Agro-business as indicator of economic development – Case study Kosovo

Abstract

Kosovo has a surface area of 1.1 million hectares of land, out  of which 53% is arable with the remaining 41% 
composed  of forests and mountains.  There are a total of 30 municipalities in Kosovo and 1500 villages. 
Agriculture is the key  economic activity, and the biggest employer in rural areas.     
Most farms in Kosovo are small family farms with approximately 80% ranging in size from 0.5 – 2.0 hectares.  
Farms  are mainly used to support the needs of households.      
The infrastructure in rural areas is quite poor, 
and access  to good machinery or technology is very limited. As a  consequence, farms generate very few, if any, 
material  goods to meet the requirements of households. Since  farmers do not have access to loans or other 
business  services there is a general lack of initiative to overcome  this situation. As a result, poverty is highest 
amongst this  group of Kosovo’s population.