Local capacity building for rural development aimed at promoting tourism

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Publisher: United Nations Development Programme (UNDP) within the joint United Nations programme “Sustainable Tourism for Rural Development” REPORT PREPARED BY: Leopold Rollinger PROOFREADING: Mark R. Pullen LAYOUT, DESIGN AND PRINT MaxNova creative This report was developed within the framework of the joint United Nations programme “Sustainable Tourism for Rural Development”, financed by the Kingdom of Spain through the Millennium Development Goals Achievement Fund (MDGF). The opinions expressed in this report are those of the author and do not necessarily represent the opinions of the United Nations.

CIP - Каталогизација у публикацији Народна библиотека Србије, Београд 338.48-44(4-22) IZGRADNJA lokalnih kapaciteta za ruralni razvoj usmerena na unapređenje turizma = Local Capacity Building for Rural Development Aimed at Promoting Tourism / [izveštaj pripremio Leopold Rollinger]. - Beograd : Ujedinjene nacije - Program za razvoj, Kancelarija u Srbiji, 2012 (Beograd : MaxNova creative). - 130 str. : ilustr. ; 24 cm Uporedo tekst na srp. i engl. jeziku. - Tiraž 1.000. - Napomene i bibliografske reference uz tekst. ISBN 978-86-7728-178-6 1. Уп. ств. насл. a) Одрживи туризам у функцији руралног развоја (програм) COBISS.SR-ID 189116940


Local capacity building for rural development aimed at promoting tourism

Dear friends,

Report prepared by: Leopold Rollinger This report was realized within the framework of the Joint Programme of the United Nations “Sustainable Tourism for Rural Development”, financed by the Kingdom of Spain through the Millennium Development Goals Fund (MDGF).

I would like to express my thanks to all representatives of the aforementioned institutions who were directly or indirectly included in the realization of the programme’s activities and this report. Thanks to their support, the programme has contributed to the development of tourism in Serbia, which is also reflected in the 21% increase in the number of tourist arrivals during the first nine months of 2011, as compared to the same period n 2010.

The opinions presented in this report are those of the author and do not necessarily represent the opinions of the United Nations.

Due to the broad scope and variety of the programme’s activities, this report only includes those activities that focused on capacity building for local stakeholders to use the LEADER principle and for the establishment of partnerships according to the Local Action Groups model.

Belgrade, January 2012

This report was written to present the results of the “Sustainable Tourism for Rural Development” Programme. It will benefit both programme participants and implementation partners, but also all citizens of the Republic of Serbia who are interested in the development of tourism. We hope that we have contributed to the development of sustainable rural tourism in our country through the realization of the programme, by strengthening and linking institutions, organizations and individuals dealing with this topic. The key element in the programme was precisely such cooperation between all participating partners. No successful implementation would have been possible without it. With the completion of this programme, the United Nations agencies, the ministries of the Serbian Government and the Tourism Organization of Serbia emerge enriched with the precious experiences gained during the previous period. An important contribution was also provided by the representatives of local self-governments, civil society organizations, tourism organizations, entrepreneurs, the media and other partners. Their dedication and enthusiasm inspired and enriched all of our activities.

The representatives of the Government of the Kingdom of Spain in Serbia, which financed the programme via the Millennium Development Goals Fund, were more than just donors. Their proactive approach and support often helped us to overcome the challenges we faced. Finally, I hope that by reading this report you will learn something about the activities we implemented, but also gain the knowledge necessary for the successful development of rural tourism in Serbia.

For the Programme Team, Karlo Puškarica, Programme Manager


Glossary of terms & abbreviations EAFRD

European Agricultural Fund for Rural Development

EU

European Union

FAO

Food and Agriculture Organization

LAG

Local Action Group

LEADER SERBIA Project “Capacity building for the establishment and implementation of the LEADER Initiative in the Republic of Serbia” MDGF

Millennium Development Goals Achievement Fund

MERD

Ministry of Economy and Regional Development

MATFW

Ministry of Agriculture, Trade, Forestry and Water Management

NCTD

National Corporation for Tourism Development

CSO

Civil society organizations

Programme

Joint United Nations programme “Sustainable Tourism for Rural Development”

RuralNet

National Network for Rural Development

SME

Small / medium-sized enterprise

TOS

Tourism Organization of Serbia

UN

United Nations

UNDP

United Nations Development Programme

UNEP

United Nations Environment Programme

UNICEF

United Nations Children’s Fund

WTO

World Tourism Organization

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CONTENT ABOUT THE “SUSTAINABLE TOURISM FOR RURAL DEVELOPMENT”PROGRAMME.......... 09 INTRODUCTION............................................................................................................... 11 1

METHODOLOGY FOR CAPACITY STRENGTHENING .......................................................... 15

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LEADER PRINCIPLE AND LOCAL ACTION GROUPS........................................................... 19

2.1

Rural development of the European Union through LEADER and LAG............................................... 20

2.2

4.2

Workshops: Gender equality, women’s empowerment and the development of sustainable rural tourism ................................................................................................................................. 46

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SUPPORT TO LOCAL INITIATIVES THROUGH THE ALLOCATION OF Grants...................... 47

5.1

Brief overview of the call for project proposals................................................................................ 47

5.2

Grant approval process .................................................................................................................. 51

5.3 5.3.1

Projects financed within the framework of the first call topic “Production of food and non-food products and activities for the needs of the local/regional tourism market”..................................... 51 Aromas and tastes of Banat wine and cheese................................................................................. 51

5.3.2

Stimulating traditional crafts........................................................................................................... 52

5.3.3

Fruits in the “Srpska magaza” (Serbian traditional storerooms)....................................................... 52

5.4

Projects supported within the framework of the second call topic “Support for projects in the field of environmentally sustainable tourism”......................................................................................... 52 Silver Eko programme: the holiday you’ve always wanted............................................................... 52

5.4.1

5.4.3

Let us preserve our treasure: Improvement of infrastructure for the development of rural tourism in the municipality of Kladovo......................................................................................................... 55 Western Serbia: The internet as a tool for the development of rural tourism.................................... 57

Local action groups in the EU Rural Development Policy 2007–2013............................................... 21

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STUDY TRIPS TO EU MEMBER STATES............................................................................ 62

2.3

LEADER principle............................................................................................................................ 22

6.1

Study trip to Slovenia, 12–15 September 2011............................................................................... 62

2.4

Examples of good practice among LAGs......................................................................................... 27

6.2

Study trip to Italy, 3–7 October 2011............................................................................................... 63

