Hungary’s could become the fastest growing economy in Central Europe

Hungary’s could become the fastest growing economy in Central Europe by the end of the year, if it succeeds in continuing in the fourth quarter the work it achieved in the third – said Prime Minister Viktor Orbán on Tuesday in Kaposvár, Hungary.

At the opening of a new sugar silo with capacity for 60 thousand tons of sugar, realised with an investment of HUF3bn, the Prime Minister stressed that agriculture and the food industry are among Hungary’s key sectors, given the country’s traditions and traits, and producing good quality food is an essential national interest. Last year, agricultural exports rose to €8bn from €5.8bn in 2010, which constitutes 10% of the exports of the national economy.

It is a vital goal for both the Hungarian Government and Magyar Cukor Ltd. to preserve beet and sugar production as one of the priorities of the economy. The Government is currently investigating the option of also introducing reverse VAT for the sugar industry, which could significantly improve the sector’s position.

There is a chance that the EU sugar quota could be abolished in 2017, which could lead to the rapid redevelopment of the once blooming Hungarian sugar industry.

Mr. Orbán emphasised that the Hungarian economy is driven by investments, such as this one, which he hopes can serve as a symbol of 21st century Hungarian agriculture and its food industry.

Prime Minister’s Office

Photo: MTI – György Varga