Fruit Industry in Serbiausz.gov.rs/files/publikacije/FruitIndustryInSerbia.pdf · Fruit Industry in...

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Fruit Industry in Serbia Fruit Industry in Serbia Serbia Investment and Export Promotion Agency Supported by United Nations Development Programme Funded by the Government of the Netherlands

Transcript of Fruit Industry in Serbiausz.gov.rs/files/publikacije/FruitIndustryInSerbia.pdf · Fruit Industry in...

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Fruit Industry in SerbiaFruit Industry in Serbia

Serbia Investment andExport Promotion Agency

Supported by United NationsDevelopment Programme

Funded by the Government of theNetherlands

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General Data . . . . . . . . . . . . . . . . . . . . . . . . . . .2About Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . .3Investment Incentives . . . . . . . . . . . . . . . . . . . .4Fruit Sector . . . . . . . . . . . . . . . . . . . . . . . . . . . .5Investment Opportunities . . . . . . . . . . . . . . . . . .6Fruits by Variety

Plums . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .7Blackberries . . . . . . . . . . . . . . . . . . . . . . . . . .8Strawberries . . . . . . . . . . . . . . . . . . . . . . . . . .9Forest Strawberries . . . . . . . . . . . . . . . . . . . . .9Peaches . . . . . . . . . . . . . . . . . . . . . . . . . . .10Cherries . . . . . . . . . . . . . . . . . . . . . . . . . . . .11Raspberries . . . . . . . . . . . . . . . . . . . . . . . . .12Apples . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13Pears . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14Grapes . . . . . . . . . . . . . . . . . . . . . . . . . . . .15Apricots . . . . . . . . . . . . . . . . . . . . . . . . . . . .16

Success StoryFresh&Co. . . . . . . . . . . . . . . . . . . . . . . . . . .17Foodland . . . . . . . . . . . . . . . . . . . . . . . . . . .18Nektar . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19Malina Produkt . . . . . . . . . . . . . . . . . . . . . . .20Mondi Serbia . . . . . . . . . . . . . . . . . . . . . . . .21

Industry Leaders . . . . . . . . . . . . . . . . . . . . . . .22About SIEPA . . . . . . . . . . . . . . . . . . . . . . . . . .24

Contents

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Official NameForm of State

Legal SystemPolitical Structure

AreaPopulation (in million)

Geographic Position

Official LanguageMain ReligionLargest Cities

CurrencyExchange Rate

GDP (2004)GDP per Capita (2004)

Time ZoneInternet Domain

Republic of SerbiaDemocratic Republic, member Stateof the State Union of Serbia and MontenegroBased on the Serbian Constitution of 1989President, Unicameral Assemblywith 250 seats88.361 sq km7.498South East Europe, central part of BalkanPeninsula; borders Hungary, Bulgaria,Romania, FYR Macedonia, Albania,Bosnia and Herzegovina, and CroatiaSerbianChristian OrthodoxBelgrade (capital): 1.5 million,Novi Sad: 300.000, Ni�: 250.000Dinar (CSD)1 USD = 63.0545 CSD,1 EUR = 81.4979 CSD(as of 29th of April 2005)21.377 billion USD2.813 USDCentral European time zone (GMT + 01:00).yu

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Southeastern Europe is the region with the highest growth inEurope. For companies that seek to start or expand theirbusinesses in this region, Serbia is a place to be. For anumber of reasons Serbia and Montenegro is the onlycountry outside of the Commonwealth of Independent States(CIS) that enjoys a free trade agreement with the RussianFederation, offering a customs-free access to its market of150 million people!

Serbia is in the middle of the South East Europe Free TradeArea that provides a duty-free access to a potential marketof 55 million people. The local - Serbian market itself isamong the largest in the region (7.5 million people).Moreover, Serbian economy grew by 7,6% in 2004 (GDPgrowth) and is expected to retain high growth rates, whichwill lead to a significant increase in purchasing power andexpansion of the domestic market.

By operating in Serbia, a company can fully benefit fromhaving production outside the EU, while enjoying thepossibility of easily accessing EU markets. It is a naturalgateway between South East Europe, and Westernand Central Europe, and a place where two most importanttransportation corridors connecting Western Europe andMiddle East (Pan-European corridors No. 10 and No. 7)intersect.

