On the basis of analysis six production specializations in food industry were identifi ed for which specifi c policy measures have to be developed along the chain raw materials/inputs – production-marketing/export.
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Dynamic changes of food producers in Bulgaria

51%
The food and beverage production in Bulgaria has dramatically changed after the full EU membership in 2007. This change has affected not just the production structure, but also the import and export structure as well as overall production potential of the agri-food sector. The aim of the paper is to look inside the changes from the perspective of the single producer. This means to answer to the question: why has the Bulgarian agri-food production been getting worse? The analyses showed that food industry does not have the ability to move over the 1980s values. Partially this state is a result of misunderstanding by food processors how to manage their production more efficiently. The greatest potential for dynamic change of Bulgarian food industry is in the innovation inputs (development of new products and technologies improvement overall marketing). For food sector the major role, among all types of innovations, is played by product innovations.
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