NATIONAL INTEGRATED PROGRAMME FOR AGRICULTURE, FORESTRY AND FOOD INDUSTRY

Transcription

1 LITHUANIAN UNIVERSITY OF AGRICULTURE NATIONAL INTEGRATED PROGRAMME FOR AGRICULTURE, FORESTRY AND FOOD INDUSTRY (Training the Highest Competence Specialists, Scientific Research and Experimental Developmet and Open to Business Development in Agriculture, Forestry and Food Industry) A feasibility study SUMMARY Academy, Kaunas 2007

2 Summary o Agriculture, forestry and food industry play an important economic, social, ethnocultural and environmental role. The total number of those employed in the agricultural sector is among the largest in Lithuania. According to the data from the Lithuanian Department of Statistics, the surplus value (if compared to the prices of 2000) produced in this sector accounted for 6.4 percent of the national GDP in 2004 and ranked sixth. In the accumulation of the surplus value was constantly on the increase. o Agriculture, animal husbandry, forestry, processing of agricultural products and bioenergetics are closely related in terms of study and science as well as business. Therefore this feasibility study explores one sector agriculture, forestry and food industry, which comprises agriculture, animal husbandry, forestry, processing of agricultural products and bioenergetics. o The main academic institutions offering specialist studies in agriculture, forestry and food industry include Lithuanian University of Agriculture, Lithuanian Veterinary Academy, Kaunas University of Technology (Faculty of Chemical Technology, Food Technology Department). o Lithuanian University of Agriculture (LUA) is the chief institution educating specialists in agriculture. Study programmes at the university have been designed to educate Bachelor s and Master s degree graduates in agriculture, economic utilization of natural resources and other fields related to rural development. Study programmes in biomedicine, technology and social sciences comprise 11 specializations. The total student enrollment in the LUA is gradually increasing. In 2006 the student enrollment in LUA was students graduate from LUA each year. Employment figures indicate high competitivity of LUA graduates in labour market. In the year 2006/07 the University had 375 teaching positions. The overall composition of the adacemic personnel is favourable, although its distribution by faculties and study programmes is not very consistent. Some Master s study programmes lack in the involvement of professors. The composition of the teaching body by age is quite a problem. o Lithuanian Veterinary Academy (LVA) is the only tertiary level institution in Lithuania, which educates veterinary doctors and specialists in veterinary food safety and animal husbandry technology. The overall enrollment in LVA currently makes up 1671, and over the past five years it has been constantly increasing. The annual number of graduates at LVA is 200. Graduates in veterinary are successful seeking employment. Their employment level is among the highest in the country percent of the graduates in animal husbandry technology get employed right after the completion of their studies. The intellectual potential of the Academy is composed of 118 teachers, 16 out of whom are professors habilitated doctors, 48 associate professors, 24 lecturers with a scientific degree and 28 lecturers and assistants without a scientific degree. o Food Technology Department at the Kaunas University of Technology is the only educational institution in Lithuania, which provides tertiary education in food science and technology in three-level study programmes Bachelor s, Master s and PhD. The annual number of graduates at Food Technology Department of the Kaunas University of Technology is 90. o Technical facilities of study premises and laboratory equipment are the weakest tool ensuring the quality of studies. In all institutions this problem is recognized as one of the barriers preventing from attaining the appropriate quality of studies. It is also vital to take constant care of the teachers qualifications. o The chief academic institutions and scientific research institutes, which conduct research and development in agriculture, forestry and food industry include Lithuanian University of Agriculture, Lithuanian Veterinary Academy, Institute of Water Management at Lithuanian University of Agriculture, Institute of Agricultural Engineering at Lithuanian University of 2