Extraordinary human capital at competitive pricesEvery year, thousands of young graduates leave universitiesand colleges in Serbia. Highly educated people, fast learners,receptive to new technologies, familiar with IT, and well versedin foreign languages, represent Serbia�s true capital. On theother hand, Serbia possesses a skilled and productive workforcewith a wealth of experience, both in management andmanufacturing. A tradition of cooperation with foreign companiesand decades of openness towards Western culture and valueshave left a mark on their skill-set. However, this exceptionalhuman capital is available at very competitive prices. Thecosts of labor in Serbia are among the lowest in the regionand significantly lower than those in the EU member countries.

Favorable tax regimeThe tax regime in Serbia is the most favorable in the region.Serbia has the lowest corporate profit tax rate in Europe, set at 10%.

About Serbia

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If you invest in fixed assetsTaxpayers investing in fixed assets are entitled to a tax credit of up to20% of the value of the investment made in that year. The tax credit islimited to 50% of assessed tax in the year of the investment. Theunused portion of the tax credit can be carried forward up to 10 years.

Taxpayers classified as small companies are entitled to a taxcredit of up to 40% of the value of their investments in fixedassets in the year of investment. In this case, the credit islimited to 70% of assessed tax in the year of the investment.Certain industries, including agriculture, are entitled to receivea tax credit of up to 80% of investments made in purchasingfixed assets with their own financing. The unused portion ofany such credit can be carried forward for up to ten years.

If you employ new workersTaxpayers who employ new workers are entitled to a taxcredit equal to their new employees� gross salaries plusrelated social security contributions paid by the employer.

For your big investmentsTaxpayers who invest over CSD 600 million (around 7.4mill. Euro) in fixed assets and employ at least 100 newworkers are not liable for corporate income tax for up to tenyears, provided that those assets are used for the activitiesfor which the taxpayer is registered.

Other incentives�Import of equipment and other assets as well asconstruction materials representing a foreign entity�sinvestment is exempt from customs duties.�Import of raw materials, semi-finished and componentparts carried out for the purpose of realization of a long-term production contract in cooperation with a foreignproducer is exempt from customs and other import duties.�The liberalization of property laws made it possible forforeigners to own real estate.

Investment Incentives

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Fruit export (by level of processing) in 2004Level of processing Export (in tons)Frozen fruit 104.000Fresh fruit 48.200Juices and fruit concentrate 28.500Preserved fruit 7.900Dried fruit 2.300Cooked and candied fruit 1.500Stone fruit 720

Serbia�s fruit export partners in 2004Country Export (in millions of EUR)Germany 48France 24.5Bosnia and Herzegovina 23Austria 18Belgium 14.5Netherlands 12Great Britain 8Italy 5.5Sweden 4.3Croatia 3.7

Total fruit production in 2004Type of fruit Production (in tons)Apples 184.000Pears 59.000Peaches 58.020Plums 560.000Grapes 425.000Strawberries 33.000Cherries 140.000Apricots 40.000Raspberries 92.000Blackberries 25.000

Blessed with fertile soils and favorable climatic conditions,agriculture has always been an important part of theSerbian economy. The total area of agricultural landexceeds 6 million hectares with 85% of ownershipbelonging to private farms. The total land covered with fruitexceeds 310 thousand hectares.

Serbia has ideal climatic conditions for the growing offruit. The country�s territory is rich in microclimates thatare perfectly suited for organic fruit production makingthe development of this sector extremely promising. Itssoil is still one of the cleanest in Europe, most of thefruit is grown in perfect conditions, hand picked andcarefully stored and packaged. Serbian fruit cultivation,which places an emphasis on quality and flavor,contrasts with the large industrialized farms of the West.In fact, most fruit in Serbia is still grown on small, familyowned farms.

Serbia�s fruit processing industry is well developed andpoised to lead export growth for the country. Currently, theindustry exports juices, concentrates, purees, jams, andfrozen and dried fruit. Premium juices have always usedhigh quality Serbian fruit as a basic ingredient, and nowSerbia�s own premium juice brands are one of the country�sfastest growing exports.

