Bosnia and Herzegovina is richly endowed with natural resources and conditions which create superb environment for agricultural production, including availability of labor, land, and other natural resources, as well as suitable climate.

The enormous agricultural potentials are only partly realized, in spite of huge human and natural resources.

Strong development and permanent production growth, which characterized B &H agricultural sector is considerably below its real potentials and expected performances. Most of the food products are imported, and especially wheat, meat products, milk products and fruit juices.

Poor financial resources, needed for modernization of all segments of agricultural production (replacement of outdated technologies and equipment; upgrading of the existing structure of agriculture sector, etc) are one of the main limitations for faster development of this sector.

Nevertheless B & H agricultural sector has a great opportunity for potential investors, based on the following main advantages:

• Abundance of agricultural land - around 50 % of agriculture land is uncultivated
• Favorable climate conditions
• Good availability of skilled low cost labor & long tradition in agriculture
• Developed education system, R & D institutions, agronomic and veterinary support
• B & H is a considerable net importer of agricultural and food product
• Privatization of state owned companies