Published in Scientific Papers. Series "Management, Economic Engineering in Agriculture and rural development", Vol. 17 ISSUE 1
Written by Daniela SIMTION

Modernization of agriculture had the effect of income transfers to other sectors and the boost of overall economic development but also led to a relative decline of agriculture in favour of the food industry. The industrialization of agriculture was realized by increasing inputs from industry through the expansion and generalization of industrial production processes in many agricultural activities. Gradually the share of intermediate consumption and capital per active person in agriculture has increased. For example the total industrialization of pig and poultry farming, as a result of the production of compound feed, a starring role in this process have the upstream industries from agriculture and the technical - commercial services. Food industry based on scale economies have developed and diversified as a result of major investments, food technologies were adapted to the new nutrition models thus diversifying food products and satisfying the demands of mass distribution. Food industry has grown at a different rate from that of agricultural production, as a result of the evolution of consumer demand and consumer behaviour, corresponding to the growth of their incomes. So from a simple activity of processing agricultural products, food industry has become an industry that produces more and more developed food products which highly increases added value compared to agriculture.

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