MEMO/07/482

Brussels, 21 November 2007

Slovakia's Rural Development Plan

Profile of Slovakia:

• Size: 49,036 km² and a population density of 110 inhabitants/ Km².
• Rural areas cover 86% of the territory where 40% of population lives.
• 50% of the agricultural land is classified as less-favoured area and 29% of the territory is covered by Natura 2000 network
• Agricultural, forest and natural areas occupy a significant part of the territory (49.7%/ 39.4% / 4.6% respectively)
• GDP per capita in Slovakia is 50.39% of the EU average
• Unemployment rate of 11.4%
• About 2.2% of inhabitants work in agriculture
• the average area of farm holdings is 48 ha, but most farms (95.8%) farm on area of 1,372 hectares.
• The percentage of population between 25 and 64 years old with full secondary education or higher education is 86.7%.
• The average labour productivity in food industry is € 3,060, while in agriculture it is € 2,196
• Over the past years, the production of milk and poultry has increased, while most of the other commodities have dropped.

Chosen strategy corresponding to the profile:

To increase the competitiveness of agriculture, food and forestry sector and to improve the environment by introducing suitable farming and forestry systems and the quality of life in the rural areas with the emphasis on the sustainable development

The emphasis is put on:

• Improving the competitiveness of the agricultural and forestry sector through increasing the effectiveness and quality of the production while adhering to the principles of sustainable development and the principles of ecologic farming in the rural areas;
• Improving the environment and the countryside by introducing suitable agricultural and forestry management systems;
• Improvement of the quality of life in rural areas and diversification of the rural economy in the framework of creating new employment opportunities in the rural areas, promoting training activities and village renewal and development, contributing to the reduction of regional disparities of the rural areas in Slovakia.

Budget and share of EU funding

* EAFRD = European Agricultural Fund for Rural Development

Overall aim of RD programme in the country

• Development of economic activities suitable for the rural areas;
• Protection of the environment and of the cultural heritage;
• Improvement of the quality of life of the rural population.

Axis 1 budget allocation and main priorities:

Total public funding: € 835 427 149 – EAFRD contribution: € 620 366 695 (31.5% of total EAFRD contribution)

Main priorities:

• Increasing the modernization, innovation and efficiency of agricultural, food and forestry sector
• Deepening knowledge and improving professional overview in the agricultural, food and forestry sector

Axis 2 budget allocation and main priorities:

Total public funding: € 1 242 076 174 – EAFRD contribution: € 984 709 039 (50% of total EAFRD contribution)

Main priorities under this axis are:

• Enhancing biodiversity in rural areas and agriculture and forestry systems of high natural value
• Maintaining and improving the quality of underground and ground waters
• Maintaining and enhancing the quality of agricultural and forest soil
• Mitigation of the impacts of climatic changes

Axis 3 budget allocation and main priorities:

Total public funding: € 358 040 205 – EAFRD contribution: € 265 871 440 (13.5 % total EAFRD contribution)

Main priorities under this axis are:

• Creating job opportunities in the rural areas
• Promoting training activities
• Improving quality of life in rural areas
• Formation of local partnerships

Leader budget allocation and main priorities:

Total public funding: € 74 524 570 – EAFRD contribution: € 59 082 542 (3% of total EAFRD contribution)

Main priorities under this axis

• Improving the administration and management and mobilization of the development potential in the rural areas

Axis IV will be implemented only via Axis III

See: http://ec.europa.eu/agriculture/rurdev/index_en.htm