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Sarajevo Times > Blog > BUSINESS > Farmers From The USC Demand Additional Support Due To Inflation
BUSINESS

Farmers From The USC Demand Additional Support Due To Inflation

Published October 6, 2025
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Farmers from the Una-Sana Canton (USC), due to rising production costs and the effects of inflation, have requested that the cantonal government increase allocations for the agricultural sector by about one-fifth of the existing amount in the next budget year. The request was made during a meeting between representatives of agricultural associations and cantonal authorities held at the beginning of the week.

According to Ermin Veladzic, president of the Association of Meat and Milk Producers of the USC, numerous producers are facing serious financial pressures because the prices of raw materials and animal feed have risen significantly, while subsidies have remained unchanged for years.

“Inflation has eaten up a large part of the funds needed for the survival of farms. In addition, this year’s yields have failed, especially corn, which is key animal feed – the yield is half as much as in previous years, and part of the crops were also destroyed by wild boars. All this has further increased the price of animal feed and raised production costs,” said Veladzic.

He added that, without additional support and increased subsidies, many farmers will not be able to maintain the existing number of livestock, which, as he said, could lead to a reduction in the amount of milk produced – the branch in which the largest number of producers in Krajina are engaged.

“For two years in a row, subsidies have been at the same level, even though costs in agriculture have risen on all fronts – from fuel and seed to raw materials and animal feed. That is why we appealed to the prime minister and the Government of the USC to increase funds for agriculture when planning the budget for next year,” added Veladzic.

The Minister of Agriculture, Water Management and Forestry in the Government of the USC, Edvin Alijanovic, emphasized that this canton, in relation to the budget, allocates the most funds for agriculture in the Federation of Bosnia and Herzegovina (FBiH), especially when it comes to milk production.

“Only for support to milk production and purchase, around six million BAM are allocated annually from the cantonal budget. Around 42 million liters of milk are produced in the area of the USC, and the subsidy per liter amounts to 0.14 BAM,” explained Alijanovic.

He emphasized that the Government and the competent ministry understand the problems faced by farmers and that their requests will be considered as part of the preparations for the budget for the next year.

During the meeting, there was also a discussion about implementing preventive measures for protecting livestock from infectious diseases, as well as the need for inspection services to more effectively supervise the transport and trade of livestock, which would further protect domestic production.

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