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Local/Regional Economic Development in South ... - Value Chains

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ated <strong>in</strong> the respective national development programs for<br />

the w<strong>in</strong>e <strong>in</strong>dustry.<br />

Impact<br />

Already <strong>in</strong> 2001 it was apparent that none of the countries<br />

had sufficient <strong>in</strong>formation about viticulture <strong>in</strong> the neighbor<strong>in</strong>g<br />

countries. Not only had the scientific exchange of<br />

<strong>in</strong>formation practically succumbed to the political and<br />

economic upheaval fifteen years ago, but also the contact<br />

between the responsible m<strong>in</strong>istries. Even the newly<br />

founded professional organizations barely communicated<br />

and cooperated with one another. Awareness of the mostly<br />

identical challenges to the w<strong>in</strong>e <strong>in</strong>dustry cont<strong>in</strong>ues to be<br />

lack<strong>in</strong>g, especially of the problems with long-term effects<br />

that are of strategic importance for the development of<br />

viticulture <strong>in</strong> <strong>South</strong>-Eastern Europe:<br />

• The region’s future shares <strong>in</strong> the world’s viticultural<br />

area.<br />

• The future shares <strong>in</strong> global w<strong>in</strong>e production.<br />

• The market share of domestic w<strong>in</strong>es <strong>in</strong> domestic and<br />

<strong>in</strong>ternational markets.<br />

As viticulture constitutes an important economic sector<br />

<strong>in</strong> many countries <strong>in</strong> <strong>South</strong>-Eastern Europe, long-term<br />

national and transnational strategies for develop<strong>in</strong>g this<br />

<strong>in</strong>dustry are ga<strong>in</strong><strong>in</strong>g major significance also <strong>in</strong> connection<br />

with local/regional economic development <strong>in</strong> the sense of<br />

economically and socially balanced development and reduc<strong>in</strong>g<br />

poverty <strong>in</strong> rural areas.<br />

With<strong>in</strong> the context of the projects carried out <strong>in</strong> Bulgaria<br />

and Macedonia on behalf of BMZ, GTZ has been support<strong>in</strong>g<br />

local implement<strong>in</strong>g partners s<strong>in</strong>ce 2003 <strong>in</strong> the establishment<br />

of the two platforms for exchang<strong>in</strong>g experience<br />

mentioned above. In this connection GTZ provides<br />

the follow<strong>in</strong>g services:<br />

• Support for the exchange of experience between m<strong>in</strong>istries<br />

• Exchange of <strong>in</strong>formation and knowledge transfer to<br />

m<strong>in</strong>istries<br />

• Support for governmental and private actors dur<strong>in</strong>g<br />

the preparation of national developmental programs<br />

• Support for governmental and private actors dur<strong>in</strong>g<br />

the preparation of a regional development strategy for<br />

<strong>South</strong>-Eastern Europe<br />

The local implement<strong>in</strong>g partners (m<strong>in</strong>istries and/or their<br />

agencies, associations and scientific <strong>in</strong>stitutions) use these<br />

services <strong>in</strong> the follow<strong>in</strong>g manner:<br />

• M<strong>in</strong>istries improve communication with the m<strong>in</strong>istries<br />

of neighbor<strong>in</strong>g countries.<br />

• M<strong>in</strong>istries improve their <strong>in</strong>ternal data pool and thus<br />

enable the improvement of the developmental concepts<br />

based on this data<br />

• M<strong>in</strong>istries and private organizations create developmental<br />

programs.<br />

•<br />

M<strong>in</strong>istries and representatives of the private sector<br />

create a regional development strategy.<br />

The direct benefits make clear at the same time the high<br />

esteem <strong>in</strong> which the local partners hold the services of<br />

German TC (BMZ/GTZ):<br />

• Information on the w<strong>in</strong>e <strong>in</strong>dustries <strong>in</strong> the neighbor<strong>in</strong>g<br />

countries is improved.<br />

• <strong>Development</strong>al concepts are more realistic and more<br />

practice-related<br />

• Cooperation between governmental and non-governmental<br />

organizations is strengthened<br />

• Cooperation between the countries <strong>in</strong> the region is<br />

<strong>in</strong>tensified.<br />

The partners also obta<strong>in</strong> an <strong>in</strong>direct benefit, which can<br />

only partially or <strong>in</strong>directly be considered to be a result of<br />

the services. This <strong>in</strong>direct benefit is already subject to a<br />

relatively high aggregation and hence is difficult to mea-<br />

sure or classify at this level:<br />

•<br />

•<br />

•<br />

•<br />

The representation of regional <strong>in</strong>terests is improved.<br />

Public resources are deployed efficiently.<br />

Cooperation with the private sector is improved.<br />

The region improves its image and <strong>in</strong>creases its recognition<br />

factor.<br />

As a high aggregate benefit, the contribution by the governmental<br />

programs of the countries <strong>in</strong> the region and<br />

the region as a whole to social and economic development<br />

<strong>in</strong>creases.<br />

Lessons learned<br />

At the beg<strong>in</strong>n<strong>in</strong>g, the exist<strong>in</strong>g level of knowledge and experience<br />

varied greatly among the more than 100 participat<strong>in</strong>g<br />

experts from six <strong>South</strong>-Eastern European countries.<br />

Some were tra<strong>in</strong>ed <strong>in</strong> the natural sciences and thus<br />

lacked the theoretical background <strong>in</strong> bus<strong>in</strong>ess subjects;<br />

some tra<strong>in</strong>ed <strong>in</strong> bus<strong>in</strong>ess, but without <strong>in</strong>ternational market<br />

experience, the first order was to <strong>in</strong>troduce the participants<br />

to some critical po<strong>in</strong>ts <strong>in</strong> global market development.<br />

That meant <strong>in</strong> particular: view<strong>in</strong>g production from<br />

a market and market<strong>in</strong>g perspective and hence also reevaluat<strong>in</strong>g<br />

macroeconomic turn<strong>in</strong>g po<strong>in</strong>ts by governmental<br />

bodies from the market’s perspective.<br />

Among the lessons learned were:<br />

• The <strong>in</strong>sight already exist<strong>in</strong>g prior to the launch of the<br />

project among some op<strong>in</strong>ion makers <strong>in</strong>to the importance<br />

of cooperation and realignment of the w<strong>in</strong>e <strong>in</strong>dustry<br />

provided important stimuli.<br />

• The demarcation between the countries <strong>in</strong> the region<br />

is less important to the cross-border exchange of experience<br />

and cooperation than many assumed.<br />

•<br />

The “generation gap” among local actors and experts<br />

with regard to motivation, will<strong>in</strong>gness to cooperate,<br />

151

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