Demand for Serbian fruit is growing steadily, withexports showing an upward trend not just in quantitybut also in the number of countries which are becomingimporters. In 2004, Serbia exported $163 million infruit and fruit products. The vast majority of Serbianexports go to the European Union, and as the EU�shealth standards become stricter many companies havequickly responded by introducing quality standards suchas HACCP.

Source: Association for Fruits and Vegetables

Source: Statistical Office of the Republic of Serbia

Source: Statistical Office of the Republic of Serbia

Fruit Sector

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Investment opportunities in the fruit processing sector areprovided primarily by the quality of raw materials that canbe used in production. In addition, potential investors haveall the necessary support from Serbia�s recognized fruitresearch institutes as well as a broad base of highly skilledtechnologists at their disposal. Years of experience in thisparticular sector, which we can confidently consider to beone of Serbia�s finest, can make a difference whencompeting in markets throughout the world.

Quality products, made of the finest raw materials are extremelylikely to sell well almost anywhere in the world. Sinceagriculture has always been an important part of Serbia�seconomy, there is a large number of fruit processing plantsoperating in the country. Due to sanctions and underinvestmentin recent years, most of the plants work with outdatedtechnology which has not been modernized since the 1980�s.However, Serbia still has qualified labor with valuableexperience, fertile soils and quality fruit. Investing in themodernization of Serbia�s fruit processing plants offers foreigninvestors an opportunity to create substantial cost savings inthe industry and recover the cost of their investment quickly.

Investing in Serbia will make it even easier to access someof the most interesting markets in the region. Being in thevery centre of the Balkans and having free trade agreementswith all of the neighboring countries make it possible to operateand service the entire region from Serbia. Moreover, Serbiais the only country outside of the CIS that has a free tradeagreement with Russia. Therefore, operating from Serbia canhelp make you turn costs into profits when exporting to Russia.

Whether you choose to invest in an existing company orstart your own Greenfield investment, you should be sure tograsp all the opportunities that Serbia offers. Apart fromyour goals, visions, challenges and demands, investing inSerbia is bound to be a fruitful experience.

InvestmentOpportunities

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Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Plums

Plums are considered one of Serbia�s most traditional fruits.The fact that there are about 42.5 million plum trees inSerbia is the best single indicator of how popular plums are.Not only are there many plum trees in Serbia, but every treeyields approximately 13.2 kilograms. In overall terms, morethan 560 thousand tons of plums were produced in Serbiain 2004.

There are nine basic types of plums grown in Serbia:Stanley, Mad�arka, Pozegaca, Čačak Beauty, Čačak Best,Čačak Rich, D�enerika, Ringlov and Trnovača. Most of theplums grown are of the Stanley type, which isunderstandable considering that this particular type of plumis suitable for both fresh consumption and processing.However, locally developed varieties from the Čačak rangeare also very popular. These plum types, which are namedafter the city of Čačak in central Serbia, are well knownbeyond the borders of Serbia and grown in other parts ofthe world.

Not only is Serbia growing a lot of plums, it is alsodeveloping new varieties that can enable people throughoutthe world to enjoy the taste of plums. In 2004 alone,agriculture institutes in Serbia developed three newvarieties of this fruit.

Apart from being sold fresh, Serbian plums are also oftenprocessed. Plums are used in the production of�ljivovica, a traditional Serbian plum brandy. In 2004,�ljivovica production exceeded 400,000 liters. Driedplums are also a specialty of Serbia but most people,and children in particular, would claim that plum jamsand preserves are the most delicious types of processedplum product.

Out of total exports, fresh and dried plums account for 74%and 23% respectively.

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Blackberries are a local favorite and an important exportcrop. The main varieties of blackberry grown in Serbiainclude Thornfree, Cacak Thornfree, and Black Satin. Mostblackberries in Serbia are still grown on small farmsaccording to traditional techniques of cultivation. Picking orharvesting is done only by hand.

Blackberries are grown on 5.3 thousand hectares throughoutSerbia. With an average yield per hectare of 4.8 tons,Serbia produced 25 thousand tons of blackberries in 2004.There is an upward trend in Serbian blackberry productionindicating that Serbia may become one of the leadingproducers of blackberries in Europe.