2.4.1 2.4.2

Scotland: LEADER programme in rural Aberdeenshire – Project for the revitalisation of footpaths on Scolty Hill.................................................................................................................................. 27 Slovenia: LAG Dolenjska and Bela Krajina, Project “Along Heritage Trails”....................................... 29

2.4.3

Finland: Participatory approach as a trigger for the activities of the Oulujärvi LAG........................... 31

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TRAINING CONDUCTED WITHIN THE PROGRAMME.......................................................... 33

3.1

Cumulative overview of training...................................................................................................... 33

3.1.1

Gender structure of training participants......................................................................................... 33

3.1.2

Participant structure with regard to region of origin......................................................................... 34

3.1.3

Participant structure with regard to participating institutions and organizations .............................. 34

3.2

Overview of individual training sessions.......................................................................................... 35

3.2.1

Training on the development of rural tourism, experiences from Bavaria, Divčibare 18–19 June and Orašac 23–24 June 2010......................................................................................................... 35 Training on LEADER and LAG principles; Experiences from Italy; Rtanj, 21–24 June 2010............... 36

3.2.2 3.2.3 3.2.4 3.2.5

Training “Cultural heritage and rural development through partnerships”, Knjaževac, 1–2 December 2010.............................................................................................................. 37 Training “Investing in and funding sustainable tourism”, Kladovo, 30-31 March 2011..................... 38

3.2.6

Training “LEADER principle and methodology with a specific focus on the functioning and role of Local Action Groups (LAGs)”, Kladovo 4–6 June and Divičibare 11–13 June, 2011.......................... 40 Regional trainings........................................................................................................................... 42

4

REVISION PROCESS FOR LOCAL DEVELOPMENT STRATEGIES........................................ 45

4.1

Process of revising local development strategies............................................................................ 45

5.4.2


ABOUT THE “SUSTAINABLE TOURISM FOR RURAL DEVELOPMENT”PROGRAMME The programme “Sustainable Tourism for Rural Development” is implemented jointly by five United Nations agencies1, the Ministry of Agriculture, Trade, Forestry and Water Management and the Ministry of Economy and Regional Development of the Government of the Republic of Serbia, as well as the Tourism Organization of Serbia. The Programme was launched in December 2009 and will run until May 2012. Activities are conducted at the national level and in four groups of municipalities in Central Serbia (Ljig, Valjevo, Kosjerić, Mionica, Gornji Milanovac), Eastern Serbia (Golubac, Kladovo, Majdanpek, Požarevac, Veliko Gradište), South Banat along the Danube (Alibunar, Vršac, Kovin), and the Lower Danube Region (Knjaževac, Zaječar, Dimitrovgrad, Negotin). The programme aims to achieve the following two key results:

• At the national level, the programme endeavours to develop a legal and political framework able to support the diversification of the rural economy through tourism. Once developed, this framework should contribute to the achievement of the United Nations Millennium Development Goals2. This result is to be achieved by providing support to the government in the process of developing a national master plan for rural tourism and a national programme for rural development, as well as by determining guidelines for public investments.

• At the local level, the programme aims to achieve better interconnection and organization of local rural tourism, including associated economic activities, as well as to bring the service and production capacities of stakeholders from local communities into line with national strategies.

The activities contributing to these results are conducted at the regional and local levels in four groups of municipalities, with the aim of providing support to these local communities in terms of planning, developing and managing tourist destinations. In order to achieve this, the Joint UN Fund for Sustainable Rural Tourism has provided investments for three topics: development of tourist destinations, diversification of the rural economy through tourism and investments in active learning about tourism.

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nited Nations Development Programme (UNDP), United Nations Environment Programme (UNEP), Food and Agriculture Organization (FAO), U World Tourism Organization (WTO) and the United Nations Children’s Fund (UNICEF). The Millennium Development Goals are as follows: eradication of extreme poverty and hunger; achievement of universal basic education; promotion of gender equality; reduction of the mortality rates in children; improvement of maternal health; combating HIV/AIDS, malaria and other diseases; securing environmental sustainability; creating a global partnership for development.

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INTRODUCTION This report should present the activities3 conducted within the “Sustainable Tourism for Rural Development” programme, with the goal of building local capacities for rural development aimed at the promotion of tourism. In order to achieve this goal, a special programme consisting of four components was designed and implemented:

• Training courses aimed at strengthening local capacities for the development of rural tourism were attended by 638 entrepreneurs and representatives of tourism organizations and the non-governmental sector. • Allocation of non-refundable grants for projects contributing to the development of rural tourism, which involved more than 450 direct beneficiaries. • Revision of the local development strategies of 19 local self-government units, aimed at ensuring these strategies include measures for promoting tourism. • Study trips to EU member states, in order to acquire knowledge of the experiences of others in the development of rural tourism. An example of the type of activity aimed at strengthening capacities that is supported by the programme is the support given to the traditional tourism festival ‘Mowing on Rajac’. This event, which is visited each year by more than 50,000 visitors from Serbia and abroad, is an example of a successful initiative of the entire local community that is aimed at promoting rural tourism. The ‘Mowing on Rajac’ event is not only an international competition of mowers. International folklore ensembles also perform at the festival, while concerts are staged and sports tournaments and agricultural machinery exhibitions are organized. The festival is made possible thanks to the joint organization of representatives of the Municipality of Ljig and local civil society organizations, but also tourism service providers and agricultural producers who simultaneously promote themselves in this way, establishing new contacts and attracting new investors and tourists. The programme supported the organization of the 2010 Mowing on Rajac festival. The following year it supported an accompanying event: the international tourism conference “Events – a way to develop rural regions and make them recognizable”. Such events strengthen the organizational capacities of local stakeholders, as well as bolstering partnerships between the private, civil and public sectors, which are essential to the successful development of rural tourism.

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The report covers activities conducted from the beginning of the programme’s realization until 7 October 2011.


Apart from the aforementioned, the programme also supports and participates in various festivals and events aimed at developing rural tourism.

Revision of local development strategies

LEADER and LAG

The revision of local development strategies was supported within this component, in order to include projects aimed at developing rural tourism, but also in order to mobilise and connect all local community partners of significance to tourism development.

Due to the Republic of Serbia’s strategic orientation towards becoming a member state of the European Union, the programme also recognized the need to build both local and national capacities that would understand, accept and apply the LEADER and LAG principles.

The activity was conducted in all of the 19 local self-government units included in the programme. Workshops on gender equality and women’s empowerment were also organized within this framework, in order to contribute to the UN Millennium Goal of promoting gender equality.

