Hungarian agriculture generates 2300-2400 billion forints each year, and this sum is doubled by the food industry, not including trade, the Minister for Rural Development stated in Sárrétudvari.

In future, the Ministry plans to provide significantly greater funding than previously to local food processing enterprises, Sándor Fazekas added during his speech to mark the inauguration of the so-called „milk mill” milk and meat processing plant in the Hajdú-Bihar County town.

„This event is also a celebration for rural Hungary”, the Minister said, acknowledging the intention of the family who established the plant to supply the area with high quality, local milk and meat products.

Sándor Fazekas pointed out that in Western Europe 60 percent of agricultural enterprises are small and medium-sized operators who supply the surrounding settlements with food. In Hungary, this ratio is still reversed in favour of large businesses, but the goal is for local farms to play as great a role as possible in local supply, the Minister added.

Mr. Fazekas also said that 8-10 billion forints had been invested in food industry development projects in recent years, while some 24 billion forints had been spent on modernising the horticultural vehicle pool.

Servet 2000 Ltd., a family firm, established the plant through the reconstruction of an old local mill with an investment of 170 million forints, towards which they received 68 million forints in European Union funding, owner Csaba Lendvai told Hungarian news agency MTI.

The farm, which currently generates revenues of 160-180 million forints-a-year, has 150 dairy cows and generally between 80 and 200 slaughter pigs. The goal of the two new plants, in which work will commence in November, is to double the company’s sales revenue, Mr. Lendvai added, noting that the investment has led to the creation of ten new jobs in the settlement.