Out of total blackberry production in Serbia 84% goes toexport. The majority of Serbian blackberries for exportare frozen (90%), while a smaller amount is chilled(10%) and exported fresh. Most exports go to theEuropean Union.

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Blackberries

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Serbian strawberries are known for their rich red color and its abilityto sustain fresh flavor even after freezing and processing. Strawberriesare grown on more than 8.5 thousand hectares throughout Serbia.With an approximate yield of nearly 4 tons per hectare in 2004,Serbia produced more than 33 thousand tons of strawberries.

The most commonly grown variety is Senga Sengana, with aquickly growing trend of production of Camarosa and othervarieties which are more suitable for fresh consumption.Thanks to the support of relevant agricultural institutes, Serbianstrawberries can be used in many different ways. Strawberries areoften used for jams and preserves as well as in the sweets industryand in fruit juices. Nevertheless, the market for fresh strawberriesstill remains one of the most lucrative for producers of this fruit.

Only a small percentage of total strawberry production inSerbia is exported. Most of it goes to the domestic market since it iswidely used for fresh consumption as well as for homemade jamsand preserves that can be found in almost any home in Serbia.Out of total Serbian strawberry exports, 93% are frozen. A smallpercentage is fresh and canned strawberries.

Forest strawberries are a variety that is rarely sold in commercialquantities. Serbia is one of the few countries in the world thatexport this product. These strawberries are known as FragariaVesca. Small in size, they have the most intense flavor. Theyare always picked by hand and represent a true premiumproduct sold in luxury markets.

Strawberries

Strawberries

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecForest

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Peaches are another favorite fruit in Serbia, and are usedto produce a wide variety of products. There are around4 million peach trees in Serbia. With an average yield pertree of 14.7 kilograms, Serbia produced 58 thousand tons in 2004.

Main varieties include Spring Gold, Spring Lady, Red Heaven,and the Serbian Vineyard Peach.

Out of all these varieties, the Serbian Vineyard Peach is themost popular. The fruit is small, but highly flavorful. SerbianVineyard Peaches are popular in the country�s fresh producemarkets. Due to their intense peach flavor, they are highlyvalued for use in jams, preserves, and other processedpeach products.

Out of total Serbian peach exports, 46% are exported freshand 54% in the form of juice.

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Peaches

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Both sour cherries and sweet cherries are represented wellin Serbia. With more than 1.8 million sweet cherry treesand almost 9 million sour cherry trees, Serbia clearly hastradition and knowledge of growing cherries. More than 112thousand tons of sour cherries and almost 31 thousand tonsof sweet cherries were produced in Serbia in 2004. There isa significant trend of increase in the production of sourcherries in Serbia, since production in 2003 stood at almost90 thousand tons and prior to that, average annualproduction was around 75 thousand tons. Average yield pertree for sour cherries is about 12.6 kilograms and 16.8kilograms for sweet cherries.

The vast majority of sour cherries grown in Serbia are of theOblacinska variety. Other varieties present are �umadinkaand Burlat�s Early. Sweet cherry varieties include Bing,Lambert, Burlat, Lapins, Sweetheart, Stella, Asen�s Earlyand Dragan�s Yellow.

Apart from fresh, both sour and sweet cherries areconsumed as preserves, jams, juices and liqueurs. Both areused in production of yoghurts, while sour cherries are alsoused in the sweets industry. Famous for its quality, cherriesin liquor are suitable for liquor flavored chocolates.

Out of total Serbian sour cherry exports 49% are frozen,36% are fresh and 15% are canned.

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Cherries

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Raspberries are one of Serbia�s best known and most widelyexported fruits. Serbia is one the biggest producers and exportersof raspberries in the world. They are prized worldwide fortheir color, unique taste, and firmness. Between 90-95% ofSerbian raspberries is the North American Willamettevariety from Oregon. Other raspberry varieties cultivated inSerbia include Meeker, Promise and Gradina from Europe.Raspberries are grown on small family owned farms on plots ofland that average 0.5 hectares. They are harvested by hand.