These two principles are the driving force behind rural development in the European Union. As such, it is necessary for our country to prepare and strengthen itself for their implementation, in order to be able to participate equally in the planning and allocation of assets that will soon be placed at its disposal. Bearing this in mind, the goal of the capacity building programme was to spread knowledge, raise awareness and create conditions for their implementation. This goal is integrated into all activities aimed at local capacity building for rural development with a focus on tourism development. LEADER – seven basic principles for the functioning of Local Action Groups:

• Local development strategies for specific areas; • participatory approach (bottom-up approach); • partnership in local action groups; • innovation; • integrated and intersectoral approach; • networking; • cooperation.

Training courses conducted within the programme 27 training courses were conducted and included 638 participants. This training covered the most important topics for the strengthening of local capacities for the purpose of developing rural tourism: planning in local communities, investing in and funding sustainable tourism, experiences of EU member states in rural development, the LEADER and LAG principle, promoting cultural heritage and rural development through partnerships, managing project cycles, raising money, developing quality standards for rural tourism offers, food production and processing etc. Numerous stakeholders of significance to the development of rural tourism also participated in the training, including representatives of Serbian ministries, representatives of the National Corporation for Tourism Development, the Tourism Organization of Serbia, the Serbian National Network for Rural Development, local self-government units, the Cultural Heritage Preservation Institute, the Serbian National Employment Service, the Delegation of the European Union and representatives of projects supported by the Delegation, tourism service providers, agricultural producers, food processors etc.

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Allocation of grants The programme also supported local communities in designing and implementing projects for the development of rural tourism, in order to provide an additional stimulus for participants to practically implement the knowledge acquired through training. A total of 50 project proposals were received and the programme supported six local initiatives that best responded to the criteria set by the programme. The evaluation of each of these six initiatives confirms the achieving of results that will bring new tourists to the target municipalities and make their stay more pleasant. Moreover, these projects can also serve as good practice examples for other local communities in Serbia. Study trips to EU member states This component is aimed at providing information about examples of good practice in rural tourism development from two EU member states, Slovenia and Italy, as well as providing information about the management of the system to support rural development in Croatia. The trips provided an opportunity for participants to learn something about the experiences of Local Action Groups in designing and implementing activities aimed at developing rural tourism. On this occasion participants received detailed insight into various models for promoting rural tourism, connecting entrepreneurs and strengthening supply chains for food and other products. The study trips also included representatives of Serbian ministries, the National Council for Rural Development, the Network for Rural Development and the Tourism Organization of Serbia. Finally, we would like to note that the programme for local capacity building was conceived and implemented on the basis of UN methodology for capacity strengthening. A detailed description of this methodology is provided in Chapter 1 of this report.

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Four components of the capacity building programme 19 local self-governments 13,000 km2 700,000 citizens 1. Training 638 participants 21 rural development experts 7 fields of utmost importance to the development of rural tourism 2. Revision of local development strategies Component implemented in 19 local self-governments Participation of representatives of the public, civil and business sectors Gender equality training conducted with 56 participants 3. Grants to support local initiatives 50 project proposals received grants The six best initiatives were supported, generating a total of more than US$180,000 and leading to activities implemented on the territories of 15 local self-governments, with the participation of representatives of the public, civil and private sectors 4. Study trips The study trips included the participation of 40 representatives of Serbian ministries, the Tourism Organization of Serbia, the National Council for Rural Development, the National Network for Rural Development and local communities The best examples of LAGs’ activities in the development of rural tourism in Italy, Slovenia and Croatia were presented LEADER and LAG principles were explained, while applicable knowledge and experiences were acquired and contacts made LEADER and LAG The Joint Programme was among the first to promote these principles in Serbia They are interwoven and connect all four capacity development components Capacities were strengthened for the implementation of these principles at the national and local levels First project initiatives for the implementation of these principles were devised.

1

Methodology for Capacity Development

The capacity strengthening methodology4 used to define and implement this programme is based on UN agencies’ methods, practices and experiences. Specifically, UN development agencies work in countries that have their own specific characteristics and needs. In accordance with this, it is important to emphasize that the methodology itself is formulated in order to encompass basic steps for capacity strengthening, though adjusted to address the needs of users from Serbia. The best introduction to the capacity strengthening methodology was provided by the author of this document, who stated that he did not “intend to appropriate all the knowledge, views and practices of this broad field. However, we are hoping that the document provides a credible and alluring introduction to the field of knowledge and practices about development, which represent the basics of sustainable development for human society. There is a growing conviction among those dealing with development that capacity strengthening is the driving force behind the development of every community.” This methodology is based on the principle that people are most able to achieve their full potential when development assets are sustainable. This means that domestic/local assets should be generated in order to be sustainable over the long term and that the beneficiaries of these assets should manage them jointly. Before we proceed to present the five basic steps for capacity strengthening, it is important to note that the UN has defined four basic principles for the implementation of this process. They are integrated into all activities conducted by the UN, due to the fact that their acceptance contributes to achieving good results. The four basic principles are as follows:

• Institutional agreements • Leadership • Knowledge • Responsibility

The basic factor of this capacity strengthening approach is change. In order for a certain activity to be qualified as capacity strengthening, it must lead to sustainable change. Changes of this kind are broader than changes to the manner in which jobs are undertaken; they refer more to changes in attitude and awareness.

4

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riginal methodology title: Capacity Development: A UNDP EXAMPLE, United Nations Development Programme (UNDP), Bureau for DevelopO ment Policy, 2009.


The capacity building process is based on a cycle consisting of five steps in the organization and programming of activities. The specific circumstances related to a given situation determine the extent to which each of the steps will be emphasized during the process.

Step 1: Involvement of stakeholders Capacity building starts with mutual communication between participants: they discuss mutually and listen to each other. The first step, therefore, is to initiate dialogue between all those who will benefit from strengthened capacity. The goal that should be achieved is for all stakeholders to dedicate themselves personally and stand up for the process – this is what we mean when we say ‘ownership of the process’. A sense of ownership is achieved much more intensively when the need for it is recognized internally, despite possible impositions emanating externally. Employng local methods for consultations and decision making, as well as enabling everybody to contribute to the design and content of these processes, facilitates the establishment of the initiative for capacity strengthening within national development priorities. It is also important to define responsibilities at the very beginning: who will do what, who will be in charge of overseeing the implementation and; what will be the consequences if implementation does not proceed as planned? Responsibility should be defined for all of the goals and duties that are considered to have been clearly defined. External partners should avoid creating parallel systems that will undermine local ones or represent competing systems.

