Hungarian agriculture faces water scarcity and fraud

The Hungarian agricultural sector is facing severe challenges due to water shortages and large-scale fraud. Zsolt Attila Bűdi, CEO of Bács-Zöldért Zrt., reports a dramatic decline in fruit and vegetable production in certain regions. He notes that areas which once provided two-thirds of the nation's produce have seen production plummet to a fraction of those levels.

A primary cause is the deterioration of the irrigation and drainage network. The extensive channel system built in the 1960s and 1970s has fallen into disrepair since the transition to a market economy, leading to dried-out landscapes and increased vulnerability to drought. Bűdi suggests that refilling these channels could help regulate the local climate and mitigate the effects of drought, particularly in regions like Homokhátság, which he describes as a semi-desert zone.

Additionally, the industry is being impacted by significant fraudulent activities involving agricultural subsidies.