Innovation, Agricultural Productivity and Sustainability in Latvia

Latvia, a member of the European Union since 2004, is a small, dynamic and open economy that has successfully transitioned from central planning to a market economy. The reforms undertaken have driven progress, although from generally low levels and at a slower pace in agriculture than for the economy as a whole. This report examines the conditions under which farms and businesses in the food and agriculture sector in Latvia undertake innovation to become more productive and environmentally sustainable. It identifies opportunities as well as challenges that need to be addressed. These include economy wide skills shortage, emigration and population decline and urban concentration of population and services. At the sectoral level, these include the use of agricultural payments to support a large number of non-commercial farms and the high level of unpaid farm labour. To meet these challenges, agricultural innovation can be harnessed to improve the sector’s productivity, as well as the sustainability and efficiency of the food system. This report provides a series of recommendations that should allow agricultural policies to contribute to a well-functioning innovation system that can meet the challenges that lie ahead.

Published on April 11, 2019Also available in: Latvian

In series:OECD Food and Agricultural Reviewsview more titles


Acronyms and useful links
Executive summary
Overall assessment and recommendations
Overview of the food and agriculture situation in Latvia
Economic stability and quality of institutions in Latvia
General incentives for investment in Latvia
Capacity building and public services in Latvia
Agricultural policy framework
Latvian Agricultural Innovation System
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