Step 2: Capacity assessment The capacity assessment methodology was developed on the basis of years of experience acquired through activities conducted worldwide. Though this methodology must be adjusted to suit different situations and needs, in all situations the final goal is to initiate a process by starting from analysis and moving towards action, as well as establishing clear indicators to measure progress. This step should help establish a start-up base which progress can be measured in relation to. This is achieved by determining already existing capacities and defining the desired level new capacities should reach.

ble to the temptation to envisage desired capacities as reaching the highest level. However, it is important to define realistic goals and determine a proper timeframe for their realization. Summarizing and assessing results Comparing existing and desired capacities assists in projecting the desired results. Through the interpretation of the results of the assessment, an overview of the missing capacities is gained, making it is possible to also determine whether the missing capacities are basic or in some way specific. In order to achieve this, it is important to gather and take into consideration a wide range of views and opinions.

Step 3: FORMULATING CAPACITY DEVELOPMENT MEASURES A good plan utilizes existing assets to help move towards creating the parts identified as being missing during capacity assessment. Most stakeholders should also use their own strengths to improve other jobs/activities. As the four basic principles are mutually interrelated and complementary, measures taken will has a stronger effect if they encompass activities that include each of these principles and take advantage of local capacities. In some situations it is important to determine short-term activities that will achieve quicker results, thereby securing a basis for the implementation of long-term capacity building activities. Bearing this in mind, when determining capacity building measures it is necessary to combine activities that will yield quick results (within a year) with activities that will only yield results after a longer period of time. This is especially important in transitional or post-conflict situations. Progress indicators must be established in order to monitor progress and implementation. Indicators are defined in this process, while discussions on legal frameworks are also to be led and room is to be found to improve monitoring and evaluation. In this way the opportunity will also be created to additionally strengthen all those included in the process of identifying indicators. Due to the fact that the priority defining process is strongly linked to political processes, it is necessary for it to be implemented in a cautious and transparent manner, with the inclusion of all stakeholders. Failure to do this could prompt those who were excluded to withdraw their support during the implementation of capacity strengthening activities.

The process of capacity assessment consists of three steps:

Step 4: Implementing capacity DEVELOPMENT measures

• Mobilisation and design, • Process implementation, • Summarizing and assessing results.

Mobilisation and design Capacity assessment should commence from the presumption that some capacities already exist and can, and should, be upgraded. Process implementation Desired and existing capacities are compared within capacity assessment. People are suscepti-

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Tangible activities are carried out in the implementation stage. It is at this juncture that all consideration, analyses and assessments are analyzed under real circumstances. For those seeking to achieve long-term sustainable results it is better to implement activities through national systems and processes, rather than through parallel systems created by external partners. The mere fact that national resources are used crucially strengthens important capacities, such as those for management or procurements. Accordingly, UN partner countries have a strong sense of ownership over initiatives when their national systems and mechanisms are used to implement programmes and projects.

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The significance of using national systems can never be overstated. The UN understands the term “national systems” as a broad spectrum of mechanisms: from those for planning and development, to those for implementation and evaluation.

Step 5: Assessing strengthened capacities Measuring the success of capacity strengthening cannot be reduced to simply measuring increases in basic resources such as human, financial or physical capacities. The availability of basic assets does not guarantee their contribution to achieving development goals. Progress and results can be confirmed through changes to the manner of functioning. The success of the manner of functioning can be measured through the efficiency of improvements. However, such changes are more difficult to measure than tangible results. This is why it can be tempting to focus on funds allocated, workshops provided or participants trained. The link between capacity strengthening and the influence of capacities is also interesting. The strength of certain capacities depends on interaction between several factors and their strengthening may be just one of them. Finally, an assessment is only useful to the extent to which its recommendations have been accepted and implemented. It is a challenge to create a framework that is big enough to encompass all issues and is feasible at the same time.

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LEADER PRINCIPLE AND LOCAL ACTION GROUPS

This chapter has a dual purpose: to represent the basic terms related to Local Action Groups (LAG), but also for the LEADER principle, which represents, both methodologically and practically, a basis for the establishment and functioning of LAGs. Three examples of good LAG practices from EU member countries will be presented at the end of the chapter, as will concrete projects conducted in local communities that helped to improve local rural tourism. First it is necessary to emphasize that, in essence, it is impossible to consider LAG and LEADER separately, due to the fact that they are interwoven and mutually complementary. These facts were taken into account during the preparation of this report, so that in essence every chapter deals with issues that are dominant in other parts of the report, in addition to covering its primary topic. In the introductory section we will present the LEADER and LAG principles and, due to the complexity and amount of information related to them, provide the most essential data necessary to understanding their manner of functioning. Then the context in which they originated and have been developing in the EU will also be explained, as will EU policies and practices directed towards rural development and the basic principles of their functioning. Finally, we will take a look at needs and activities implemented so far in the Republic of Serbia for the development of LAGs and the LEADER principle. Considering that the establishment, manner of functioning and all other processes related to LAGs are realized in accordance with the LEADER principle, we will now provide a short presentation of the seven underlying rationales of LEADER: local strategies for specific areas, participatory approach (bottom-up approach), partnership in LAGs, innovation, integrated and inter-sector approach, networking and cooperation. Due to the fact that this report aims to help all of those who want to apply the LEADER principle and establish a LAG, we will present short examples of the good practices of LAGs operating in EU member states at the end of the first chapter. The examples provided represent good practices and models of projects successfully implemented in the field of rural tourism. The intention is to provide both information and encouragement to all those who want to establish a LAG and implement the LEADER principle in local communities in the Republic of Serbia in order to improve the tourism potentials of its local communities. As we conclude the introductory section, it is necessary to note that there are currently three key initiatives in Serbia with programmes that refer to LAG and LEADER: the United Nations “Sustainable Tourism for Rural Development” programme and two EU-funded projects: “Capacity building for the establishment and implementation of a LEADER initiative in the Republic of Serbia” (LEADER initiative in Serbia) and “RuralNet – a national network for rural development, instrument for the participation of CSOs in the preparation of policies and advancement of dialogue with EU rural networks”. All three projects were strongly supported by the

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relevant ministries of the Republic of Serbia. The differences that exist between the projects themselves, relating to translations of terms and notions related to project topics, are of a formal, and not essential, nature. One of the goals of this report, which was prepared through cooperation with the representatives of all three projects, is to standardize the terms and notions related to LAG and LEADER. The standardization of terminology is also achieved through the activities of the members of local communities involved in these projects.