3 Agriculture, Institute of Animal Science of Lithuanian Veterinary Academy, Veterinary Institute of Lithuanian Veterinary Academy, Lithuanian Institute of Horticulture and Vegetable- Growing, Lithuanian Institute of Agriculture, Lithuanian Institute of Forestry, Food Institute of Kaunas University of Technology and Food Technology Department at KUT. o Research at Lithuanian University of Agriculture involves a lot of activities such as assessment of the quality of environment and food, cellular selection and producing new crop varieties, energetic processes in biotechnologies, research in agricultural and forestry technologies, etc. 474 researchers are involved in the scientific research at LUA. In 2006 alone 120 articles were published in the ISI reviewed publications. In commissions from Lithuanian business entities earned LTL 682 thousand. o Lithuanian Veterinary Academy conducts research in veterinary medicine and zootechnology. In total 168 researchers (85 out of these are scientists) are employed at LVA. In articles were published in ISI periodicals. In commissions from Lithuanian business entities earned LTL 258 thousand. The Academy has the Practical Training and Experiment Centre, which is the key facility for the students practical training and research. o The Institute of Water Management at Lithuanian University of Agriculture carries out research into the effect of agricultural production on environment and tools of water protection as well as research into melioration systems. The staff of the Institute is made of 23 researchers. In articles were published in the ISI periodicals. o The Institute of Agricultural Engineering of LUA conducts research in the improvement of agricultural technologies, development of animal- and environment-friendly technologies and systems, utilization of biomass, and other fields. The Institute is equipped with all the necessary facilities for research into the burning of biomass fuel, briquetting and granular fuel. It also possesses a lab bioreactor for research into the bioconversion of organic mass. The institute employs 25 scientists. In commissions from Lithuanian entities earned LTL 159 thousand. o The Institute of Animal Science of LVA conducts research in live-stock genetics, biology of reproduction and genetic resources, the quality of nourishment and products, wellbeing of livestock and the effect of animal husbandry on environment. The Institute has a staff of 31 researchers, whose average age is 45.5 years. In articles were published in ISI periodicals. o Research at the Veterinary Institute of LVA focuses on animal diseases. Even though out of the Institute s 30 employees, 13 are technicians and service personnel, 11 articles were published in ISI periodicals in On the average, commissions from Lithuanian entities have earned the Institute some LTL 90 thousand in o The Lithuanian Institute of Horticulture and Vegetable-Growing conducts agrobiological and ecological research into garden plants and vegetables, assesses the quality of fruit, berries and vegetables, develops new technologies, etc. The Institute employs 33 researchers. In articles were published in ISI periodicals. On the average, commissions from Lithuanian entities have earned the Institute about LTL thousand in o The staff of the Lithuanian Institute of Agriculture includes 109 researchers and 85 scientists. In 2006, 43 articles were published in ISI periodicals. On the average, commissions from Lithuanian entities have earned the Institute about LTL 234 thousand in o The Lithuanian Forest Research Institute conducts research into the biological variety and sustainability of forest ecosystems, forest restoration, improvement of productivity, preservation of genetic resources, tree selection, etc. The Institute employs 24 researchers. In 2006, 36 articles were published in ISI periodicals. On the average, commissions from Lithuanian entities have earned the Institute approximately LTL 266 thousand in

4 o The Food Institute of Kaunas University of Technology basically specializes in research into food processing. The Institute employes 23 scientists and 19 researchers. Commissions from Lithuanian entities earn the Institute some LTL thousand a year on the average. In 2006, 6 articles were published in ISI periodicals. o Research at the Food Technology Department of KTU is carried out in two directions: researching technological properties of rye species cultivated in Lithuania and researching natural food additives from local raw materials. The staff includes 24 researchers. In 2006, 10 articles were published in ISI periodicals. o All the above-mentioned institutions are in active co-operation with other national and international science and higher education institutions and take part in international projects. Some of the institutions boast unique equipment (renewed through project funding) adequate for contemporary scientific research. However, the technical state of some laboratories is not satisfactory, and is in bad need of renovation. The above-mentioned institutions have considerable scientific potential, which could be utilized and developed better, dealing with topical issues. o 2791 enterprises operate in the agriculture, forestry and food industry sector as of The key companies include the agricultural investments managing company Agrovaldymo grupe, poultry enterprises Vilniaus paukštynas, Vievio paukštynas, Dovainonių paukštynas, Kaišiadorių paukštynas, Arvi kalakutai, etc. In the forestry sector, forest stewardships and private forest owners are in charge of reforestation, forest protection and management. The Lithuanian Association of BioFuel Producers and Suppliers with 19 members is concerned with the manufacture and use of biofuel. Such companies as Rapsoila, Biofuture, Mestila and others are involved in the production of biofuels (liquid biofuel). o Approximately 95 percent of the revenue of the milk processing enterprises come from the five major companies Rokiškio sūris, Pieno žvaigždės, Žemaitijos pienas, Marijampolės pieno konservai and Vilkyškių pieninė. Whereas meat processing business is not that concentrated; the country has over two hundred meat processing companies and butcheries. The key meat processing companies include Biovela, Utenos mėsa, Nematekas, Agrovet, Krekenavos agrofirma, Krekenavos mėsa, etc. Major grain processing companies include Kauno grūdai, Kretingos grūdai, Malsena and others. o Employment rate in the agricultural sector fluctuated as follows: thousand in 2001, thousand in 2002, 257 thousand in 2003 and thousand in o Employment rate in forestry and related fields varied in the following way: 9439 in 2001, 8867 in 2002, 887 in 2003 and 9009 in o Employment rate in the food and beverage manufacture sector was as follows: in 2001, in 2002, in 2003, and in o Higher education graduates in the agricultural sector accounted for 2.9 percent in 2001, 4 percent in 2002, 3.3 percent in 2003 and 3.5 percent in In this respect, the situation in the food production sector is slightly better; higher education graduates accounted for 12.3 percent in 2001, 6.1 percent in 2002, 11 percent in 2003 and 11 percent in o In SR&ED in food, beverage and tobacco production involved conditional employees, who made up percent of all employees involved in research and development in the processing industry. This is a relatively high rate. In the overall number of employees in the food production sector, those involved in research and development accounted for percent in 2001, 0.06 percent in 2002, percent in 2003 and percent in o Total expenditure on SR&ED in the processing industry made up LTL 60,1 million in 2005; the food, beverage and tobacco sector invested in SR&ED LTL 6.4 million. Expenditure of the food 4

