Overview

Agriculture plays an integral and unique role in Romania’s economy. Nearly one-fifth of Romanians are employed in agricultural-related activities, compared to the European Union (EU) member average of 4 percent. Romania’s 2.9 million agricultural landowners account for one-third of the EU’s agricultural holdings. Since the average farm size (4.42 hectares (HA) is considerably smaller than the EU average of 15 HA, many of these farms are subsistence and semi-subsistence farms producing for their family’s needs.

Romania accounts for 10 percent of EU grain and oilseed production. Corn remains Romania’s top grain crop in terms of both area and production, followed by wheat and barley. Romania is Europe’s largest sunflower producer as well as a top three producer for corn, wheat, and soybeans. In 2022, grain and oilseed production is forecast to return to normal levels after a historically high level of production in the previous year. The reduced grain production is expected to result in a 22-percent reduction in exports. On average, about half of the harvest is exported.

In recent years, Romanian farmers have consistently sought to maximize production efficiencies and, therefore, have become increasingly open to smart agriculture. Land conservation practices, chemical mapping, and variable densities based on soil structure and nutrient levels are being increasingly adopted by Romanian farmers. The severe drought in 2020 highlighted the need to improve the irrigation infrastructure. Some of the old and non-functioning pumping stations have been refurbished. Farmers close enough to water supplies accessed EU financing to set up irrigation systems. However, for many farmers, access to irrigation can only come from large-scale irrigation infrastructure, including large canals and pumping stations. This level of large-scale irrigation is still not available widely.

Despite its prominence in agricultural commodity production, Romania remains a net food importer, though the trade deficit shrunk considerably last year. Elevated commodity prices and abundant crops led to a 41 percent increase in Romania’s agricultural exports in 2021. Imports increased by only 17 percent, allowing Romania to cut its agricultural trade deficit to a fourth of the previous year figure (Table 1). Major imports consisted of meat, horticulture, dairy, feed ingredients, and beverages in 2021. Exports consisted of grains, oilseeds, live animals, and fats. 

 

   Source: Trade Data Monitor (TDM) 

 

The United States is a top-20 supplier of food and agricultural products to Romania. U.S. goods flow into Romania either directly from the United States (mainly bulk and intermediate products) or are transshipped through western EU ports of entry in Italy, the Netherlands, and Germany (consumer-oriented goods). According to the National Institute of Statistics, U.S. food and agricultural products imports were valued at just $182 million in 2021, up 2.7 percent from 2020. Major categories such as food preparations, sunflower seeds, soybeans, distilled spirits, and tree nuts accounted for nearly 70 percent of total U.S. food and agricultural exports to Romania.

Leading Sub-Sectors  

Soybeans and Soybean meal 

Romania is the third largest soybean producer in the EU. Soy production subsidies have incentivized farmers to double production over the last five years. Generally, over half of local soy production is exported to other EU markets, notably Germany and Austria, which have strong demand for non-GE feed ingredients. As the domestic production cannot meet local demand, Romania imports soybeans and soybean meal, of which nearly 90 percent is sourced from South America and the United States (Table 2).

Table 2: Soybeans and Soybean Meal Imports, Romania, 2017-2021

Sources: Trade Data Monitor; National Institute of Statistics   

Distilled Spirits  

Romanian consumer demand for distilled spirits recovered in 2021 as COVID- related restrictions were lifted and restaurants and bars reopened. The total import value doubled in 2021 (Table 3). Whiskey imports accounted for 47 percent of total spirits imports, followed by liqueurs at 15 percent, and vodka at 9percent. U.S.-origin whiskey accounted for 12 percent of total whiskey imports in 2021. 

Table 3: Distilled imports, Romania, 2017-2021

 Sources: Trade Data Monitor; National Institute of Statistics   

Tree Nuts

In 2021, Romanian total tree nuts import value grew by 56 percent. The United States is one of Romania’s largest tree nuts suppliers accounting for a fifth of the import market. Tree nuts imports from the United States recovered after a significant plunge in 2020 due to COVID restrictions reaching $11.3 million, a value which exceeded the pre-pandemic levels (Table 4). Within the tree nuts category, the United States remains a major supplier of almonds and walnuts.

Table 4: Tree Nuts imports, Romania, 2017-2021

Sources: Trade Data Monitor; National Institute of Statistics   

Sweet Potatoes

While sweet potatoes are growing in popularity in Romania in both food service and retail sectors, they are still a niche item in the Romanian vegetable market. Imports have been steadily growing due to rising demand and consumers’ interest in a diversified diet. In 2021, United States accounted for nearly 70 percent in the total sweet potatoes import value (Table 5).

Table 5: Sweet Potatoes Imports, Romania, 2017-2021 

Sources: Trade Data Monitor; National Institute of Statistics   

Opportunities for additional U.S. exports

• Pet food   
• Beef   
• Fish and seafood
• Fruit and vegetable juices  
• Sauces   
• Wines  

 Resources   

https://www.fas.usda.gov/

https://gain.fas.usda.gov/#/ (GAIN reports)