Croatian agriculture facing climate change: strategic challenges for self-sufficiency and food security

At the conference "Croatia as we need it: Food as a geopolitical and strategic issue," held in Koprivnica, Prime Minister Andrej Plenković addressed key economic topics, with a particular focus on agriculture and food production. The event, organized by Večernji list and Podravka, brought together many experts and business leaders, including Martina Dalić, CEO of Podravka, who emphasized the importance of food security in the context of global geopolitical changes. This event highlighted how Croatia can leverage its favorable geographic location and resources to strengthen domestic agricultural production and reduce dependence on food imports.

The Prime Minister emphasized that membership in the European Union has allowed Croatia to access significant financial resources, leading to record investments in various sectors, including agriculture. Through various programs, such as the EU Common Agricultural Policy, Croatia has had the opportunity to develop modern agricultural systems and boost competitiveness at the European level. Despite this, Croatia faces challenges in achieving self-sufficiency in the production of certain food products, such as fruits and vegetables, which still requires strategic investments and adaptation to global climate changes.

Agricultural challenges in the context of climate change

One of the main topics of the panel was climate change and its impact on agricultural production. Mirko Ervačić, director of the Osatina group, highlighted how high temperatures, often exceeding 40 degrees Celsius, become a serious obstacle for traditional cultivation methods. This necessitates the introduction of modern technologies such as greenhouse production and climate control systems, which will ensure stable food production even under unfavorable conditions. In addition to climate challenges, it was noted that the introduction of better incentive systems and support for small producers will help increase the competitiveness of domestic agriculture.

Emil Tedeschi, CEO of Atlantic Grupa, further emphasized the importance of combating the gray economy in the agriculture sector and called for stronger market control to ensure fair competition and transparency in the trade of agricultural products. He also pointed out that, although Croatia strives to be self-sufficient, complete self-sufficiency is not realistically achievable without imports, which is why international trade will continue to play a crucial role in ensuring food supply stability.

Government measures and tax reform

Discussing government measures to alleviate the effects of inflation and rising prices, Prime Minister Plenković highlighted how these measures have played a crucial role in preserving social cohesion. Along with massive state intervention, the government subsidized energy costs, reduced VAT on basic necessities, and capped prices of key products, thereby protecting the most vulnerable groups of the population. The Prime Minister also emphasized that government measures will be gradually relaxed, adjusting them to the changing market conditions.

In addition to economic measures, the conference highlighted the importance of tax reform, which will further relieve citizens and the economy. The Prime Minister announced the introduction of a property tax, which will be directed at affordable housing and the reduction of income tax. According to him, this measure also has a demographic goal – to provide better conditions for young families seeking stable and long-term housing solutions.

Food security as a geopolitical issue

Martina Dalić, CEO of Podravka, highlighted the importance of food security in today's global context. She emphasized how conflicts, such as those in Ukraine, have significantly disrupted global food flows, resulting in rising prices of raw materials and food. Dalić warned that climate change further increases uncertainty in agricultural production, especially in countries with southern latitudes, which will require further investments in innovative and sustainable food production technologies.

The conference concluded that Croatia has the potential to become a key player in the regional food sector, but this will require additional investment in agricultural infrastructure, strengthening export capacities, and better integration into global food flows. Given that Croatia remains a net importer of food, establishing more stable domestic production and distribution systems remains a key priority for the government and industry.