5 industry for SR&ED fluctuated inconsistently, thus no tendency can be virtually outlined. For example, in 2004 food industry spent LTL 19.6 million on SR&ED (i.e. nearly 25 percent of the overall expenditure of the processing industry for SR&ED), whereas during the other years in question the figures varied LTL 2.7 to 6.4 million. o In the average annual variation in the food and beverage production made up percent. The average annual variation in forestry production was 7.8 percent in The average variation in agricultural production reached 2.3 percent annually in This index is heavily reduced by the decrease of agricultural production in 2002; however, in later years it goes up by nearly 8.88 percent (from 2001 to 2005). The value of the production produced by one individual in the food production sector amounts LTL thousand. o The biofuels manufacture started in Lithuania only in the past years. In biofuels was produced in two companies. AB Stumbras company produced bioethanol from grains to be used in the bio-etbe production. UAB Rapsoila company produced biodieselin from rape seeds. The overall export of biofuel totaled 73 percent. o Growth rate of the production proves that Lithuanian dairy products are competitive in both Western and Eastern market. Exporters of dairy products find their key market in the EU; 60 percent of all production realized abroad is sold here. Production and export volumes increased in most of the sectors of food and beverage industry. In 2006 the turnover of international sales of Lithuanian agricultural and food products exceeded LTL 10 billion. Export volumes increased by 29 percent while the positive sale balance reached LTL 511 million. In the export structure the largest relative part traditionally goes to milk and dairy products (19 percent). Fish, meat products and vegetables account for a considerable part of exported production as well. o One of the main factors hindering the development of the agriculture, forestry and food industry sector is low productivity in the sector (for example, productivity in agriculture is nearly twice as low as the average one in the country at large). Further growth of productivity will largely depend on investments in the restructurization and modernization of the sector, implementation of new technologies and successful dealing with social problems in rural areas. Support from EU structural funds, SAPARD and Rural Development programme intended for the restructurization and modernization of the sector may also be a great influence on the development of the country s agricultural sector. Thus it is vital to plan the measures which would ensure sustainable development of the agricultural sector. There is a need to work out a combined national programme aimed at the combined development of studies, research and business in the agriculture, forestry and food production sector. o Over the past years co-operation between research and business entities has been in growing demand. This is also evident in the fact that over the last decade the number of research coprojects between academic institutions and business enterprises has increased by four times (in 1996, 20 such projects were carried out while in 2006, they totaled 80) and quite a few national technological platforms have been set up. Co-operation between academic institutions and business enterprises is growing for two reasons. First, business companies seek to develop their activity, optimize production, supply new products and high quality services by investing in research and technological development. On the other hand, academic institutions carry out research and experiments, design new technologies, which can be commercialized, they also educate specialists, who can satisfy the demand of qualified employees in the labour market. Therefore funding for the national combined programme for agriculture, forestry and food industry would guarantee the sustainable development of research and business in the agricultural, forestry and food indystry sector in Lithuania. o Further development of agriculture and forestry should ensure greater attention to wholesome and high quality of products, environmentally sustainable production methods including ecological production, recycled materials and protection of biodiversity. Reformed agricultural 5

