The European Union offers €400,000 for the development of four clusters in the Cahul and Ungheni regions

May 14, 2023

Four clusters in Cahul and Ungheni regions benefit from grants of €100,000 each, as part of “EU4Moldova: Focal Regions” programme, financed by the European Union and implemented by UNDP and UNICEF. 

Therefore, in Cahul, the livestock cluster "Bacii Sudului" will develop and strengthen the technologies and increase the quality of products in the field of sheep farming, the winemaking cluster will establish and equip an Oenological Center and the beekeeping cluster will strengthen the sector by equipping it with specialized packaging equipment. At the same time, in Ungheni, the "Dealurile Măgurii" touristic cluster will develop services and increase the competitiveness of the region's touristic offer.

The financial assistance offered to clusters will enable purchase of equipment, goods, works, and services, all these contributing to job creation and more investments in the regions.

“The financial and technical support offered to the clusters will help its members – private companies, local public authorities and research institutions - to develop further. As a result, the urban and rural areas of the Cahul and Ungheni will become more attractive to locals, tourists and investors, positioning them closer to EU standards. The EU support helps both regions to improve the living standards and to strengthen the economic and social cohesion of the Republic of Moldova,” said Jānis Mažeiks, Ambassador of the European Union to the Republic of Moldova during the grants certificates awarding ceremony, conducted on 13 May 2023.

“Today is also about celebrating the local business community from Ungheni and Cahul for their partnership, resilience, and dedication to continue investing in the economic development of the two regions. UNDP Moldova will continue to advance the approaches that catalyse investments and growth, and a cooperation in a ‘cluster’ format among economic actors,” said Andrea Cuzyova, Resident Representative a.i. to the Republic of UNDP Moldova.

“I thank the development partners for their support and contribution to the modernization of the Republic of Moldova. At the same time, I appreciate the courage and perseverance shown by some entrepreneurs in innovating the way they run a business. The cluster is a business model that could be replicated in other regions of the country, which would ultimately bring prosperity to the Republic of Moldova,” said Viorel Garaz, State Secretary at the Ministry of Economic Development and Digitalization.

The non-reimbursable assistance for the clusters in Cahul and Ungheni aims to promoting and supporting the spirit of cooperation between urban and rural businesses. 

Founded in 2022, the "Bacii Sudului" cluster aims to strengthen cooperation between sheep and goat breeders in the Cahul region to increase business competitiveness, capitalize, and promote large-scale products from the sheep sector.

“With EU and UNDP support, we will procure a mobile, regional, unique abattoir in the Republic of Moldova, which comes with a solution for sheep and goat breeders' farms in the south of Moldova. This unique concept will give farmers the opportunity to capitalize on their products, diversify meat products and enter new markets. The positive impact of the investment will contribute to the long-term business development," notes Domnica Căpățină, administrator of the "Bacii Sudului" cluster.

In 2022, within the first call for grants, four other clusters from Cahul and Ungheni benefited from assistance of €100,000 each, thus the total value of the financial support of the two calls for clusters from the Cahul and Ungheni regions amounts to €800,000.

“EU4Moldova: Focal Regions” programme (2019-2024) supports smart, inclusive, and sustainable socio-economic development in Cahul and Ungheni regions, to bring a better quality of life to citizens. The programme has a total budget of €23 million, is financed by the European Union and implemented by the United Nations Development Programme (UNDP) and the United Nations Children's Fund (UNICEF). 

Download the press-release in Russian.