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2020 Cyprus Country Report

The 2020 Cyprus Country Report features in-depth articles on the economy, foreign direct investment, international trade and headquartering as well as detailed sector profiles and insights from Cyprus’ 100 most influential political, economic and business leaders shaping the future of their country and its industries.

The 2020 Cyprus Country Report features in-depth articles on the economy, foreign direct investment, international trade and headquartering as well as detailed sector profiles and insights from Cyprus’ 100 most influential political, economic and business leaders shaping the future of their country and its industries.

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Agriculture & Food<br />

Sector Profile<br />

The government has recognised the budding<br />

success of this sector and announced €23 million<br />

would be made available to the local industry<br />

through the National Viticulture Support<br />

Programme for the period 2019-2023. Many<br />

vineyards today are run by young entrepreneurial<br />

Cypriots with solid training in viticulture and<br />

oenology from famous winemaking regions such<br />

as France, Italy and Australia. This along with the<br />

establishment and promotional work of an association<br />

of 11 leading Cypriot wineries – branded<br />

the ‘ambassador wineries’ through the Evoinos<br />

partnership programme – are definitely putting<br />

<strong>Cyprus</strong>’ wine territory on the map for international<br />

wine connoisseurs.<br />

Showcasing the rich viticulture of the island,<br />

<strong>Cyprus</strong> has created a wine trail project, offering<br />

six different organised routes for visitors to<br />

tour the island’s wine-producing regions. The<br />

reputation of the annual Limassol Wine Festival,<br />

launched in 1961, has also spread beyond the<br />

country’s borders and attracts over 100,000 visitors<br />

every August to the city’s municipal gardens<br />

to discover the wine portfolios of one of the<br />

world’s oldest wine-producing countries.<br />

OPPORTUNITIES AND CHALLENGES<br />

Climate change is undoubtedly one of the biggest<br />

challenges facing <strong>Cyprus</strong> and the entire region,<br />

and the agricultural sector has felt the effects first<br />

hand. For example, €11.2 million in compensation<br />

has been paid for damages suffered to certain<br />

types of crops due to extreme weather conditions<br />

– this figure exceeds by far the average compensation<br />

of the last 20 years. This reality has placed<br />

research at the heart of finding solutions to fight<br />

the effects of global warming. To this end, <strong>Cyprus</strong><br />

along with 15 other countries has launched an<br />

initiative to create a new climate change action<br />

plan. The research and recording of relevant<br />

measurements in the region will be led by the preeminent<br />

and globally renowned research organisation<br />

the <strong>Cyprus</strong> Institute (CyI), and the data<br />

gathered combined with the scientific expertise<br />

is expected to result in new ideas and solutions.<br />

Currently there are around 55 research projects<br />

in various stages of completion in <strong>Cyprus</strong> thanks<br />

to the numerous research centres and universities<br />

leading the way in innovation.<br />

New trends in farming methods and produce<br />

are helping to address another challenge that<br />

Cypriot agriculture has long faced, the everincreasing<br />

average age of farmers. Younger educated<br />

people are now entering what is seen as a<br />

cutting-edge sector and many also have the marketing<br />

skills to make their agribusiness a success<br />

– changing the image of farming. The University<br />

of Central Lancashire (UCLan), the first British<br />

university to establish a campus in <strong>Cyprus</strong>, now<br />

offers a popular diploma programme in agriculture<br />

and animal husbandry, and the numerous<br />

private and university-led research projects and<br />

initiatives are also enticing the younger generation<br />

to explore opportunities in the sector.<br />

Another interesting initiative is the recent legislation<br />

allowing for the cultivation and trade of<br />

medical cannabis. Apart from the benefits it would<br />

bring patients – a number-one priority – it would<br />

also bring a boost to the economic development<br />

of the island, as well as attract significant foreign<br />

investment for the entire production chain.<br />

To promote the quality of <strong>Cyprus</strong>’ agricultural<br />

products, the government has pushed to<br />

register more PDOs and two other international<br />

quality logos that attest to specific traditions<br />

and qualities of food, agricultural products and<br />

wines. Like the PDO, the PGI denotes a specific<br />

link to a region’s product while the third logo, the<br />

Traditional Speciality Guaranteed (TSG), highlights<br />

a traditional production process. <strong>Cyprus</strong><br />

has five food products already registered as<br />

PDOs, and four products have PGIs, with more<br />

applications for both PDO or PGI certification in<br />

the pipeline. In the wine category <strong>Cyprus</strong> boasts<br />

the famous Commandaria, which is said to be the<br />

earliest known wine brand in the world. In addition,<br />

Zivania and Ouzo are potent alcoholic beverages<br />

listed as PGI products since 2004. There<br />

is growing interest to gain these unique badges<br />

of quality because they bring added value to any<br />

produce, especially as European consumers are<br />

prepared to pay more for well-sourced food and<br />

ingredients. Achieving more certifications for<br />

Cypriot products is a good opportunity to help<br />

rebrand <strong>Cyprus</strong> and its agricultural sector.<br />

DIVERSIFICATION IS KEY<br />

<strong>Cyprus</strong> is determined to become cleaner and<br />

greener by adopting principles of sustainability,<br />

and with increasing input from scientists and researchers<br />

agriculture is diversifying with its boutique<br />

wineries, aquaculture and farmers cultivating<br />

nutritious and medicinal plants. Agri-tech<br />

and smart farming methods are on the rise and<br />

start-ups and research centres are working more<br />

closely with farmers for fresh ideas to transform<br />

agribusiness. With a winning mix of resilient<br />

and resourceful farmers, increased government<br />

support and cutting edge research, <strong>Cyprus</strong> agriculture<br />

is experiencing a transformation that will<br />

allow it to respond to the fast-changing trends in<br />

the European market and to ultimately become a<br />

more sustainable sector in the future. n<br />

Discover more at www.cyprusprofile.com<br />

54 <strong>Country</strong> <strong>Report</strong> CYPRUS <strong>2020</strong>

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