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An overview of cooperatives in Israel

Policy Studies on Rural Transition No. 2013-5








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    The Russian Federation’s sugar industry has expanded output dramatically over the past ten years. As a result, the country has steadily reduced its reliance on imports. The stimulus for this expansion can be traced back to privatization of farms and factories in the early 1990s. However, sector development started only after the government has implemented the current system of variable import duties to protect local producers from volatile world market prices starting 2004. High domestic sugar prices accelerated investment and the expansion of the sector in the Russian Federation, as local beet prices increased by more than those of alternative arable crops. With these foundations in place, the industry has been willing to invest heavily to develop the sector further, with these investments having been focussed in two areas in particular: (i) consolidation and modernization of the beet processing sector and (ii) intensify beet production and secure greater raw material supplies for their factories.
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    Serbia and Montenegro: Review of the Sugar Sector
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    The Serbian sugar sector is located entirely within the Vojvodina province in the north of the country. Overall sugar production capacity in Serbia and Montenegro (“Serbia”) is around 400,000 tonnes per annum, with domestic consumption at around 240,000 tonnes per annum. Sugar production has fluctuated in recent years between 200-275,000 tonnes. Seven factories operated during the 2003/04 season, with eight expected to be in operation for the 2004/05 season. All eight of these factories have bee n privatised since 2002. Four are owned by the Serbian company MK Commerce, two by the Italian company SFIR, and two by Hellenic Sugar of Greece.
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    This paper was prepared within the Cooperatives and their alternatives� component of the Agrarian Structures Initiative (ASI) which a regional program of FAO in Europe and Central Asia. From the late 1970's agricultural cooperatives in Israel have undergone many structural changes, becoming decentralized, individualized and specialized. Specifically, agricultural service cooperatives have become more flexible, vertically integrated and market oriented.

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