6 industry and rural development in the following years should considerably contribute to competitivity and sustainable development. o Aiming to ensure integrated development of the sector, scientific research and experimental development should be conducted related to positive effect and impact on the business development of agriculture, forestry and food industry and economy growth. Two main SR&ED trends can be distinguished, which should be developed in Lithuania (implementing National Combined Programme for Agriculture, Forestry and Food Industry): 1. Research area of the competence center of agro-biotechnology, bioenergetics and forestry. 2. Research area of the competence center of food technology, safety and wellness. o A further increase of the production of the sector of agriculture, forestry and food industry is forecasted not less than by 5 percent per year. The productivity of separate branches of the economy will improve (animal husbandry, vegetable growing and diary production in particular), a further export development of agricultural and food industry production is expected, the importance of the application of information technologies in agriculture and food industry will increase, the manufacture of the production of higher surplus value will expand, farm expansion and specialization is expected. Therefore, this will influence the increase in the demand for employees of high qualifications. The demand for employees in the field of biofuels manufacture is also forecasted. Therefore, it is necessary to improve present and to form new study programmes related to bioenergetics. o Aiming to train specialists competitive in labour market, it is necessary to update and improve relevant study programmes, to provide renewed teaching material. According to the interventional trends in measure Improvement of Learning Quality of 2 nd priority Lifetime Learning of action programme for Human Resources Development, programme organizers intend to implement projects, directed towards the demands to update training and study programmes, to improve qualification of the academic staff, to implement flexible and individualized training forms. The total scope of the measure LTL 33,780,000. o Beside other factors, investments into the studies infrastructure should help to improve the quality of the studies system. Science and training (particularly of physical and technology sciences) bases of the majority of schools of higher education is out dated. Significant investments are necessary for the renovation of the studies infrastructure (classrooms, libraries and laboratories). The quality of the available infrastructure (equipment of scientific research, means of communication, libraries) with rare exceptions does not meet the present demands. It is difficult to attract scientists and academics of the highest qualification, to train specialists of the highest qualification. Therefore, according to the interventional trends in measure Modernization of higher education system: modernization of infrastructure used for the studies at the universities of the 2 nd priority Quality and access of public services: health, educational and social infrastructure (educational infrastructure), the programme organizers intend to implement projects, directed towards the modernization of the infrastructure of the universities used for the study process. The total scope of the measure LTL 57,190,000. o It is necessary to improve competence of a relevant field and horizontal competences of doctoral students, scientists and other researchers. Competence of a relevant field would allow improving SR&ED work, oriented to the demands of knowledge society and competitive economics. Horizontal competences would create more favourable conditions for the enterprises of high technologies to separate from science institutions and to transfer technologies for private sector, to participate in different international SR&ED programmes, etc. It is necessary to promote scientists, postgraduates and other researchers mobility. Therefore, according to the interventional trends in measure Support for Science, studies and other institutions to train specialists, to improve qualification of scientists and other researchers of the 3 rd priority 6

7 Improvement of Researchers Skills of Action Programme for Human Resources Development, programme organizers intend to implement projects, dedicated to the improvement of qualifications and skills of scientists and other researchers. The total scope of the measure LTL 17,150,000. o Aiming to ensure integrated development of the sector, scientific research and experimental development related to the positive effect and impact on the business development of agriculture, forestry and food industry and economy growth should be conducted. Therefore, according to interventional trends in measure (MES part) SR&ED work of the 1 st priority SR&ED dedicated to the competitiveness of economy and the growth of economics of the action programme for the Growth of Economics, the programme organizers intend to implement programme projects of scientific research (SR&ED area): 1 Agro-biotechnology, bioenergetics and forestry; 2 Food technology safety and health (for more information see feasibility study). The total scope of the measure LTL 153,800,000 (For the first trend LTL million and for the second trend LTL million). o The public SR&ED base is the essential component of the successful development environment of business open to knowledge. Therefore, it is intended to create / update the SR&ED infrastructure and to acquire modern scientific equipment. SR&ED will provide with the basis for strategic and applied research, which have direct positive impact on the competitiveness of the sector of agriculture, forestry and food industry and the economy of the country. According to the interventional trends in measure (MES part) Improvement of the public SR&ED basis of the 1 st priority SR&ED dedicated to the competitiveness of economy and the growth of economics of the action programme for the Growth of Economics, programme organizers intend to form two competence centers: 1. Competence centre of Agro-biotechnology, bioenergetics and forestry (LTL 67,500,00); 2. Competence center of food technology safety and health (LTL 56,220,000). A part of the created infrastructure will be concentrated in the center Nemunas (integrated science, studies and business centers). The total scope of the programme LTL 123,720,000. o For the transfer of the technologies and improvement of cooperation network between small and medium sized enterprises, small enterprises and other enterprises and universities, and all types of education establishments, regional authorities, scientific research centers and science technology poles the sum of LTL 32,430,000 is necessary. o One of the main aims of the integrated Lithuanian economy development is to ensure the participation of large business in the processes of innovation development and training of specialists of high qualification. Is the state supported these processes, the implementation of innovations in business, total competitiveness of the industry and constant increase in the surplus value of per one employed in the sector of agriculture, forestry and food industry would be ensured. o At present in the rules on financial support formed by the Ministry of Economy of the Republic of Lithuania for the programming period of 2007 to 2013 the following support programmes for economic entities related to SR&ED activity performance are scheduled: IntellectLT support programme for the SR&ED activity performed in business enterprises together with state science institutions; IntellectLT+ - the development programme of the SR&ED infrastructure integrated with science institutions; LeaderLt support programme for the implementation of innovations in business. During the preliminary inquiry the representatives of the sector of agriculture, forestry and food industry state to conduct the SR&ED works of agriculture, forestry and food industry. It is expected to receive private means for the SR&ED according to this field: LTL 16,430,000. o On the basis of these SR&ED works, it is expected to implement pilot projects in Lithuania (the implementation of pilot project of biofuel (biofuels) of the second generation manufacture, pilot project of biogas manufacture from waste biomass and its use, pilot project of grey-alder use for 7

8 biofuel, demonstrational project for the synthesis gas of biomass manufacture and its use for the synthesis of biomethanol, bio-dme, Fisher-Tropsh biodiesel, demonstration project for demonstrational project for Koch biodiesel manufacture from biomass and other organic wastes, etc.) For the performance of these works it is expected to attract the investments of LTL 47,100,000. o Measure Modernization of Agricultural Domains of the Lithuanian Rural Development Programme for the programming period 2007 to The general aim is to implement new processes, new technologies and innovations and, thus, to improve competitiveness of agriculture. Potential applicants: science and studies institutions, which have experimental, demonstrational, training and experimental parks, engaged in manufacture of agricultural products. Programme organizers intend to implement projects according to this measure. The sum of necessary means LTL 97,800,000. o National Combined Programme for agriculture, forestry and food industry fulfills several criteria, applied to combined programmes the value of the created production by one employee (food industry sector) in 2005 was LTL thousand. The average annual variation of the production of food industry is percent. The average annual variation of the production of forestry in was 7.8 percent. The average annual variation of the production of biofuel manufacture is 25.2 percent. Biofuel manufacture in Lithuania has been started lately (in thousand tons, in thousand tons). The biggest part of biofuels is exported (in 2005 the export of bioethanol made 83.3 percent, in 2005 the export of biodiesel made 62.9 percent). o As soon as National Combined Programme for Agriculture, Forestry and Food Industry is implemented (2007 to 2013), the following results of the development of the sector of agriculture, forestry and food industry are forecasted (the forecast may vary depending on the final National Programme for Agriculture, Forestry and Food Industry): Increase in the number of researchers by 18 percent (change is forecasted by the end of the term) Increase in the number of researchers in enterprises by 62 percent (change is forecasted by the end of the term) Increase in the number of scientific publications by 16 percent (institutions participating in the programme, average annual change is forecasted). Increase in the business expenses on SR&ED by 500 percent (absolute change in the number of investments of business enterprises on SR&ED). Variations of the export will depend on the group of goods and total manufacture: change in the biofuels manufacture is forecasted approximately by 200 percent (by the end of the term), change in the scope of the export by 37 percent; the expected increase in agricultural and food industry production by 5 percent, variations in the export by 10 percent per year. The number of the created workplaces for employees of high qualification average annual number of workplaces for employees with high qualification