dinsdag 28 december 2010

The prices for agricultural land in Romania will double or triple in the next years.

The prices for agricultural land in Romania will double or triple in the next years.

Nr. 20101228

Keywords: Investieren in Rumanian,investeren in Roemenie,investin Romania,investitii in Romania, teren arabil,terenurilor arabil,agrarland rumanien,landbouwgronden roemenie, agricultural land romania

Romania has 9,7 million hectares and only 30% are used at this moment. Romania is currently supporting the restructuring of its agricultural industry towards a market economy. Only small changes in land use are expected. Self-sufficiency in cereals is expected to increase, consolidating their net export position. In the livestock sector, poultry and pig numbers are expected to recover somewhat, production being boosted by an increasing domestic demand and the availability of cereals on the domestic market. Overall agricultural self-sufficiency will slightly increase and the agriculture and food trade balance will turn positive.

How can we invest in agriculture in Romania and what wil be our profit ?

The prices of wheat keeps growing on a global scale in a global market.
The cost for operations keeps growing in agriculture in the Benelux and Germany.
So if we can produce at a low cost by delocalization to Romania we will gain a lot of money and substantially increase our profit margin.

If we can combine the investment with an investment in agricultural land in Romania that will double or triple in price we have a good investment with a high yield.

In western Europe, acquiring any surface of farmland can be an administrative hassle (to say the least), more expensive, and large surfaces can be difficult to find. Romanian agricultural legislation is more flexible.

European subventions are another reason: 50%-70% of the investments made on equipement, buldings, or modernisation of an agricultural operation is paid by European funds and a subvention of more then 100€ per hectare per year (for cereals, different amounts for different types of crops).

The risk is the management of the operations not the investment idea and the land behind it.

The price for 1 hectare of Agricultural land in Romania is between 1000 and 2000 Euro per individual hectare at this moment.

The prices will triple in the next years until 6000 Euro /hectare in some specific regions in Romania.

The information comes from the EVD, agency of foreign affairs in Holland.

“We have Agricultural land for sale at 1000 Euro/hectare (prices VAT not included)”

How to buy Agricultural land in Romania.

Have you tried but failed to find large surfaces of farmland for sale at a reasonable price in Romania? Please read on in any case... most proposals are fake and behind them you will find a lot of hidden problems. We have 9 years experience in the market and we act by doing it and we are leading by example in Romania and Romanian agricultural investments.

It is virtually impossible to find large parcels of farmland for sale in Romania with a good price and the legal paperwork in a condition that you can buy without risks.

According to tradition, Romanian owners have been dividing their property into equal shares between their heirs. Today, a multitude of small surfaces ranging between 0.1 ha and 10 ha result from so many divisions, generation after generation. Larger surfaces are quite rare.

How to acquire large surfaces of agrocultural land in Romania:

1/ Through a process called "comasare" in Romanian. It signifies the re- groupement (or consolidation) of many small plots of land into one larger surfaces.

2/ By purchase of land already consolidated. Real offers are rare, and more expensive when they exist. On the other hand, these properties can be purchased within a very short time frame (if and when real offers exist).

To consolidate a surface of 1000 hectares for example, you may have to purchase the properties of 500 to 900 separate owners. The procedure can last a few months, depending on the number of sellers involved and their availability to go sign the documents at the notary's office. The buyer, or an agent of the buyer, must remain available to make payment each time a plot is purchased.
We have identified consolidation zones and we have found clients that already own the land in volumes of 1-500 hectares and more.

So we gain 1 year of hard work offering the desired surface potential and other buyer-defined criteria.

We start the operations and transfer of the property rights in collaboration with the local authorities, cadastral specialists and experts and start registering the plots for your company.

Efforts to regroup the purchased plots into larger surfaces are carried out on a continual basis right from the beginning and we start with plots that are already bought to gain time and money (30% savings on operations !).
When the agricultural land in Romania is consolidated, the value of your farmland will have instantly increased by at 50%.
If you wish, you may opt to sell part of the land to reimburse your acquisition cost.
We are at disposal for further information on agricultural land and farming in Romania.

