FOODEX DOUBLES PROFIT, EMPLOY HUNDREDS OF NEW WORKERS

For the past five years, the Foodex Company from southwest Serbia has been processing wild fruits, mushrooms,and vegetables, including traditional recipes of unique products. Foodex initially collaborated with a small number of agriculture producers until the quality of their products and market demand pushed them to expand production. By 2003, the company was cooperating with more than 300 collectors of wild fruits and 50 fruit and vegetable producers. Further expansion of its production and market, however, depended on the company's technological and storing capacity.

With USAID support, Foodex's cash flow doubled and 15 new full-time and 170 new part-time jobs were created

Gordana Djakovic, manager of Foodex, decided to turn to USAID, and its Community Revitalization through Democratic Action program (CRDA), for help in purchasing a cooling camber. She'd heard about CRDA and its implementing partner Mercy Corps from a close friend in the village of Kursumlija, who had received assistance from the program in the past.

USAID agreed to invest $56,000 toward purchasing the cooling unit, while Foodex invested the remaining $35,000. The following season, Foodex doubled its profit,hired 15 new full-time and 170 new parttime workers, and increased the number of its agricultural 500.

"With healthy products, prepared in a traditional way, without chemicals or additives, we will succeed.We have already exported a few thousand jars of our products to Canada and the feedback was great.We now expect more success in a world market," boasts Gordana's husband Ljubisa of plans for the future.

Foodex is only one of the 108 agricultural development projects that USAID, Mercy Corps, and local partners have supported in 18 municipalities in south and southwest Serbia. In fiscal year 2004, USAID supported almost 400 income-generation projects throughout 196 communities throughout Serbia, for a total value of over $14 million, with local partners matching USAID contributions one to one. A third of these projects were in the agricultural sector.

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