Romania Concentrates 23% of the EU’s Agricultural Workforce

Romania accounts for about a third of all farms in the European Union, yet 90% of them are under five hectares—subsistence farms. Impact Hub Bucharest (EIT Food’s representative in Romania), in partnership with Startarium, has launched the fourth edition of the Romanian AgriFood Startups Overview Report 2024, offering a comprehensive analysis of the AgriFood startup ecosystem.

This year’s edition explores how digitalization, technological innovation, and EU policy intersect to shape the future of food production in Romania and beyond, while also highlighting the role of AgriFood startups in driving this transformation.

The initiative is part of the Empowering Women in Agrifood (EWA) preparatory events, a program dedicated to female entrepreneurs and projects led by women in the agri-food sector. EWA is an acceleration program developed by EIT Food, the world’s largest food innovation community, supported by the European Institute of Innovation and Technology (EIT), a body of the European Union.

EIT Food is Europe’s leading food innovation initiative, operating as a consortium of key stakeholders across the food industry, including startups, research centers, and universities. It is one of nine Knowledge and Innovation Communities (KICs) supported by the EIT, an independent EU body founded in 2008 to foster innovation and entrepreneurship. EIT Food’s mission is to “future-proof” the food system by building an inclusive community that “supports innovation at every stage of business development.”

Key Findings of the Report

Agriculture remains a key sector for both Romania and the EU, despite a declining GDP contribution and decreasing profitability. In Romania, agriculture contributed 3.9% to GDP in 2023, dropping to 3.2% in 2024. In the EU, the sector’s contribution was 1.3% in 2023. The local sector faces systemic challenges: outdated technology, low productivity, an aging workforce, and increasing climate risks like soil degradation and water scarcity.

The report reveals that Romania employs 23% of the EU’s total agricultural workforce—the highest share in the Union, amounting to 1.77 million jobs. Alarmingly, 44.3% of Romanian farmers are over 65, highlighting a significant labor aging issue. Interestingly, 19% of agricultural workers in Romania were women in 2021, the highest percentage in the EU.

As of 2023, there were 73 FoodTech and AgriTech startups in Romania. Between 2018 and 2023, 18 funding rounds were recorded, totaling €14 million for FoodTech and €1.6 million for AgriTech.

The report also underscores Romania’s low farm digitalization rate, although technologies like sensors, drones, satellite imagery, and AI could significantly boost sector profitability.

“Agriculture is a vital sector for Romania with a large labor force, but 2024 was a less remarkable year. According to the National Institute of Statistics, the sector had a -0.4% negative contribution to GDP, accounting for 3.2% of GDP, with a 10.5% drop in activity volume. Additionally, investments in FoodTech and AgriTech in Central and Eastern Europe dropped by nearly 55% in 2023 due to higher interest rates and a challenging economic climate,” said Oana Craioveanu, CEO & Co-founder of Impact Hub Bucharest and Startarium.
“Still, our report highlights promising signs. Early-stage tech adoption supports progress in areas like efficient irrigation and automated harvesting. One major conclusion: Romanian agriculture has enormous potential, but needs data, better resource optimization (water, energy, fertilizers), and increased yield per hectare to become truly profitable. Encouraging the formation of modern cooperatives and collaborative structures is essential so small farmers can access markets, technology, and funding.”

This year’s report combines quantitative and qualitative research, including a survey among Romanian AgriFood startup founders, analysis of public data (geographical, financial, legal), and interviews with entrepreneurs and industry experts—resulting in case studies and sector insights.

The report provides a full view of the agricultural sector’s contribution to both the EU and Romanian economies, covering metrics like added value, production volume, trade data, number of startups, and their impact, as well as the support ecosystem. Most figures refer to 2023, with preliminary data from 2024, depending on the availability of official sources from the EU and other relevant organizations.

The full report is available here.