Serbian SMEs exports three times less then EU average

Business Support Network conducted a comparative analysis of SME sector in Serbia and 14 EU member states. The information shows underdevelopment of SME sector and Serbia, and necessitates new development strategy for SMEs. The crucial difference – this time, the strategy should not be formed in a cabinet.

The information given in the following table shows the percentage of export-oriented SMEs in the total number of such companies, and their contribution to the total exports.

#	Country	% of SME exporters	% of total exports made by SMEs
1	Denmark	18,4	37,2
2	Sweden	18	33,9
3	Germany	14,3	36,8
4	Italy	14	32
5	France	12,2	26,8
6	UK	12	25,9
7	Netherlands	11	24,7
8	Austria	10,6	24,3
9	Czech Republic	10,4	22,2
10	Spain	9,6	17,1
11	Hungary	9,2	15,2
12	Poland	9	20,7
13	Latvia	8,8	18
14	Romania	8,5	17,3
15	EU 14 average	11,9	25,2
16	Serbia	4,1	8,8

It can clearly be seen that Serbia’s previous economic development policy, which placed a large emphasis on small- and medium-sized enterprises has failed, and that a new policy is needed.

New strategy should avoid the pitfalls of previous ones, and be based on:

Proposals of managers and company owners of SMEs, to take into account practical experiences
Segmented by different industry sectors
Taking into account resources traditionally available and provide systematic support to those sectors
Support of joint venture projects of Serbian SMEs with partner companies from EU and other countries
Investment mapping of Serbia, identifying important areas and industry sectors to be supported.
Regulatory reform aiming to reduce bureaucracy and “red tape” procedures for SMEs
Introducing higher degree of legal certainty and cost predictability
Reform of education and special programs for stimulation of high-education experts to stay and work in Serbia