Freddy Jacobs
Camera Imobiliara Belgia Romania

Source: Agrimedia
Source: www.pbsworldwide.com and www.investromania.be

zondag 12 december 2010

Rural development projects attract 31.6 pct of EU funds

Romanian Economic Highlights, September 6, 2010. More than 13,500 contracts worth over 3.16 billion euros were concluded by Aug. 18 and the incurred payments amount to 613.72 million euros. Other 826 million euros represent payments made for the support measures on eligible surfaces implemented by the Agency for Payment and Intervention in Agriculture (APIA), given that the National Rural Development Programme has 10 billion euros for the 2007-2013 time span, out of which 1.43 billion euros are payments incurred. By now, the Payment Agency for Rural Development and Fisheries (APDRP) received 5,220 financing claims to modernise the agricultural holdings, and contracts were signed for 1,514 of these, with a non-reimbursable value of 526.9 million euros. At the same time, payments of over 182 million euros were made. The maximum non-reimbursable amount may be up to two million euros per one project. As for the Adding Value to Agricultural and Forestry Products Measure, out of 913 claims submitted financing agreements were signed for 376. The projects' public value is over 365 million euros, and the payments made exceed 48 million euros. The maximum non-reimbursable amount may be up to two million euros per one project. The projects under the Village Renewal and Development Measure receive 100 percent non-reimbursable European funds for investments, which are carried out in the rural areas, represented by communes, as territorial-administrative units, together with their villages. Over 3,039 financing claims were submitted and the amount of 1.57 billion euros allotted for this measure, by 2013, has been exceeded five times by now. So far, 585 projects worth 1.51 billion euros were contracted, the contracting stage still being under way. The payments made total around 74 million euros. The maximum non-reimbursable amount may be up to 6 million euros. Within the support measure for micro-enterprises setting up and development, launched in September 2008, 3,980 financing claims were submitted. By Aug. 18, around 1,261 projects were contracted, worth almost 183 million euros, but the contracting process is under way. The maximum non-reimbursable amount may be up to 200,000 euros. The activities related to tourism are encouraged by the Measure launched in September 2008. Around 1,401 financing applications were submitted, and 595 projects were contracted, amounting to 105.12 million euros. Most of the beneficiaries were interested in the accommodation structures financial component. Thus, 500 beneficiaries requested support of maximum 200,000 euros to build or update lodging houses, huts and so on. The measure on setting up young farmers was received with great interest. Around 5,261 financing claims were submitted, and 2,671 projects were contracted worth over 56 million euros.

Renewable heating projects worth 11.388 ml lei approved

Romanian Economic Highlights, September 13, 2010. According to data provided by the Environment Fund Administration (AFM), under the program for the installation of heating systems using renewable energy, including the replacement or completion of classic heating systems - "Casa Verde", 1,883 files for financing natural persons were approved. Their total value is of 11.388 million lei. A total number of 2,270 files were checked until the end of August 2010. The projects' application began in July 2010 and the total budget rose to 110 million lei. Most of the files applied for the projects for the increase of energy production from renewable sources, and amount to 726 million euros. AFM has a total budget of 3.797 billion lei representing commitment appropriations and the sum available until the end of the year rises to 1.3 billion lei. The program to boost renewable energy sources has a budget of 440 million lei allocated; 170 million lei are assigned for the national program for improving environmental quality by creating green spaces in localities; the program of improving environmental quality by the afforestation of degraded agricultural plots has 100 million lei earmarked. As much as 300 million lei were allocated for the program for the protection of water resources, integrated water supply systems, treatment plants, sewage and purification plants; the program for the closing of settlement ponds in the mining areas will have a 100 million lei budget, the program on the installation of heating systems using renewable energy will be allocated 80 million lei, the program for the construction of bicycle tracks will dispose of a 54 million lei budget. The program for the public's education and awareness regarding the protection of the environment has a 20 million lei budget.

Source: Agerpres

An additional 100 million euros assigned to SME National Guarantee Fund

Agerpres, ROMANIAN ECONOMIC HIGHLIGHTS, October 18, 2010. The government decided on Oct. 13 to allot extra money to the National Guarantee and Counter-guarantee Fund for Small and Medium Sized Enterprises (SME), i.e. 100 million euros more for 2010, to ease the absorption of European funds by these companies. According to Executive spokeswoman Ioana Muntean, the government adopted an Emergency Ordinance in its Oct. 13 session to improve the absorption of European funds. Under the new law, private investors will be supported in co-financing projects funded with European grants by receiving government guarantees, Muntean explained. "This measure has a dual purpose, i.e. to support private companies on one hand and to improve the absorption of European funds on the other. This law extended the number of beneficiaries of the support programme to those running projects for the Romanian economy financed from European funds. It is about government guarantees awarded through the SME National Guarantee Fund for the loans taken by the beneficiaries of this programme to finance the projects' investment component," added Muntean. Administrative units that are implementing projects financed through the Instrument for Structural Policies for the Pre-Accession programme and those that have ongoing tourism infrastructure projects can access the support funding