Leaders of the PPDIV farmers' union said in the eastern city of Osijek on Monday that Croatia's accession to the European Union would lead to a culmination of the erosion of the national economy and would particularly affect the food sector because of problems with the marketing of products in CEFTA (Central European Free Trade Agreement) countries.
Speaking at a press conference, PPDIV vice-president Marica Vidakovic said that after Croatia's entry into the EU, which is scheduled for next summer, the cost of marketing food products in the region, especially in CEFTA countries, would go up from 10% to as much as 100%, as a result of which from 1,000 to 2,000 jobs could be lost by the end of 2013.
Vidakovic said that an initiative had been launched through state institutions earlier this year to address the problem with the CEFTA countries and reach a new trade arrangement to keep customs rates at the minimum or to determine export quotas. She said that since there had been no news so far that the problem had been resolved, companies could not plan their exports to the region.
On the other hand, with accession to the EU and the elimination of customs barriers, products from Western European countries will become more competitive in Croatia and domestic producers will have a problem as to how to protect their position on the domestic market, Vidakovic said.