Raspberries are grown on 16 thousand hectares throughoutSerbia. With average yield per hectare of 6 tons Serbiaproduced 92 thousand tons of raspberries in 2004.

The Serbian raspberry harvest starts in late June and endsin July, depending on weather conditions and location offields. Almost 90% of Serbia�s raspberry production isfrozen in cold storage plants, while around 10% remains inSerbia for use by the processing industry, or is sold in opengreen markets and supermarkets. Most fresh raspberries aresold and consumed during the summer season. Themajority of Serbian raspberries are exported frozen (93%),while a smaller amount is chilled (7%) and exported fresh.

Raspberries are frozen at the temperature of -40° C and arestored at temperatures of -18° to -20° C. Chilled raspberriesare cleaned, prepared and stored at 0° C and thentransferred by refrigerated trucks to their destinations withina maximum of three days. Once chilled, raspberries areoften further processed into juice and concentrates. Mostproduction is exported to Western European markets.

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Raspberries

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With almost 15 million trees, apples represent an importantsub�sector of the fruit growing industry in Serbia. In 2004apple trees yielded more than 184 thousand tons, and therecent yield growth rate suggests that very soon Serbia willbe producing about a quarter of a million tons per annum.At the moment, on average 12.3 kilograms of apples areyielded per tree in Serbia. Serbia is also a substantialproducer of organic apples.

In Serbia, both international and local varieties of apples aregrown. From the well known international varieties, Fuji,Gala, Golden Delicious, Granny Smith, Idared, Jonathan,Red Delicious, Jonagold, Melrose and Gloucester are themost common. Local types grown are Kolačara, Đula,Petrovača, Krstovača, Kozara and the popular Budimka.Budimka has been a market favorite for a number of yearsand it is considered to be a treasured local variety. It is redin color and has sharp and intense flavor which makesthis variety suitable for both processing and freshconsumption.

Processed apples most often end up as beverages. Applejuice concentrate is one of the most important ingredientsfor the production of many other juices, and in particular forthose juices that consist of several different fruits. Jabukovača,or apple brandy, is yet another variety of alcoholic beveragemade of fruit well known in Serbia.

The majority of Serbian apples exported are fresh � 90%,while a small percentage is exported as dried apples andconcentrate.

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Apples

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In Serbia, pears are a favorite fruit. With more than 5 million treesof productive age, it is also one of the most widely grown species.In 2004, more than 58 thousand tons of pears were produced,well above the annual average which stands at around 50thousand tons. On average each tree yields about 11.4 kilogramsof pears. The main varieties of pear grown in Serbia are William(Bartlett) and Red William. Local varieties include Kaluđerka,Kra�anka, Karamanka, Lubeničarka and Bo�kova Bočica. Such awide range of local varieties suggests that not only are pears one ofthe beloved types of fruit but also that Serbian agriculture institutesare interested in the development of new types of pears.

Processed pears are most often used in the beverage industry.Apart from juices that preserve the fruit�s true flavor, pearsare often used in the production of alcoholic beverages. Oneof the most luxurious alcoholic beverages made of pear isviljamovka, a type of brandy, with a fully ripe and grown pearinside the bottle. Out of total exports, fresh pears accountfor 87% while canned pears account for the remainder.

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Pears

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There are nearly 70 thousand hectares of vineyards in Serbiawith a total production of 425 thousand tons of grapes in2004. The total number of grape vines is around 350thousand with an average yield of 1.22 kilograms per grapevine. Wine production in 2004 was 1,550,000 liters. Themajority of production is accounted for by small, local wineries.

Major varieties include Belgrade Seedless, Prokupac,Sauvignon, Italian Riesling, Cabernet, Chardonnay,White and Red Burgundy, Hamburg, Muscat, Afus Ali,Vranac, Tamjanka, Krstač, Smederevka, and Dinka.

Serbia has significant potential to increase its cultivationof grape vines since there is a lot of land available in thecountry that is ideal for vineyards. The wine produced inSerbia is gaining in popularity worldwide. Most of the localwineries are small but have a lot of potential. Some of themexport the majority of their wine to markets in the region andthe European Union.

