The Status of Agricultural Land as a Natural Resource and the Process of Serbia’s Accession to the EU

Abstract

This article discusses one specific aspect of the process of Serbia’s EU Accession which refers to liberalisation of the transfer of economic property rights over natural resources, particularly agricultural land. The underlying principles of the free market economy assume free movement of goods, capital and labour. However, there are two existing approaches when analysing transfer of property rights over agricultural land as a natural resource. The first one insists on full liberalisation of the transfer of ownership rights in this area, while the second approach assumes limiting or imposing certain restrictions through national legislation on the free transfer of property rights over agricultural land as a limited national resource and national wealth. Experiences of applying these two approaches within EU member states differ from full liberalisation to significant restrictions on the freedom of agricultural land ownership transfer. In the process of accession negotiations with the EU and in line with a proclaimed interest to join the World Trade Organisation, Serbia has to deal with the issues of liberalisation of trade of agricultural products as well as other national resources including agricultural land. Since the EU regulations do not have any specific requirement in terms of the adoption of a completely liberal approach, it is up to Serbia to decide which model is the most appropriate, considering its own interests. The article defines and discusses arguments which strongly speak in favour of imposing limitations to the full liberalisation of the transfer of property rights over agricultural land as a natural resource in Serbia.