2.1 Rural development of the European Union through LEADER and LAG Bearing in mind the Republic of Serbia’s strategic orientation to join the EU, it is clear that the priority of the process is to accept European standards and implement recommendations of the European Union, but also to learn from examples of good practices. Rural development is one of the EU’s most important priorities5. The need for rural development stems from the fact that more than 56% of the population of EU member states live in rural areas and that rural areas account for over 90% of EU territory. From the viewpoint of generating and allocating funds, it is important to note that the EU has earmarked6 ca. €90.8 billion, and member states ca. €57.7 billion, for regional development policies. It is estimated that a total of €225.7 billion will be invested in rural development – when we also include private (€64.8 billion) and additional investments (€12.4 billion) to the aforementioned figures. LEADER represents one of the most important tools for promoting rural development in EU member states. This term encompasses both the methodological principle used in activities for the development of local communities and initiatives that used the LEADER principle in various periods for the development of rural communities. EU member states also implemented activities aimed at developing rural areas prior to the introduction of this principle. However, it could be said that unique and useful policies and practices related to rural development were given proper shape in 1991. In the first fifteen years (1991–2006), the LEADER principle belonged to so-called community initiatives and was financed through various structural EU funds. During this period there were three generations of the programme: LEADER I (1991–1993), LEADER II (1994–1999) and LEADER+ (2000–2006). During this period member states and their regions had independent programmes with separate funding from various EU funds. The LEADER principle was developed and improved during this period. At the same time it also grew massively, both in terms of the number of LAGs participating in it or using it as a foundation for their functioning, and with respect to the number of local communities included in it. Moreover, the level of funding invested by the EU and its member states in the implementation of this principle increased year on year. Good results and positive influence on the development of local communities led not only to greater institutional support, but also resulted in this principle generating more and more funds – both from the local communities themselves and from their business sectors. The following table7 shows the evolution of the LEADER principle during its first three stages: http://ec.europa.eu/agriculture/rurdev/index_en.htm, accessed on 28.06.2011. European Commission, EU Rural Development Strategy: Facing challenges. http://enrd.ec.europa.eu/app_templates/filedownload.cfm?id=2067BB37-F930-016B-4338-41FC992B5F58, accessed on 28.06.2011. 7 The LEADER Approach, a basic guide, European communities, 2006.

LEADER initiative

Year

Number of LAGs

Territory covered

EU funds in EUR

LEADER I

1991–1993

217

367,000 km2

LEADER II

1994–1999

906

1,375,144 km

1,755 million

LEADER +

2000–2006

893

1,577,386 km

2,105 million

442 million 2 2

The successful implementation of LEADER led to this principle being “integrated” into the overall EU Rural Development policy 2007–2013.8 Namely, since 2007 the EU has supported the implementation of the LEADER principle in each of its member states within the newly established European Agricultural Fund for Rural Development (EAFRD) in order to boost rural development. In this way LEADER became an integral part of national and rural development programmes supported by the EU. Moreover, one of the four “axes” for the implementation of EAFRD was not only named after LEADER, but also exclusively supports projects and programmes that function on the basis of LEADER.

2.2 Local action groups in the EU Rural Development policy 2007–2013 The EU Rural Development policy emphasizes the interconnectivity of the LEADER principle and LAGs, noting that it is impossible to consider them separately. The acronym LEADER itself means “Liaison Entre Actions de Développement de l’Économie Rurale”, i.e. “Links between actions for the development of the rural economy”. Furthermore, the Rural Development policy of the European Union has defined that the LEADER principle must be implemented through the work of LAGs. The partnership approach in local economy development should be implemented by LAGs that fulfil the following conditions:

(a) they must propose a unique strategy for local development that is based on at least one element of those defined in Article 61 (a) through (d) and (g) and they must be responsible for its implementation (Article 61 defines the elements of the LEADER principle. More details will be provided in the following chapters of this report);

(b) they must represent a group that is already qualified for LEADER II or LEADER+ initiatives, or they must be formed in accordance with the LEADER principle, or they must be a new group representing partners from a certain territory’s various local socioeconomic sectors. When making decisions, partners from the socioeconomic sector, as well as other representatives of civil society – such as farmers, women, the youth and their associations - must constitute at least 50% of the partnership;

(c) they must demonstrate the ability to define and implement a development strategy for the area they represent.

2. The managing authority (national institutions that manage EAFRD funds and related processes) should enable the LAG to choose an administrative or financial organization that will be able to manage public funds and ensure that the partnership functions in a satisfactory manner, or should

5 6

8

ouncil Regulation (EC) No 1698/2005 of 20 September 2005 on support for rural development by the European Agricultural Fund for Rural C Development (EAFRD), Official Journal L 277 , 21/10/2005 P. 0001 0040.


perform this management function itself through a legally established joint structure that guarantees the satisfactory functioning of the partnership and the possibility of managing public funds. 3. The field covered by the strategy must be coherent and include satisfactory human, developmental and financial capacities in order to support the sustainable development strategy.

hindering sustainable development. Such an approach has the potential to function better than other approaches because it allows actions to be adjusted in order to respond to the real needs and also allows the use of local comparative advantages. The selected area must have a sufficient level of coherence and a critical mass in the sense of human, financial and economic resources. Thereby, the area does not have to correspond to previously determined administrative borders.

4. The LAG should choose projects which will be financed from within the policy. It may also choose projects that deal primarily with cooperation.

The definition of “local area” is not universal. It develops and changes together with economic and social changes, in line with the role of households, land management, care for the environment etc.

Apart from the LAG definition, this policy also established the EAFRD, thereby providing the foundation for programmes and projects within the EU and its member states, the goal of which is to support activities for rural development during the 2007–2012 period.

Rationale 2: Participatory approach (bottom-up approach)

It is estimated that some 6%, or €13.5 billion, of the envisaged total of €225.7 billion for the implementation of the Rural Development policy is intended for the LEADER principle, which will be implemented by LAGs within the framework of the fourth axis of EAFRD.

According to the participatory approach, local participants manage the process in which strategies are developed, while priority is given to problems that are to be solved in their areas. Experience shows that the participatory approach should not be applied as an alternative to the centralised approach (from the national level, via the regional to the municipal level). It should rather be combined with such approaches (if there are such), in order to achieve better results.

As for the EU member states, they earmarked €5.5 billion for the implementation of the LEADER principle, i.e. for LAG activities, from their total EAFRD contribution of €90 billion. Of these assets, €3.7 billion is intended for the implementation of activities aimed at diversifying the rural economy and improving quality of life, €522 million is for competitiveness and €165 million is intended for environmental protection. EU member states contributed €265 million for cooperation between different territorial areas within one or more member states, i.e. for their joint activities. In terms of individual EU member states, the highest amounts were contributed by Italy (€45.7 million), Spain (€33.8 million) and Germany (€30.2 million). However, the participation of LAG and LEADER in rural development is not limited solely to funds and activities within the fourth axis. Moreover, a large number of EU member states committed themselves to implementing the activities planned within the first, second and third axis of EAFRD, also via the LEADER principle. In a concrete sense, this means support will be provided to those projects that were defined through local developments of the policy or in which LAGs participate in some other way.

