Eng. Strategies and Policies For Sustainable Business Development

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STRATEGIES AND POLICIES FOR

SUSTAINABLE BUSINESS
DEVELOPMENT

Andrei Ardelean
Khaled Abdelhay
Maria Romanescu

MSDA
Year II, SEM.II
Organic Agriculture
"Organic farming", a term protected and assigned by the EU to Romania for defining
this system of agriculture, is similar to the terms "organic farming" or "organic farming" used
in other state members. The role of the organic farming system is to produce cleaner food,
more suitable for human metabolism, in full correlation with the sustainability and
development of the environment. One of the main purposes of organic farming is the
production of fresh and authentic agricultural and food products, through processes created to
respect its nature and systems. During the production stage on the farm, the use of genetically
modified organisms (GMOs and their derivatives) of synthetic fertilizers and pesticides,
growth stimulants and regulators, hormones, antibiotics is prohibited.
In the food processing stage, the use of additives, complementary substances and synthetic
chemicals used in the preparation of organic food is restricted.
Organic farming has a major contribution to sustainable development, to the growth of
economic activities with an important added value and to the increase of the interest for the
rural space. The objectives, principles and rules applicable to organic production are set out
in Community legislation and Nation in this field. The provisions on the labeling of
products obtained from organic farming, laid down in Regulation (EC) No. Council
Regulation (EC) No 834/2007 on organic production and labeling of organic products and in
Regulation (EC) no. Commission Regulation (EC) No 889/2008 laying down detailed rules
for the application of Regulation (EC) No 834/2007 are very precise and aim to provide full
consumer confidence in organic products, as products obtained and certified in accordance
with strict rules of production, processing, inspection and certification. In Romania, the
control and certification of organic products is currently provided byinspection and
certification bodiesprivate. They are approved by the Ministry of Agriculture and Rural
Development, based on the criteria of independence, impartiality and competence established
inOrder no. 181/2012.
Organic farming has officially become an occupation. Areas have increased 4 times in
recent years. Recently introduced in the Romanian Occupations Code, the profession of
“operator in mixed ecological farms” can be practiced with legal documents, after following a
training course.
Organic farming has seen an increase in production and area over the last five years,
as well as in the number of operators. The areas cultivated in ecological system have
increased four times in the last years, reaching 450,000 hectares last year. Romania's exports
of organic products tripled in 2013, exceeding 200 million euros, and the number of operators
increased from 2000 in 2008 to 16,000 in 2013.
Last year, the Ministry of Agriculture made available to farmers 50 million euros for
the establishment of 1,000 family farms. The state has financed projects in the vegetable,
horticultural and zootechnical sectors. In terms of animal husbandry, the support is intended
for those who have 3-4 cows and want to expand to 15-20 animals.
Currently, at national level, there are 800,000 farmers who have
between 1 and 5 hectares of land and 11,000 farmers who receive half of the funds that the
country has available because the latter manage half of Romania's agricultural area.
Romanian agriculture represents a business of about 20 billion euros per year, whose
evolution is largely dictated by weather conditions. This market contributes 6.5-7% to GDP.
Acknowledging the difficulties faced by producers, the European Commission has announced
that farmers will be able to benefit from a comprehensive support package of EUR 500
million. The intervention focuses on three aspects: addressing the difficulties faced by
farmers in terms of cash flow, stabilizing markets and improving the functioning of the
supply chain.
With regard to supporting farmers facing short-term cash flow difficulties, the measures
provide for:
 Specific aid- most of this package of measures will be made available to all Member
States in the form of financial packages to support the dairy sector. The Commission
is currently working on a specific aid package for all Member States, paying special
attention to those that have been most affected by market developments. The
Commission will shortly complete the allocation method that will be applied to these
national financial envelopes.
 Advance direct payments-Member States may pay up to 50% of their financial
package of direct payments from 16 October, provided that the necessary checks have
been carried out. (Although normally the closest date is 1 December, the existing
rules already offer this kind of flexibility) The Commission will now propose to
increase this percentage to 70%; the bill is being prepared.
 Advance of certain payments for rural development-Member States may already pay
in advance, from 16 October, up to 75% of the area or number of payments provided
for in rural development (eg agri-environment payments, organic farming, areas with
natural constraints, animal welfare). The Commission will now propose to increase
this percentage to 85%.
 State aid measures-There are also a number of tools that can be mobilized
nationwide. Member States have the possibility to provide financing at national level
under the de minimis rules (less than EUR 15 000 for primary agricultural production
or EUR 200 000 for marketing and processing activities for a period of 3 years).
Member States may use state aid even outside rural development programs, for
example, investment aid, agri-environment commitments, climate change or animal
welfare, organic farming or participation in livestock systems. quality etc. Under
certain conditions, state aid may also be granted for promotion campaigns or for the
closure of production capacities and, under strict conditions,

