1. EGGS AND POULTRY SECTOR M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Working Group for Chapter 11 – Agriculture and rural development Bilateral screening: Chapter 11 Brussels, 12. 12. 2012 Sunčica Boljević, prof. Milan Marković

2. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union  Law on Agriculture and Rural Development (OG MNE 56/09)  Law on Livestock Farming (OG MNE 72/10)  Veterinary Law (OG MNE 30/12)  Law on Food Safety (OG MNE 14/07)  Law on Animal Identification and Registration (OG MNE 48/07, 73/10) Secondary legislation NATIONAL LEGAL FRAMEWORK Chapter 11: Agriculture and rural development

3. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Ministry of agriculture and rural development Veterinary Administration Administration for Inspection Affairs Laboratories: Institute of Public Health Diagnostic Veterinary Laboratory Center for Eco-Toxicological Researches INSTITUTIONAL CAPACITY Chapter 11: Agriculture and rural development

4. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union The 2010 Agricultural Census surveyed 16,313 farm holdings that breed 620,802 poultry heads. On average, a farm holding has 38.1 poultry heads; In the whole poultry population, laying hens and fattening chicks make up dominant shares equaling to 78.2% and 20.3 % respectively. Farm holdings according to poultry species farming: 2010 CENSUS DATA Chapter 11: Agriculture and rural development Number of holdings Poultry 620,802 Total number Out of them, no. of not owned Fattening chicks (broiler) Laying hensGeeseTurkey Other poultry TOTAL16,313620,802343126,206485,5531,1033,0714,869 Family farm holding16,304411,08634376,806325,2371,1033,0714,869 Business operators9209,716-49,400160,316---

5. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union List of main breeds indicating: broilers of Gallus gallus; laying hens of Gallus gallus; white fattening turkey. CENSUS DATA Chapter 11: Agriculture and rural development Total number of farm holding The size of the grade to the total number of poultry population Farming poultry 1 – 5051- 349 350- 999 1000 - 2999 3000 - 4999 5000- 9999 10000- 49999 50000 - 99999 100000 and more TOTAL4887016313156785155939710320 Family farm holdings 488241627615677515593679100 Business operator 4637100301220

6. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Production of eggs in the last ten years experienced growth; Current production is at the level of about 70 million pieces, of which approximately 60% originates from the purely commercial production; The rest of the production is mainly operated on households; Production of eggs is characterized with relatively high prices, which has as a consequence relatively low competitiveness. EGGS Chapter 11: Agriculture and rural development

7. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Less than 1% of eggs in Montenegro, in intensive farming, are produced in line with the EU regulations on keeping laying hens; In intensive commercial farming, laying hens are kept in cages of old type (4 - 5 hens / cage); In extensive farming, at family farm holdings and for the purposes thereof, deep litter and free or semi free range methods of keeping laying hens are most frequently employed. EGGS Chapter 11: Agriculture and rural development

8. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union EGGS Chapter 11: Agriculture and rural development Production of eggs in Montenegro Total (000pcs)Eggs, per hen (pcs) 200771299143 200854635147 200955984152 201064198151 201175804169 Source: Monstat, Division for Agricultural Statistics

9. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Eggs are most frequently put on the market through wholesale and retail sale establishments. Besides, there are specific separate egg-selling sections at green markets, with visibly placed names of the respective producers, i.e. of hen farms. Laying hen farms from which eggs are put on the market are recorded in the Registry of Registered Establishments - primary production of eggs, and they usually have smaller rooms for eggs gathering, packing and labeling. EGGS Chapter 11: Agriculture and rural development

10. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Egg-incubating units do not exist in Montenegro; There are not eggs packing centers in Montenegro. Laying hen farms from which eggs are put on the market usually have smaller rooms for eggs gathering, packing and labeling; Egg yield per hen depends in any way on the stage of egg-laying ability; maximum laying egg-laying capacity ranges from 92% to 94%, which, after the expiration of one-year period, drops to approximately 70%; The average egg yield per hen during the laying period of 1 month is between 23 and 25 eggs, with average weight of 55 – 60 gr /egg. EGGS Chapter 11: Agriculture and rural development

11. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union For several years so far, poultry farming has been characterized by changes that range from establishing a large number of egg producing family farms, go to expansion of broiler breeding and reach to establishing poultry slaughterhouses and processing plants. The expansion of broiler breeding has been taking place mainly through investments of private companies. They have introduced contemporary technology in broiler breeding. POULTRY Chapter 11: Agriculture and rural development

12. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Poultry meat is produced currently in three ways: at a few large commercial farms, with several times ten thousand broilers produced per year, at small commercial farms, with several thousand broilers produced per year, at family farm holdings, with couple of chickens, laying hens or roosters that are kept for their own purposes. Broiler breeding is of paramount importance in poultry farming; very small quantity of meat of other species is produced, i.e. some 100 tons per year. All the poultry farms (breeding broilers, laying hens, turkeys and alike), slaughterhouses and plants producing poultry meat products are privately owned. POULTRY Chapter 11: Agriculture and rural development

13. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Only one out of these five slaughterhouses does not base their meat production relying on their own broiler breeding activity. One large meat processor, namely MESOPROMET from Bijelo Polje, established their own broiler farm and, in addition to that, they have entered into longer-term agreements with local farmers from whom they buy the overall production. In such manner, that company provides raw material for their own processing activities (producing poultry meat products). Cooperative farms make available, in particular, their animal pens and working hours. POULTRY Chapter 11: Agriculture and rural development

14. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Other four slaughterhouses rely on their own respective broiler breeding activities, whereas some of them have also poultry cutting plants. Such approach of vertical integration improves the market orientation of indigenous poultry meat production and, at the same time, it facilitates meat processors to develop good foundations for high-quality raw material supply, in line with producers’ demands. Direct sale of meat by small farms still exists. POULTRY Chapter 11: Agriculture and rural development

15. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union The Register of Approved Feed Establishments, which is kept by the Veterinary Directorate, lists 5 slaughterhouses performing the activity of poultry slaughter. POULTRY Chapter 11: Agriculture and rural development Name Broiler breeding /number SlaughterCuttingProcessingWholesaleRetail sale Radinović20,000++--+ Akatrade40,000++--+ Mesopromet85,000+++++ Koka in6,000+---- Galina MN3,000+---- *Source: Veterinary Administration

16. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Meat processing: Poultry meat processing is carried out in 7 approved establishments, out of which, as said above, certain number has integrated broiler breeding, slaughtering and processing. All the establishments have to meet general and specific hygiene requirements, in line with the Rule Book on Hygiene Requirements for Food of Animal and Plant Origin (OG MNE, No. 14/2009) and the Rule Book on Specific Hygiene Requirements for Food of Animal Origin (OG MNE, No. 14/2009), laid down in line with the EU requirements (Regulation Nos. 852/2004 and 853) respectively. In line with the Regulation on Food Safety, the direct supply, by the producer, of small quantities of meat from poultry and lagomorphs slaughtered on the farm to the final consumer or to local retailer is permitted POULTRY Chapter 11: Agriculture and rural development

17. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union BALANCE CHEET POULTRY MEAT Chapter 11: Agriculture and rural development Item20072008200920102011 Net production (estimation ) Total slaughtering (in head and carcasses weight equivalent), t 2,8602,8862,9913,0763,079 Import** Live animals (in head & carcass weight equivalent) t 00000 Meat, t2,0294,3104,1555,4394,948 Import total2,0294,3104,1555,4394,948 Export Live animals (in head & carcass weight equivalent) 1672599 Meat, t1121065 Export total2728251514 Public stocks00000 Total domestic use4,8627,1687,1218,5008,013 Per capita consumption7.4811.0310.9613.0812.33 Self-sufficiency (%)58.8259.3661.5263.2763.33

18. M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Legal framework:  The Rule Book on the Quality of Fowl Meat (OG SFRY, Nos. 1/81 and 51/88)  The Rule Book on the Quality of Eggs and Egg Products (OG FRY, No. 55/89) The requirements for putting on the market eggs, products made from eggs and poultry meat have not been harmonized with the EU legislation governing this area. Until the date of the accession, Montenegro will draft and adopt proper legislation with the aim to ensure that appropriate implementation takes place and it will make necessary preparations for establishing institutional solutions to improve organization and effectiveness. MARKETING STANDARDS (QUALITY AND LABELING RULES) Chapter 11: Agriculture and rural development

19. Thank you for your attention! QUESTIONS