The transformation of Hungarian meat sector – lessons and experiences

Abstract

The linkages between the privatisation of agricultural cooperatives, state- owned enterprises, their restructuring and the participation of foreign capital in both processes are the focus of this paper. In a broad sense, restructuring includes all policy measures and economic processes which increase the efficiency on an economy or of a company. The paper analyses the processes of privatisation and their effect on structure, conduct and strategy of various economic entities in the meat sector. The experience of last ten years puts us in a much stronger analytical position than at the start of the transition. In general it can be stated, that the privatisation of agriculture and food industry was a necessary precondition for improvement of economic competitiveness of meat sector, but did not solve numerous problems, and generated some important contradictions.