• Energy Research

Due to the environmental radicalization of European politics, which is reflected in the European Green Deal, Farm to Fork strategy, and new CAP 2023–2027, this paper aims to determine the impact of agri-environmental indicators on soil productivity based on the land productivity function model. The paper focuses on the Western Balkans countries, which are in the process of European integration and which, in the coming period, need to harmonize their agricultural policy with the CAP. First, the aggregate Cobb–Douglas production function has been used to create a land productivity function. Then, the sources of land productivity growth have been calculated, which can be particularly interesting in the context of agri-environmental indicators, such as fertilizer use and livestock density. The research results showed that land productivity is the most elastic concerning changes in the number of livestock units per hectare. Consequently, reducing livestock units had a markedly negative effect on productivity. In addition, the research results showed that using mineral fertilizers is a crucial source of growth in land productivity in these countries. These results imply that the creators of the agricultural policy must carefully assess the pace at which they will harmonize ecological and economic goals, especially if they take into account the current Ukraine crisis that can disrupt the food market.

The functioning of food value chains entails a complex organisation from farm to fork which is characterised by various governance forms and externalities which have shaped the overall food system. VALUMICS food value chain case studies: wheat to bread, dairy cows to milk, beef cattle to steak, farmed salmon to fillets and tomato to processed tomato were selected to enable explorative and empirical analysis to better understand the functioning of the food system and, to identify the main challenges that need to be addressed to improve sustainability, integrity, resilience, and fairness of European food chains. The VALUMICS system analysis was executed through four operational phases starting with Groundwork & analysis including mapping specific attributes and impacts of food value chains and their externalities. This was followed by Case study baseline analysis, which provided input to the third phase on Modelling and exploration of future scenarios and finally Policy and synthesis of the overall work. This report is an overall synthesis of the VALUMICS results as follows: • Key findings from the VALUMICS project on the functioning of European food value chains and their impacts on more sustainable, resilient, fairer, and transparent food system are summarised through a compilation of 25 Research Findings and Policy Briefs. • By highlighting the major contributions from the research activities throughout the four phases of the VALUMICS project, this report delivers an assessment of various factors influencing sustainability, resilience, efficiency and fairness and effective chain relationships of different food value chains, and their determinants. • The synthesis of the outcome allows the identification of opportunities and challenges characterising the functioning of food supply chains, and thus, the prospects and potentials for strengthening the EU food sector. Citation: Olafsdottir, G., Bogason, S., Aubert, P.M., Barling, D., Thakur, M., Duric, I., Nicolau, M., McGarraghy, S., Sigurdardottir; H., Samoggia, A., Holden N.M., Čechura, L., Jaghdani, T.J., Svanidze, M., Esposito., G., Monticone, F., Fedato, C., Xhelili, A., Huber, E., Hargaden, V., Saviolidis, N M., Gorton, M., Hubbard, C., Kahiluoto, H., Hoang, V.(2021). Scenario analysis report with policy recommendations: An assessment of sustainability, resilience, efficiency and fairness and effective chain relationships in VALUMICS case studies. The VALUMICS project funded by EU Horizon 2020 G.A. No 727243. Deliverable: D8.4, University of Iceland, Reykjavík, 130 pages DOI:10.5281/zenodo.6534011

Trust in information originating from a company is becoming essential, as consumer preferences are increasingly versatile and oriented towards credence attributes. Social media, which emerged as a dominant means of online communication, might help increase consumers’ trust in companies. The paper empirically investigates a conceptual trust-building mechanism that could occur on companies’ social media pages. A survey was conducted among social media users in Belgrade (Serbia). The collected data were analyzed using covariance-based structural equation modeling. It confirmed that in an interactive environment of companies’ social media pages, trust can be built towards two objects. The first one is trust among consumers, and the second one is trust towards a company. The results also confirm a connection between trust and an intention to purchase, both being also related to a consumer’s willingness to obtain information. Therefore, the result can serve as a basis for creating more effective marketing campaigns where a company is the source of information regarding credence (added-value) attributes of its products.

Although the concept of self-sufficiency has been accepted both in developed and developing countries, alternated with periods of its rejections, the food crisis from 2007/08 and COVID-19 pandemic returned focus to the availability of countries to be self-sufficient in food production. Considering the concerns over ensuring food security in many countries, the main objective of this paper is to estimate the ability to fulfill the feed demand of the population in the eight countries of South-East Europe (SEE), which is in crisis conditions, such as pandemic especially important. In that context, the food self-sufficiency ratio (SSR) is calculated for total food production, as well as for different food groups. The next step in the methodological framework was to estimate the influence of different factors on the self-sufficiency ratio, as it depends on natural, financial, economic, and political factors. The results show that the SEE region expresses a high level of SSR in food, so it shows that the region is quite ready to respond to the challenges posed by the crisis. However, as the SEE region is a group of very different countries, regional cooperation should be strengthened as food production is considered.