Of the seven rationales of the LEADER principle, the participatory approach is the most specific. It ensures that rural development policies are designed and implemented in a manner that best reflects the needs of local communities. One method enabling such an approach is the linking of local stakeholders, which allows them to participate and assume responsibilities. EU member states use this principle, but it is important that countries striving to become EU member states also use it, considering that they have structural problems related to rural development, but also many possibilities to improve quality of life in rural areas. The engagement of local stakeholders means that representatives of economic and social groups, as well as representatives of the public and business sector, should participate. Capacity building is the foundation of the participatory approach. It encompasses the following:

2.3 LEADER principle In the following section we will describe the seven rationales of the LEADER principle. Here it is important to reiterate that these are also the principles by which LAGs function.

• Raising awareness, training, participation and mobilization of the local population in order to analyze the strengths and weaknesses of the respective area; • Participation of different interest groups in the preparation of local development strategies; • Determining clear criteria for the selection of suitable actions (projects) at the local level.

The participation of stakeholders must not be limited to the initial stage, but rather must be secured during the entire process of implementing strategies and activities. The issue of transparency is also important and relates to the mobilisation of participants and the adoption of procedures for their activities.

Rationale 3: Partnership in Local Action Groups Rationale 1: Local development strategies for specific areas An approach based on area means that small, homogenous, socially coherent territories are accepted. These are often characterized by a common tradition, local identity, sense of belonging or common needs and expectations. The identification of such an area enables to the identifying of local strengths and weaknesses, threats and opportunities, and interior potentials, but also the main problems - 22 -

This principle refers to the establishment of local partnerships in the form of LAGs. LAGs are tasked with developing and implementing a local development strategy, making decisions about the allocation of funds and/or managing them. LAGs should, logically, be efficient at stimulating sustainable development for the following reasons:

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• They gather and combine human and financial resources from the public, private and civil sectors; • They gather local “players” around joint projects and multi-sector actions, in order to achieve synergy, a sense of ownership over the strategy and activities, as well as having the critical mass necessary to improve the economic competitiveness of the area in question; • They improve dialogue and cooperation between various factors that often have very limited experience in joint projects. Dialogue improvement should reduce tensions, enable dialogue and facilitate the identifying of a solution that will be supported by everybody; • They enable easier adjustment of, and changes to, rural development. This is achieved through interaction between various partners.

LAGs should gather partners from all sectors. These should be well-balanced and representative in relation to the existing local interest groups that stem from different socioeconomic sectors in the area in question. At the decision making level, private partners and associations must constitute at least 50% of the local partnership. A LAG may be established ad hoc in order to obtain LEADER support, or may be based on previous partnerships. Experience has shown that several types of LAGs have developed from these general characteristics. According to this, the role and competences of LAGs evolved in some member states over time, due to a better understanding of the LEADER principle. LAGs decide on the directions and contents of local development strategies and make decisions about various projects that should be financed. Payments are often carried out via an authorized payment system (usually institutions or organizations responsible for public finances) rather than through LAGs themselves. Payments are performed on the basis of selected projects. The most active LAG participants are as follows:

• Professional organizations and unions (farmers’ representatives, experts from various fields, microenterprises); • Trade associations; • Citizens and their local organizations; • Local politicians; • Environmental protection associations; • Cultural and municipal services from the local community, local media; • Women’s associations; • The youth and their organizations.

The following is expected from LAGs:

• They must gather around a joint project relevant to the interest group; • They must make their decisions independently and determine capacities to reassess local resources; • They must create connections between different measures; • They must be able to use the given possibilities and combine existing local resources in order to create the right measure; • They must be open to innovative ideas; • They must be able to connect and integrate separate sector-based approaches.

LAGs are tasked with assuming a large part of responsibilities for the development of the local community (projects’ selection, supervision, control and evaluation).

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The level of LAGs’ autonomy varies depending on the specific organization of the member state and the institutional context. Grants are the most common form of funding for LEADER projects and activities. These funds, co-financed by the EU and national public funding, cover various requirements for the realization of activities, depending on the type of project and field.

Rationale 4: Innovation LEADER has a significant role in stimulating new and innovative concepts for the development of rural areas. This is achieved by allowing LAGs great decision-making freedom and flexibility. Innovations should be understood in the broader sense. They may mean the presentation of a new product, process, organization or market. However, due to low population density and relatively restricted human and financial resources, rural areas have weaker connections with research and development centres and can encounter difficulties when the necessity for radical innovations arises. Innovations in rural areas may simply mean accepting and adjusting methods developed in some other areas or finding new solutions for extremely persistent problems. This may provide new answers to specific problems in rural areas. Introducting the LEADER principle with the help of the seven rationales may be an innovation itself, in terms of the creation and implementation of development policies. For example, the participatory approach may stimulate new project ideas that may then be supported by LAG. Moreover, the introduction of information and communication technologies to rural areas may become an important tool for the population to gain better access to innovations.

Rationale 5: Integrated and inter-SECTORAL approach LEADER must not be a programme for the development of only one sector. The strategy developed within the framework of this programme should aim to develop several sectors through their mutual connection and the implementation of joint activities. Projects and activities defined by local strategies must be interrelated and unique in terms of their contribution to the final goal and in respect of mutual complementarities. Integration may encompass activities implemented in one or all sectors, or activities within the programme or specific groups of activities. It is even more important to support, via activities, the strengthening of links between participants from different sectors, e.g. economic, social, cultural and environmental protection sectors.

Rationale 6: Networking Networking entails exchanging examples of good practice, experience, innovations and knowledge between LAGs from different rural areas, different administrations and organizations included in rural development within the EU. Networking creates connections between people, projects and rural areas. As such, networking can contribute to overcoming the problem of isolation for some rural areas. Networking should stimulate both the establishment of contacts between LAGs and the defining of joint projects.

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There are different kinds of networks:

2.4

• Institutional networks These are financed by the European Commission, which also defines their role. The European Union supports network structures both at the European level and at national levels. These networks connect LAGs, administrations and other stakeholders active in the development of rural areas.

Examples of good practice of Local Action Groups

The European Commission has managed the European Network for Rural Development since 2007. National networks from each of the member states also belong to this group. Networking was previously focused mainly on LEADER activities, but since 2007 it has expanded to encompass many more topics related to rural development. With the support of experts, networking now also means preparing publications about various topics related to rural development, organizing seminars and analyzing activities related to rural development in order to identify good practices, as well as identifying development trends in rural areas. Networking can also refer to web presentations dealing with rural development and activities that deal with the establishment of partnerships.