GrapesJan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

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It is very difficult to find a backyard in Serbia without anapricot tree. Apricot trees are common throughout the country.There are around 1.7 million apricot trees in Serbia. With anaverage yield per tree of 25.2 kilograms, Serbia produced morethan 40 thousand tons of apricots. The greatest concentrationof apricot trees can be found along the Danube River.The varieties of apricots that are most often grown in Serbiaare Hungarian Best, Roxana and Kečkmet Rose. HungarianBest apricots are sweet and attractive and balance excellentflavor, aroma and acidity. Such characteristics make theseapricots well suited for processing in many ways.In Serbia, apricots are enjoyed both fresh and processed. Processedapricots can be found in jams and various other preserves. Just likewith many other fruits, alcoholic beverages made of apricots arewell known in Serbia. Juices are another ch aracteristic beveragemade of apricots and there is a long tradition of production.Out of total Serbian apricot exports, almost 75% are juices,20% are fresh and the remaining 5% are accounted byfrozen, canned and dried apricots.

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

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Fresh&Co. has officially become the biggest and mostpromising fruit juice company in Southeastern Europe. Sinceits founding in 1996, the company has focused exclusivelyon fruit � a product for which this region is knownworldwide.Fresh&Co. is famous for its neXt fruit juice brand, the mostpopular juice brand in Serbia and Montenegro. They arewinners of many prestigious national and international awards.

The European Marketing Research Centre (EMRC) awardedFresh&Co. with the prestigious EUROMARKET 2003 award asthe most promising agricultural company in Southeastern Europe.

At the World Juice Conference in Amsterdam in 2004, neXtNFC Raspberry juice gained the industry�s highest recognition �the World Juice Award in 2004 for the best new juice in the world.

The Serbian Investment and Export Promotion Agency(SIEPA) awarded Fresh&Co. the Exporter of the Year award,for the best new export product of 2004 � neXt Raspberry.Fresh&Co. operates with the international quality systemsISO 9001, ISO 14001 and HACCP.

With a current production capacity of 140 million units peryear, Fresh&Co. is the absolute leader in the Serbian fruitjuice market. It is continuously attracting the attention ofmajor foreign investors and partners. The World Bank (IFC �International Finance Corporation) and the European Bankfor Reconstruction and Development (EBRD) are just someof its partners. Their investments will help Fresh&Co.acquire a leading position in other markets and furtherexpand the company and its exports.

neXt juices are now present in over 30 countries of the world.Apart from countries in Southeastern Europe, neXt juices arepresent throughout the world � Great Britain, Scandinavia,Italy, Germany, Belgium, as well Canada, USA and Australia.

success story

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Foodland is a unique Serbian company that focuses onproducts prepared traditionally, like grandmothers did inthe past. All the fruit that that is used for making itsproducts comes from Kopaonik, a mountain knownworldwide for its clean air, a number of streams withextremely pure water, green valleys and untouched nature.Apart from fruit grown on small family farms, a number offorest and mountain fruits and herbs are used. Using fruitgrown in this region is the most important factor of thiscompany�s success.

Since its founding, Foodland has been constantlydeveloping new products in order to satisfy its customers�needs. In an era of industrialized production, where there isvery little difference in quality between fruit products, theirmission is to offer something different products that are100% natural, without preservatives, additives and artificialcolors. Known as �handicrafts� because of their traditionalmethod of processing, products are produced in small seriesand limited quantities. Foodland produces home�madepreserves, jams, dried fruit sweetened with honey,compotes and a special line of diet products.

The market share of this company in the Serbian market isgrowing steadily. They are suppliers for leadingsupermarkets, hotel chains and health food stores.Nevertheless, the company is especially proud of its exportfigures and the demand for its products worldwide. They arealready present on three continents (Europe, Australia andNorth America) and it is likely that 2005 will be the mostsuccessful year since their founding.

In order to better serve their customers; in September 2005Foodland will have HACCP and ISO 9001 certificationwhich will further attest to the quality of their products.

success story

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It took Nektar less than seven years to grow from a modestlocal non�alcoholic beverage and apple vinegar producerinto one of the biggest and highly respected fruit andvegetable processors in the Balkans.

Back in 1997, few guessed that the company could gosuch a long way in such a short time. Many othercompanies have taken much longer to get to the sameplace�onto the tables of hard�to�please consumers.

At the moment, Nectar is the only factory in the regionwhich exercises control over the entire production process:from growing and purchasing of fruit, to sub�contractingwith growers, production of fruit concentrates and pulp,production of fruit juices, alcoholic beverages and jams.Final products are sold through its own distribution network.

Continuous technological improvement, new productdevelopment and enduring attention to high and stablequality have contributed to the fact that Nektar is now asynonym for the best from Serbia.

Its major export market is the European Union. In order tobe more competitive and insure a presence in reputableworld markets, Nektar has introduced ISO 9001 andorganic food certification.

success story

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Malina Produkt is one of the most successful Serbiancompanies engaged in the purchasing, freezing, sorting andexporting of frozen fruit such as raspberries, blackberries,sour cherries, strawberries, and wild forest fruit.

Their modern and efficient factory is located in the heart ofSerbia, an area traditionally known for growing the bestquality raspberries. This area produces about 35% of totalraspberry production in Serbia.

Malina Produkt purchases almost all of its total annualquantity of raspberries from nearby farmers. Specific climateconditions as well as the quality of the soil contribute to theunique taste, aroma and fragrance of these fruits. Thanks tothe company�s special processing techniques, these fruitskeep their specific, healthy and natural characteristics evenwhen they are frozen.

Malina Produkt has storage space with a capacity of 3.000tons and six static freezing tunnels with a total capacity of140 tons a day. In its large sorting area, highly trained andskilled workers produce the highest quality of IQF fruit, aswell as whole, broken and crumbled fruit.

With its fully modern small packaging line, Malina Produktis a reliable partner for small packaging, offering both polybags and click�clack carton boxes. The sorting process isstrictly supervised in order to meet customers� expectationsof high product quality and safety, and fast delivery times.

Malina Produkt recently obtained organic food certificationgranted by the German certifying body BSS. The HACCPquality standard will also be obtained by the end of May 2005.

Malina Produkt�s mission is to become one of the leadingexporters of frozen fruit in Serbia, offering the highestpossible quality.

success story

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Mondi Foods has more than 40 years� experience inthe fruit business and today is one of the majorEuropean processors of red fruit products. Within itsstrategy of backwards integration, in 2002 Mondilaunched a greenfield investment in central Serbia �the freezing and sorting of red fruit for the Europeanmarket, mainly raspberries, blackberries and oblacinskacherries. It was the first foreign investment in theSerbian fruit processing industry. This investmentenhanced Mondi�s position as a supplier of organicallycultivated fruit to European markets.

Today, Mondi Serbia�s turnover amounts toapproximately €4,5 million. In Serbia, it has a storagecapacity of 4.000 tons, and employs around 150people year round, which increases to around 350people during the fruit harvesting season (July �August).

Mondi Serbia has a new Frigoscandia flow freezetunnel that is already processing IQF fruits incombination with a new laser sorting line. A newcoldstore was opened in June 2003 and expandedfrozen fruit storage capacities by more than 2.500pallets.Thanks to these investments the company isable to serve its customers with top quality fruitproducts from Serbia.

Mondi Serbia produces according to the HACCP qualitysystem. Moreover, in 2004 this company became thefirst Serbian fruit cold store to attain high levelBRC�certification (British Retail Consortium).

Although the investment took place at a time whenSerbia was in a transitional period, the decision toinvest was the right one at the right time following thisgroup�s strategy.

success story

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AGRANELAMirka Obradovića bb14000 Valjevophone: +381 14 230 224, +381 11 3973 599fax: 011 2460 482e�mail: [email protected]/view_new.phpContact: Aleksandar TomićProducts: frozen fruits, dried plums and cherries

AGROEKONOMIKUstanička 6411000 BelgradeSerbia & Montenegrophone: +381 11 444 2221fax: +381 11 344 6075e�mail: [email protected]: frozen fruits, fruit juices, fruit juice concentrates and jams

ATLEStudentski trg 1711000 BelgradeSerbia & Montenegro phone: +381 11 182 660fax: +381 11 628 693e�mail: [email protected]: frozen and pre�cooled fruit

