About Bulgaria
The country with the lowest taxes in Europe and well placed for recovery and strong economic growth
Geography
Bordering 5 countries and the Black Sea, Bulgaria is a country of about 111,000 sq. Kilometres (43,000 sq. miles).
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For a relatively small country, Bulgaria has a richly endlowed geography and varied climate. Ranging from the snow capped Alpine peaks of the Rila and Pirin mountains to the sunny shores of the Black Sea.
There are no less than 540 rivers across the country, including the important Danube which borders the North. The richest farmland is in the region, particularly the Dobrudzha (near Dobrich).
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Climate
Bulgaria has a temperate climate, with cool, damp winters and hot dry summers. The Balkan mountains in the middle of the country divide the climate into a cooler North and drier, warmer south, although the Dobrudzha is somewhat drier than average for the Northern part. Average rainfall is 630 mm a year.
In summer, temperatures in the south of Bulgaria often exceed 40 degrees Celsius, but remain cooler by the coast. A site near Plovdiv has recorded the highest known temperature: 46.7 degrees Celsius.
Dobrudja region: soil and crops
Dobrudja is a geographical and historical region in Eastern Europe, with over 23 000 km² area, most of it representing a plateau. It includes the Danube Delta, Romanian coast and the northernmost part of the Bulgarian coast. Dobrudja is relatively plain terrain and the Black sea influences over the region's climate at most. Precipitation is approximately 477mm per annum, from which 260mm during the vegetation period, which is enough to grow crops and irrigation isn’t needed.
Wheat is by far the most important, followed by corn (maize), barley, rye, oats, soybeans, alfalfa and flax. Sunflower seed is the chief oilseed crop. Oil seed rape is grown for biofuel (eco- alternative to petrol), which is very popular among the “green-thinking” investors and on the developed European markets.
The varied Bulgarian natural environment has produced about 20 soil types and subtypes, which may be grouped into several regions. Agrilandsales is specialzing in the best farming region in Bulgaria: Dobrudja. Dobrudja is characterized by the predominantly fertile black-earth soils known as chernozems.
The chernozems (meaning black earth) have been formed in the conditions of a temperate climate, mainly on grass steppe vegetation. The soil humus horizon A is very strong; the B horizon is well developed and changes directly into C horizon - a soil forming rock. The chernozems have very strong (80 – 100 cm) dark colored humus A horizon and B horizon with power from 40 - 50 cm. Carbonates become thinner at 60 – 80cm depth. This type of soil has high natural fertility and when cultivated properly, produces the highest yield of field-crops.
Politics and economy
Since the fall of communism in 1990, Bulgaria has established itself as a fully functioning parliamentary democracy. The socialist party was swept away in June 2009 and a strong mandate given to the present right of centre GERB party.
Since this election, the Bulgarian government has dealt with the recession better than many European countries, resisting tax rises and bearing down on government expenditure and corruption. Public debt as a proportion of GBP is among the lowest in Europe.
Increasingly, investors are waking up to the fact that there is a neo tax haven within the EU – Bulgaria. Corporate and personal taxes are a flat 10%, regardless of how wealthy you are. This financial attraction combined with the countries strong tourist and agricultural appeal is likely to lead to sustained and strong economic growth.
In agriculture, the impact of agreed full EU subsidies is already starting to push up land prices, which have been temporarily suppressed by the recession. Add this to a recovering wider Bulgarian economy and the scene is well set for much higher farmland prices.
Think of the effect EU accession and farm subsidies did to Irish land prices 25 years ago. It sent them soaring. Now, this situation has risen again in Bulgaria.
As of December 2010, we estimate a price increase in Bulgarian farmland of 250% over 5 years, with corresponding increase in rents.