LAGs have an ever expanding role in the development of local communities. They do not only plan and implement projects that they have designed, but also approve and assist other initiatives emanating from the local community that also fit into the LAG Strategy.

2.4.1 Scotland: LEADER programme in Rural Aberdeenshire – Project for the revitalisation of footpaths on Scolty Hill

The “Rural Aberdeenshire” LAG9 was formed in August 2007 and soon after submitted a funding proposal to the Scottish Government, which manages the national Rural Development programme. The LAG gained funding of €3.8 million, which enabled it to launch concrete actions aimed at renewing the local community within the LEADER project. The “Rural Aberdeenshire” LAG brings together 14 partners. The leading organization in the partnership is the local council of Aberdeen. Ca. 148,000 citizens inhabit the whole area, which covers ca. 4.8 km2. This area includes around 50 settlements, with the number of inhabitants per settlement ranging from between 432 and 4,500. It is estimated that ca. 70,000 citizens live outside of settlements in single households. The Rural Development Strategy for Aberdeenshie 2008–2013 has seven basic priorities: sustainable communities, sustainable energy, adding value to products and markets, innovations in microenterprises, sustainable tourism development and workforce development, as well as preservation of the environment.

The European Network for Rural Development is a collective for all national networks and administrations from each of the member states. Participation in networking activities is mandatory for all LAGs receiving EU assistance. However, other groups are also welcome to contribute with their knowledge and experience. • National, regional and local networks LAGs’ networks or associations exist at the local, regional and national levels. The ELARD (European LEADER Association for Rural Development) also now belongs to this network.

Rationale 7: Cooperation Cooperation goes beyond the framework of networking. It encompasses any LAG that implements a joint project with another LAG or with a group that has a similar approach but hails from some other region, member state or groups from non-EU countries. Cooperation can stimulate and expedite LAG activities. It can help solve concrete problems or contribute to improving the capacities of local resources. For example, cooperation can provide the means to achieve the critical mass required for the realization of a certain project or to stimulate complementary activities. Examples also include joint marketing of LAGs from different regions or the development of joint tourism initiatives based on some unique cultural heritage. Cooperation projects are not limited to exchanges of experience, but rather also include tangible joint projects that are jointly managed in ideal conditions. Two possible types of cooperation exist:

• territorial cooperation: cooperation between LAGs from different rural areas within one member state, though such cooperation is also open to other local groups that are guided by similar principles; • intergovernmental cooperation: cooperation between LAGs from at least two member countries or cooperation that’s also inclusive of groups from non-EU countries that are guided by similar principles.

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Tourism promotion is one of the priorities of the strategy developed by this LAG. Its members instantly recognized the need to support the project “STEP”. This action sought to revitalize and improve the existing network of footpaths leading to Scolty Hill, near the town Banchory. The hilltop includes a famous vantage point that is visited by more than 100,000 visitors and tourists annually. All of this is of great importance to local tourism and service capacities. The initiative for Banchory, which includes the participation of many organizations and individuals from this town, started some activities to renew footpaths in 2006. In the first two years a study was elaborated to define four footpaths required renovation. They also defined work necessary to complete the repairs and calculated the necessary level of investments. However, the project was only successfully completed after being supported by the Rural Aberdeenshire LAG. Tony Brown, Chair of the “STEP” Project emphasizes that the support of the LEADER programme was crucial for the finalization of the project: “It was marvellous news to learn that our application for LEADER funding had been successful – indeed, an early and much appreciated Christmas present! The award allowed us to repair the very badly damaged footpaths that lead to Scolty Hill. Without LEADER support it might have been considerable time before this work could be done – with increasing impact on the pleasure visitors get from the hill.” Four footpaths that lead to Scolty Hill were repaired within the “STEP” project and the total invested funds amounted to €172,000. The support of the LEADER programme amounted to ca. €72,000, with

9

All data and photographs are taken from: www.aberdeenshireLEADER.org


the remaining funding provided by Scottish Natural Heritage (€68,000), various local community stakeholders (€26,000) and the Scottish Forestry Commission (€6,000). It is important to emphasize that the realization of the project would have been impossible without excellent cooperation with local landowners, as the footpaths intersect their estates. After all, these landowners are also part of the local community that will benefit from the realization of this project.

2.4.2 Slovenia: LAG Dolenjska and Bela Krajina, project “Along heritage trails”

Contact: Rural Aberdeenshire LAG Contact person: Vicky Thompson Tel: +1467 628 383 E-mail: vicky.thomson@aberdeenshire.gov.uk Web: www.aberdeenshireLEADER.org

The partners agreed when establishing their LAG that its development strategy would focus on the promotion of sustainable tourism and the creation of a managing body and a public private partnership that would manage the entire process of strategy preparation and implementation.

Picture 1. The reconstructed footpaths leading to Scolty Hill, which attracts more than 100,000 visitors annually.

the Dolenjska and Bela Krajina LAG10 was launched in 1996 as a partnership of eight stakeholders. Today this LAG consists of 48 partners from all sectors, who work together to jointly promote their little area.

The starting point and main element in the elaboration of their strategy was the fact that the area has a rich historical heritage consisting of old castles, churches, vantage points, museums etc. The idea of the “Along heritage trails” project was to revitalise such places and use them for the development of sustainable tourism. Such an approach provided the possibilities for all of the LAG’s partners to improve via cooperation on tourism standards and the quality of tourism products in Dolenjska and Bela Krajina. The Republic of Slovenia developed its own Integrative Rural Development model in 1991. This model was based on principles similar to the LEADER methodology. Such an approach proved to be positive, due to the fact that it prepared structures in Slovenia for the successful implementation of the LEADER methodology in 2007. More than 30 LAGs have been founded between 2007 and the present day. Most are highly functional and actively involved in the creation of a better environment in Slovenia’s rural communities. This LAG’s partners were aware that income gained from tourism would not be guaranteed by the opening of new facilities, but they knew that income could be guaranteed in areas that already had solid tourist visit numbers. However, in less developed areas rural where outward migration problems occur, such as Dolenjska and Bela Krajina, this would not be easy. Bearing this in mind, the partners sought to add value to the area and diversify its economy.

Picture 2. One of the footpaths leading to Scolty Hill, pictured before and after the repair.

