Public-Private Partnership Model for Supporting Traditional Producers

Public-Private Partnership Model for Supporting Traditional Producers

Ioana Claudia Todirica (Bucharest University of Economic Studies, Romania), Anca Marina Dinu (Bucharest University of Economic Studies, Romania) and Henriette Cristiana Calin (Bucharest University of Economic Studies, Romania)
DOI: 10.4018/978-1-5225-5739-5.ch011

Abstract

Traditional products market in Romania is starting to become competitive as a result of the adoption of new legislative framework (Order 724/2013), which requires new conditions regarding traditional foods definition and limitation of produced quantity. At the end of 2016, there were 556 registered traditional products nationwide as follows: 456 limited liability company, 64 individual, 14 family business, 17 individual, and 15 individual enterprise. Given that there is a limitation in terms of traditional foods production, we must consider the effects of land taxation over the entrepreneur's income in this field. The aim of this study is to identify an effective model of public-private partnership that could support the traditional producers, while taking into consideration the role of financial instruments in order to remove the barriers between the farmer and the government. One of these forms is the association or creating groups of manufacturers.
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Main Focus Of The Chapter

As the rural area occupies a fairly large share of the total area of any country, it is necessary to stimulate the economy by creating more diversified activities. For example, organic, traditional and mountain foods can create added value and also promote the area they come from, thus encouraging both gastronomic and rural tourism. It should be taken into consideration that the future of agriculture at EU level is guaranteed by the use of both traditional and industrial production technologies (Szczepaniak, & Tereszczuk, 2016, p. 72).

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