FAO in collaboration with UNIDO conducted a value chain analysis for the table grape sector in the Republic of Moldova

Chisinau, December 23, 2024 – In a collaborative effort to modernize the table grape industry in the Republic of Moldova, around 40 participants attended a workshop to validate the Value Chain Analysis (VCA) for table grapes. The attendees included representatives from the Ministry of Agriculture and Food Industry, other state institutions, table grape producers and their associations, exporters, retailers, the financial sector, international financial institutions, technical institutions, academia, and various development projects. The event focused on reviewing the findings of the assessment and establishing the foundation for a national table grape upgrading strategy and investment plan.

This was the second workshop organized as part of a joint effort led by the Ministry of Agriculture and Food Industry (MAFI) of the Republic of Moldova, with support from the Food and Agriculture Organization of the United Nations (FAO) and the United Nations Industrial Development Organization (UNIDO). This falls under the global FAO initiative "One country, one priority product" (OCOP), which focuses on supporting the long-term, sustainable development of specialized agricultural products with significant export and economic development potential.

"This initiative is a testament to the commitment of the Ministry, FAO, and UNIDO in supporting the sustainable growth of the Republic of Moldova's table grape sector," said Andrian Digolean, State Secretary of MAFI, during the opening of the event. "By working together and implementing the recommendations of this analysis, we can ensure a thriving future for our grape producers and make Moldovan grapes a symbol of quality worldwide."

The assessment was conducted during the summer in close collaboration with the Agrifood Systems Transformation Accelerator (ASTA) – a joint global programme co-led by FAO and UNIDO. It included questionnaires and in-depth interviews with all stakeholders, assessing the current sustainability of the sector to promote the sustainable, green, and resilient development of the table grape value chain.

This initiative is also in line with the upcoming UNIDO Programme for Country Partnership (PCP). The PCP will provide a transformative framework to further enhance Moldova’s industrial productivity, competitiveness, and integration into EU and global markets. The PCP will accelerate Moldova’s transition to a green economy, creating synergies with ongoing initiatives and laying a robust foundation for sustainable growth in sectors such as table grapes.

“ASTA is committed to a systemic approach to food systems transformation. For Moldova, this means not only addressing sectoral challenges but also capitalizing on export opportunities and boosting competitiveness in table grape production," says Dona Scola, National Program Coordinator, UNIDO in the Republic of Moldova. "UNIDO’s role, in collaboration with FAO, is to champion innovation and capacity-building while paving the way for green investments that resonate with the Republic of Moldova’s national development goals and the global Sustainable Development Agenda.”

Recommendations for Growth and Resilience:

The assessment highlighted several strong points that demonstrate the sector's potential for sustainable growth. Since 2016, the Republic of Moldova's table grape exports have consistently exceeded imports, indicating a strong and growing market presence. To further capitalize on this strength, the VCA recommends diversifying production to include seedless grape varieties, which are increasingly favored in international markets.

“This analysis was instrumental in identifying key challenges, such as the need for diversification of varieties, improvement of water management and modernization of post-harvest infrastructure, while highlighting the significant potential of the sector," says Giorgi Andguladze, international expert on agricultural value chains and agribusiness development, FAO. "Table grapes from the Republic of Moldova are renowned for their quality and already have a strong presence in certain export markets. By addressing these challenges and making strategic investments, the country can further enhance its competitiveness."

This positive trend is further supported by the adoption of modern production practices. Nearly a third of the vineyards utilize modern Pergola or Gable systems, leading to higher yields and better-quality grapes. However, to ensure the long-term sustainability of these practices, the VCA emphasizes the urgent need for addressing irrigation-related challenges and adopting sustainable water management solutions, such as rainwater harvesting and drip irrigation.

Table grapes from the Republic of Moldova have earned a reputation for their quality, commanding higher prices in Central and Western Europe. To maintain this premium positioning, the VCA underscores the importance of upgrading post-harvest infrastructure to minimize losses and ensure that the high quality of the grapes is preserved.

Notably, two-thirds of the areas under intensive cultivation systems are managed by young producers, indicating a promising future for the sector. 

"Our partners have come up with recommendations to help us become sustainable," says Valeriu Cebotari, Association of Moldovan Grape Producers and Exporters (AMGPE) representative. "For our country, it is something very special and very important at this stage. I say it with joy and great pride that two-thirds of the areas under intensive systems like Gable and Pergola are planted by young producers. Let’s help them to improve, let’s motivate them. Let's help them to optimize their production and to become competitive." To further empower these young producers, the VCA recommends strengthening producer organizations and cooperatives, enabling them to access export markets and enhance their bargaining power.

The industry in the Republic of Moldova is also actively adopting sustainable practices, with support from technical projects, leading to increased export volumes. To ensure continued success, the VCA highlights the importance of improving market access through certifications and branding. The adoption of Global GAP standards and the development of a distinctive national brand for Moldovan table grapes are key steps that will help position the Republic of Moldova as a preferred supplier.

These recommendations will serve as the foundation for the development of a National Investment Plan to enhance the sector's growth, sustainability, and resilience. By implementing these strategic investments and fostering collaboration among stakeholders, the Republic of Moldova is poised to strengthen its position as a leading producer of high-quality table grapes.