FDI in Central and Eastern Europe’s (CEE) Agribusiness

Abstract

Central and Eastern Europe (CEE) had adopted restricted industrialization policy until 1990. The economic and social transition started after 1990, providing free atmosphere for foreign investments in CEE. Due to such interference, the early eminent countries were replaced by new eminent ones. This article examines the affirmative as well as unimpressed role of foreign direct investment (FDI) in agribusiness in CEE during 1990s–2000s. Like CEE, India was also a restricted economy until 1991. As a part of continuing reforms, India has recently allowed a bulk of FDI in agribusiness sectors which have prompted farmers and local industrialists to raise their voice against such decision. Agriculture, being a livelihood of major population, needs a better farm–firm link through investment. Evidence from the CEE has proved many positive outcome of FDI. However, India cannot ignore some eccentric lessons from CEE.