Since agriculture is the highly important economic activity in the Republic of Serbia, it is necessary to create an environment in which competitive agricultural enterprises will develop. However, regions in the Republic of Serbia considerably differ regarding the intensity of agricultural activity. This paper examines the impact of agricultural enterprises on the region’s contribution to the gross domestic product (GDP) of the country in the period between 2010 and 2018. Activity of agricultural enterprises was observed using number of agricultural enterprises, number of employees in them, their turnover and gross value added. Random-Effects GLS regression showed that regions with higher agricultural activity contribute to the lesser extent to the GDP of the country. Research results are robust to changing sampling period and lagging independent variables. In this regard, several proposals have been recommended.


Download data is not yet available.


1.Andrei, J. V., & Darvasi, D. (2012). Perspectives and challenges in financing the new Common Agricultural Policy, a new paradigm. Journal of Food, Agriculture & Environment, 10(1 part 2), 904–907.
2. Andrei, J. V., Mieila, M., & Panait, M. (2017). The impact and determinants of the energy paradigm on economic growth in European Union. PloS one, 12(3), e0173282. doi:10.1371/journal.pone.0173282
3. Aničić, D., Nestorović, O., Simić, N., & Miletić, S. (2019). The perspectives of sustainable development of Serbia’s agriculture in globalized environment. Economics of Agriculture, 66(1), 221–235. doi: 10.5937/ekoPolj1901221A
4. Aničić, J., Vukotić, S., & Krstić, S. (2016). The strategic aspects and results of agriculture development in Serbia in the transition period. Economics of Agriculture, 63(1), 175–187. doi: 10.5937/ekoPolj1601175A
5. Avermaete, T., Viaene, J., Morgan, E. J., & Crawford, N. (2003). Determinants of innovation in small food firms. European Journal of Innovation Management, 6(1), 8–17. doi: 10.1108/14601060310459163
6. Batterink, M. H., Wubben, E., Klerkx, L., & Omta, S. (2010). Orchestrating innovation networks: The case of innovation brokers in the agri-food sector. Entrepreneurship & Regional Development, 22(1), 47–76. doi: 10.1080/08985620903220512
7. Boehlje, М., Roucan-Kane, М., & Bröring, S. (2011). Future agribusiness challenges: Strategic uncertainty, innovation and structural change. International Food and Agribusiness Management Review, 14(5), 53–82.
8. Bogdanović, S, & Hadžić, M. (2018). Encouraging export of agricultural products of higher processing stages. Ekonomija-Teorija i praksa, 11(1), 35–51. [in Serbian: Богдановић, С., & Хаџић, М. (2018). Подстицање извоза пољопривредних производа виших фаза прераде].
9. Bošković, G., & Kostadinović, I. (2011). SMEs clusters – the key to economic development. Škola biznisa, 4, 54–68. [in Serbian: Бошковић, Г., & Костадиновић, И. (2011). Кластери малих и средњих предузећа – кључ економског развоја].
10. Bubić, J., & Hajnrih, J. (2012). The analyses business performances of agricultural enterprises in Vojvodina during the current crisis. Economics of Agriculture, 59(2), 183–194.
11. Burke, K. (2010). The impact of Internet and ICT use among SME agribusiness growers and producers. Journal of Small Business & Entrepreneurship, 23(2), 173–194. doi:10.1080/08276331.2010.10593480
12. Casini, L., Contini, C., & Romano, C. (2012). Paths to developing multifunctional agriculture: insights for rural development policies. International Journal of Agricultural Resources, Governance and Ecology, 9(3-4), 185–203. doi: 10.1504/IJARGE.2012.050347
13. Drăgoi, M. C., Andrei, J. V., Mieilă, M., Panait, M., Dobrotă, C. E., & Lădaru, R. G. (2018). Food safety and security in Romania – An econometric analysis in the context of national agricultural paradigm transformation. Amfiteatru Economic, 20(47), 134–150. doi:10.24818/ea/2018/47/134
14. Folkerts, H., & Koehorst, H. (1997). Challenges in international food supply chains: Vertical co-ordination in the European agribusiness and food industries. Supply Chain Management, 2(1), 11–14. doi: 10.1108/13598549710156312
15. Garabinović, D. (2019). Online marketing promotion of local tourism organizations: The analysis of the situation in Moravica administrative district. Menadžment u hotelijerstvu i turizmu – Hotel and Tourism Management, 7(1), 71–81. doi:10.5937/menhottur1901071g
16. Hediger, W., & Knickel, K. (2009). Multifunctionality and sustainability of agriculture and rural areas: A welfare economics perspective. Journal of Environmental Policy & Planning, 11(4), 291–313. doi: 10.1080/1523908090341245
17. King, R., Boehlje, M., Cook, M., & Sonka, S. T. (2010). Agribusiness economics and management. American Journal of Agricultural Economics, 92(2), 554–570. doi:10.1093/ajae/aaq009
18. Kirsten, J., & Sartorius, K. (2002). Linking agribusiness and small-scale farmers in developing countries: Is there a new role for contract farming? Development Southern Africa, 19(4), 503–529. doi: 10.1080/0376835022000019428
19. Knudson, W., Wysocki, A., Champagne, J., & Peterson, H. C. (2004). Entrepreneurship and innovation in the agri-food system. American Journal of Agricultural Economics,86(5), 1330–1336. doi:10.1111/j.0002-9092.2004.00685.x
20. Lehmann, P., Schleyer, C., Wätzold, F., & Wüstemann, H. (2009). Promoting multifunctionality of agriculture: An economic analysis of new approaches in Germany. Journal of Environmental Policy & Planning, 11(4), 315–332. doi: 10.1080/15239080903033879
21. Lowe, T., & Preckel, P. (2004). Decision technologies for agribusiness problems: A brief review of selected literature and a call for research. Manufacturing & Service Operations Management, 6(3), 201–208. doi:10.1287/msom.1040.0051
22. Maletić, R., & Ćeranić, S. (2010). Small and medium enterprises as development factor of agribusiness in Republic of Serbia. Applied Studies in Agribusiness and Commerce, 4(3-4), 45–50. doi: 10.22004/ag.econ.91130
23. Maletić, R., Popović, B., & Paunović, T. (2014). Regional aspect of agribusiness SMEs development in Serbia – opportunity to reduce unemployment. Teme, 38(4), 1445–1456.