DONIMPEXMomira Gajića 811320 Velika Plana, phone: +381 26 523 053fax: +381 26 522 748Products: frozen and dried fruits

ETHNO FOODDunavska 27/121000 Novi SadSerbia & Montenegro phone: +381 21 610 548fax: +381 21 451 885e�mail: [email protected]: Milena MartinoProducts: ethno food preserves, jams and jellies

FOODLANDRuzveltova 211000 BelgradeSerbia & Montenegrophone:+381 11 2411 769fax: +381 11 428 579e�mail: [email protected]: fruit jams, preserves and compotes

HIBRID14 Decembra 82-8411000 BelgradeSerbia & Montenegro phone: +381 11 4442 172fax: +381 11 2432 208e�mail: [email protected]: frozen fruits

LIBERTASBeogradska 811000 Beogradphone: +381 11 3086 103fax: +381 11 3085 337e�mail: [email protected]: fresh and frozen fruits

Industry Leaders

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MALINA PRODUKTMilentija Popovića 9SAVA Centar, delegatska 2011000 BeogradSerbia & Montenegro phone: +381 11 311 2350fax: +381 11 311 1532e�mail: [email protected]: Snje�ana SredojevićProducts: frozen fruits, standard and small packs

MLBelo�evac 114000 Valjevophone/fax: +381 14 231 444e�mail: [email protected]: Momir LučićProducts: frozen fruits

MONDI SERBIA36000 VrdilaKraljevoSerbia and Montenegrophone/fax:+381 36 821 820www.mondifoods.beProducts: frozen fruit

NECTARNovosadski put 921400 Backa PalankaSerbia & Montenegro phone: +381 21 520 178e�mail: [email protected]: juices and juice concentrates, jams and frozen fruit

TAKOVORadovana Grkovića b.b.32300 Gornji Milanovacphone: +381 32 710 380 fax: +381 32 710 391 e�mail: [email protected]: fruit juices and fruit syrups

SIROGOJNO31207 SirogojnoSerbia & Montenegro phone: +381 31 802 011fax: +381 31 802 075e�mail: [email protected]: frozen fruit

VAN DRUNEN FARMSNjego�eva bb23216 Banatsko KarađorđevoSerbia & Montenegro phone: +381 23 835 018fax: +381 23 835 018www.vandrunen-farms.co.yuProducts: freeze dried and dried fruits

VULIĆ & VULIĆphone/fax: +381 18 649 331 e�mail: vulic&[email protected]: frozen fruits

YUCOMNova bb24214 TavankutSerbia & Montenegro phone: +381 24 767 001fax: +381 24 767 033e�mail: [email protected]: jams, frozen pies, canned fruit

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Serbia Investment and Export Promotion Agency (SIEPA)is a Government Agency established in 2001 to facilitateand support foreign direct investments and promoteSerbian exports.

The list of services that SIEPA provides to foreign investors:

� Analyzing Serbian business environment and providingcritical information regarding the process of setting�up acompany in Serbia, and the overall climate for doingbusiness;

� Preparing sector analyses and studies that give athorough overview of the situation in particular sectorsof the Serbian economy;

� Providing help in identifying and acquisition of attractiveGreenfield and Brownfield sites;

� Assistance in obtaining necessary permits and licenses,thus speeding up the completion of investment projects;

� Helping in finding partners and suppliers amongSerbian companies.

Only by effectively networking with public sector bodies, aswell as private sector, SIEPA can best respond to the needsof foreign investors. In particular, SIEPA works in closecooperation with the following institutions:

� All government ministries and other governmental bodies,� Municipal authorities and local self�government,� Building Directorate of Serbia and Agency for Building

Land and Construction of Belgrade,� Tax and customs authorities,� Statistical bureaus,� Chambers of commerce,� National Bank of Serbia,

and all other institutions related to the process ofestablishment and successful pursuit of business venturesin Serbia.

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Serbia Investment andExport Promotion Agency

Vlajkovićeva 311000 Belgrade

tel.: +381 11 3398 550+381 11 3398 653+381 11 3398 772

fax: +381 11 3398 [email protected]

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IEPA