Organic farm
The organic farm Țopa is a business model that respects all the rigors of organic
farming and, above all, manages, year after year, to become a true apprenticeship school for
farmers who want to give up chemicals, being one of the models to follow regarding the
sustainability sector, in Romania.
Cismas, Dan and Tincuta, manage an ecological farm in Țopa village, eight kilometers from
Sighisoara, in Mures county. The whole agricultural business covers 45 hectares certified
entirely organic and which is grown from medicinal plants and roses for jam, to vegetables
and fruits. Over the years, the two spouses have become a real source of inspiration for those
who will start an ecological farm, and annually, young people from the country and abroad
take their threshold to do "practice" at Topa Farm.
With a project that grows beautifully, Dan and Tincuta remained just as modest and hardly
persuaded them to talk about the results of their work, a job not at all easy, but which also
became their way of life.
Until 2009, Topa Farm was managed by a German foundation that founded it in 2005. The
farm was born for educational purposes and less as a business.
The young farmer remembers that, at the beginning, both she and her husband were simple
people who worked at Topa Farm, and it never crossed their minds that one day they would
even become administrators.
Dan is a mechanic by profession and Tincuta is a cook, a job that always helps her to pamper
her guests at the farm with all kinds of goodies from around the place.
On the farm, the work is done by the whole family. They are also joined by the help of
a tractor driver for field work and three more people responsible for the care of the 20 Baltata
Romaneasca cows.
Among the products of Topa Farm, the best known is their organic rose jam, a delicacy that
Prince Charles of Great Britain himself was delighted with. The 200 ml jar costs only 8 lei, a
price that the Cismas have kept since 2009, when they took over the farm. They also kept the
simple way of preparation, and some of the rose petals are dehydrated in the solar dryers on
the farm and are packaged for teas that sell for 3 lei per bag. Now, the Topa farm still grows
roses on one hectare of the 45, only the Rosa Damascena variety brought from Bulgaria.
At Topa Farm, medicinal plants are also cultivated, such as marigolds, mint, lemon and sage,
but the newest crop is that of the cuckoo, planted this year on 50 acres. The harvest can be
harvested only in three years when they have their first flowers. Another novelty this year is
organic flour, made from organic wheat, which has already been sold out and sold very well
at 4.5 lei per kilogram.
Organic agriculture has a huge potential in Romania, especially since the funds allocated for the
period 2015-2020 exceed 230 million euros. If we were to make a comparison between the funds for
organic farming in the 2007-2013 programming and the one in 2014-2020, there is a significant
increase. Thus, for agricultural crops on arable land, 162 euro / ha were granted until 2013, and for the
next period at least 293 euro / ha is granted. The amount for vegetables in 2014-2020 starts from 431
euro / ha, compared to 335 euro / ha as granted until 2013. In the case of orchards, the support was
393 euro until 2013 and increased to 620 euro . The amount allocated to vineyards can exceed 479
euro / ha, compared to 393 euro within the National Program for Rural Development 2013.
For medicinal or aromatic plants, the support provided was 270 euros, compared to 350
euros in the 2014-2020 session.
Bibliography:
 http://www.madr.ro/agricultura-ecologica.html

 http://www.stiriagricole.ro/trecerea-la-agricultura-ecologica-prioritatea-anului-
2015-fonduri-europene-nerambursabile-de-aproximativ-200-de-milioane-de-euro-
19254.html

 http://www.wall-street.ro/articol/Agricultura/165214/agricultura-ecologica-a-
devenit-oficial-o-ocupatie-suprafetele-au-crescut-de-4-ori-in-ultimii-ani. html?
gclid =
Cj0KEQjwqZKxBRDBkNmLt9DejNgBEiQAq8XWPkPkgrvbtbgC0dGBrIjiob8x0
KjZLvYdDsU80dXQjxsaAoNc8P8HAQ

 http://www.gazetadeagricultura.info/afaceri-agricole/subventii-agricultura/627-
plati-apia/17784-platile-catre-fermieri-se-pot-realiza-incepand-cu-16-
octombrie.html

 http://www.ecomagazin.ro/lectia-de-agricultura-ecologica-de-la-topa-doi-soti-
reusesc-sa-administreze-cu-succes-o-ferma-bio-gandita-ca-afara/

 http://www.evz.ro/agricultura-ecologica-prinde-radacini-si-la-noi.html

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