24. Mijačić, D., & Paunović, B. (2011). Regional disparities in Serbia. Ekonomika preduzeća, 59(7-8), 379–389. doi: 10.5937/ekopre1108379M
25. Milanović, M., Stevanović, S., & Vićentijević, D. (2013). Competitiveness and potentials of Serbia’s agrarian foreign trade. Teme, 37(1), 297–317. [in Serbian: Милановић, М., Стевановић, С., & Вићентијевић, Д. (2013). Конкурентност и потенцијали аграрне спољне трговине Србије].
26. Pantić, O. (2015). The role of the SMEs sector in structural changes in agriculture in the Republic of Serbia. In: Strukturne promene u Srbiji – dosadašnji rezultati i perspektive (331-345). Beograd: Institut ekonomskih nauka. [in Serbian: Пантић, О. (2015). Улога сектора МСП у структурним променама пољопривреде Републике Србије].
27. Petrović, P., & Vuković, D. (2016). Financial sources of small and medium enterprises for agribusiness and eco-tourism in Serbia. Economics of Agriculture, 63(4), 1433–1444. doi:10.5937/ekopolj1604433p
28. Popović, B. (2009). Contribution of small and medium sized enterprises in development of agribusiness of Serbian republic. Journal of Agricultural Sciences, 54(1), 62–79.
29. Popović, S., Janković, I., & Stojanović, Ž. (2018). The importance of bank credits for agricultural financing in Serbia. Economics of Agriculture, 65(1), 65–80. doi: 10.5937/ekopolj1801065p.
30. Ristić, L. (2013). Strategic management of sustainable rural development in the Republic of Serbia. Ekonomski horizonti, 15(3), 229–243. [in Serbian: Ристић, Л. (2013). Стратегијско управљање одрживим руралним развојем у Републици Србији].
31. Sedlak, O., Jovin, S., Pejanović, R., Ćirić, Z., & Eremić Đođić, J. (2016). Access to finance for micro, small and medium business units in Serbian agribusiness. Economics of Agriculture, 63(4), 1219–1235. doi: 10.5937/ekoPolj1604219S
32. Statistical Office of Republic of Serbia. (2010-2018). Enterprises in the Republic of Serbia, by size, for years 2010-2018. Belgrade: SORS. [in Serbian: Републички завод за статистику. (2010-2018). Предузећа у Републици Србији, према величини, за године 2010-2018]. Retrieved from, for years 2010-2018 (May 14, 2020).
33. Streeter, D., Sonka, S., & Hudson, M. (1991). Information technology, coordination, and competitiveness in the food and agribusiness sector. American Journal of Agricultural Economics, 73(5), 1465–1471. doi: 10.2307/1242403
34. Tomašević, S., Jović, Z., & Vlaović-Begović, S. (2019). The impact of enterprise size on profitabiliy of agricultural enterprises in the Republic of Serbia. Journal of Agricultural Sciences, 64(3), 293–302. doi: 10.2298/JAS1903293T
35. Vlahović, B., Tomić, D., & Kuzman, B. (2011). External trade of agro-industrial products of the Republic of Serbia and Croatia. Tranzicija: Časopis za ekonomiju i politiku tranzicije, 13(27), 120–127. [in Serbian: Влаховић, Б., Томић, Д., & Кузман, Б. (2011). Спољнотрговинска размена агроиндустријских производа Републике Србије и Хрватске].
36. Volpentesta A.P., & Ammirato S. (2008). Networking Agrifood SMEs and Consumer Groups in Local Agribusiness. In: Camarinha-Matos L.M., Picard W. (eds). Pervasive Collaborative Networks. PRO-VE 2008. IFIP – The International Federation for Information Processing, vol 283. (p. 33-40) Springer, Boston, MA. doi: 10.1007/978-0-387-84837-2_4
37. Vržina, S., & Dimitrijević, M. (2020). Determinants of profitability of the agricultural sector of vojvodina: The role of corporate income tax. The European Journal of Applied Economics, 17(1), 1–19. doi: 10.5937/ejae17-21368
How to Cite
DIMITRIJEVIĆ, Miloš S; VRŽINA, Stefan; LEKOVIC, Miljan. AGRICULTURAL ENTERPRISES AND ECONOMIC GROWTH: A REGIONAL ANALYSIS IN THE REPUBLIC OF SERBIA. Economics of Agriculture, [S.l.], v. 67, n. 2, p. 585-600, june 2020. ISSN 2334-8453. Available at: <>. Date accessed: 19 sep. 2020. doi: