Dairy Cooperatives in Romania and Poland

The '90s reshaped agricultural activities in many Eastern European countries. The cattle sector was one of the most affected by agricultural land fragmentation in post-communist Romania. Establishing agricultural cooperatives in Romania is still seen with reluctance due to the forced collectivization process in the '50s. The Polish communist regime didn't abolish private farm ownership and agricultural cooperatives have a long tradition. Polish cooperatives undertake more joint activities, such as processing and financing investment for members, while Romanian ones limit themselves to raw milk production. Some of the problems Romanian and Polish organizations are facing are common. Additionally, Polish cooperatives are also facing problems related to their milk processing activities. Romanian cooperatives must think of vertical integration and include processing in their activities, as a necessary step for development and for gaining more negotiating power in the milk chain.