LAG Dolenjska and Bela Krajina piloted the project “Along heritage trails” by using the LEADER principle. A total of 38 facilities considered to be sites of historical heritage were identified. Their revitalisation was the basic task of the development strategy, the goal of which is described as “a regional network of historical places, with a well defined identity that can provide a good offer and hold the attention of tourists for up to one week”. In order to achieve the aforementioned aims, the project team performed the following activities during preparation of the strategy: 10

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• Research of different historical sites; • Identification of sites able to attract tourists; • Conducting of a survey of owners and the local population regarding the capacities of historical sites to receive tourists (sites lacking the required capacities were not listed in a trail); • Conducting of detailed marketing analysis, in order to determine what type of visitors would be interested in such location; • Preparation of a draft map of the future trail ready for promotion; • Consultation with local authorities and other stakeholders, in order to complete and reach I nformation about the work of LAG Dolenjska and Bela Krajina was obtained courtesy of Mr Marko Košćak, head of the LEADER Initiative project in Serbia, via the internet presentation www.las-dbk.s


final agreement on the future trail; • Preparation and distribution of detailed instructions to hotels and tour operators regarding the standard of services and product quality, in order for them to be able to successfully provide required services and thereby meet the needs of tourists visiting the trail.

A LAG founded in the form of a public-private partnership was entrusted with the management of all project activities. All LAG operatives had clearly defined roles within the LAG:

• State authorities responsible for tourism helped with tax and financial incentives and took part in promotional activities at the national level. • Local authorities commenced systematic investments in roads, water supplies and other infrastructure elements, in order to raise the standard of the “Along heritage trails” tourism product. • The private began investing in the reconstruction of tourism facilities and joint marketing activities for the new tourist destination.

In parallel, citizens of local communities began improving existing products and services and designing a new offer to be provided. They started offering new services, while local food producers obtained incentives to additionally improve the quality of their products and apply the latest standards of packaging and marketing. A total of 22 out of 28 facilities have been revitalized since 1996. More than €2.2 million of both public and private funds have been invested in this. This led to the creation of new jobs, while local food products also started being used in hotels and restaurants. Local enterprises also gained more work during construction phases, the reconstruction of roads and the organization of local transport. Tourists started using the services offered in the area.

vities through the publishing of results that they have achieved and – even more importantly – to strengthen and expand their partnership. Contact: Local action group (LAG) Dolenjska i Bela Krajina Contact person: Povše Jožica Tel.: +386 7 33 729 85 E-mail: jozica.povse@rc-nm.si Web: www.las-dbk.s 2.4.3 Finland: Participatory approach as a trigger for the activities of the Oulujärvi LAG The Oulujärvi LAG11 has been active in rural development since 1997. The area it covers is located in the idyllic and peaceful region that is also home to Lake Oulu, the fourth-largest lake in Finland. The main goal of the LAG is to add value to local products, as well as to enable small producers to access the market through the establishing of connections and joint appearances. The development and promotion of local tourism is also one of the main priorities. The project “Pro Lake Oulu” has successfully re-branded the whole region through an approach based on local needs. It was initiated jointly by the LAG and local enterprises whose activities are related to tourism. Thirty of them participated in the project designed on the basis of their own needs. The LAG Oulujärvi was founded in 1996. It covers a territory of 7,700km2, which is inhabited by some 34,000 citizens. In the 1996–2007 period it conducted activities of a value of €5.5 million. A total of €5.25 million has been earmarked for activities planned in the 2007–2013 period.

The activities implemented within this strategy provided extremely tangible results in the sense of increasing the number of tourists visiting the Dolenjska and Bela Krajina area. The following table illustrates the increase in the number of tourists during the 2002–2008 period:

2546

The LAG, together with members of the local business community, implemented a series of activities to promote tourism in the region. They created a joint marketing brand, established contacts with international tour operators (more than 120 representatives visited the lake during the project’s duration) and ten promotional texts about Lake Oulu were published in national and local publications.

2007

At the same time, as all local entrepreneurs were seeking to improve their knowledge and skills, training was organized on the basis of their needs. Through this training the entrepreneurs made their ideas for the promotion of tourism tangible: they initiated a joint internet presentation, created brochures for tourists, elaborated on specific business projects etc. Eleven such ideas were realized through special activities. Here just one result of the entrepreneurs’ initiative is mentioned: a website launched with an option to book accommodation.

Graph 1: Number of tourists visiting the Dolenjska and Bela Krajina area 3500

3029

3000 2500

2147

2000

1759 1412

1500 1000 500 0

453

2002

582

2003

2004

2005

2006

2007

The “Along heritage trails” project demonstrates how a legacy from the past can be used for tourism purposes and can enable local citizens and the economy to benefit from it, but also simultaneously enable the preservation of historical heritage. The Dolenjska and Bela Krajina LAG continues to work on the advancement of its area. Partners endeavour to maintain and improve the quality of products and services offered to visitors; to continuously implement marketing acti-

The culmination of the project saw the forming of an association uniting all local entrepreneurs whose activities are related to tourism. They decided to make joint decisions about future activities via this legal form. The success of the project is also reflected in the fact that the number of overnight stays has increased 10% since the project’s realization and the project has been replicated elsewhere in Finland. 11

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A selection of LEADER+ best practices, European Commission 2007, http://ec.europa.eu/agriculture/rur/LEADERplus/pdf/bestpractice/bp1_en.pdf, accessed on 14/09/2011


The project’s total value amounted to €110,667, of which €38,733 came from the EU, €38,734 was provided from national funding and €33,200 came from the private sector. However, the real value of this project is reflected in the fact that its participatory approach enabled the best possible use of the ideas and knowledge of locals. They understood that it was better to connect and act together than to have everybody working for themselves and on their own account. And this yielded results. Contact: LAG Oulujar vi LEADER Ry Contact person: Pirjo Oikarinen Tel.: +358 8 616 32 15 E-mail: pirjo.oikarinen@oulujarvi LEADER.com Web: www.oulujarviLEADER.com

3

TRAINING CONDUCTED WITHIN THE PROGRAMME

Before we proceed to describe the training, it is important to reemphasize that all conducted training sessions were designed to raise the capacities of participants in different areas. The knowledge, skills and experiences provided during each of them are necessary for all those active in the field of rural tourism development. In accordance with the capacity strengthening steps presented in the previous chapter, where achieving a sense of ownership over activities is emphasized on several occasions, all training was designed to stimulate the active participation of those attending. This was achieved by placing an emphasis on group work, during which participants had the opportunity to use the information presented in a practical manner, as well as through the engaging of trainers tasked with stimulating trainees to comment on presentations and get involved in discussions. Each of the training sessions was attended by participants from all four target regions, representing the public, private and civil sectors. Special attention was also dedicated to ensuring equal gender representation. Moreover, depending on the topic of the training sessions, they were also attended by representatives of relevant ministries and institutions of the Serbian government. A total of 638 participants attended the training. The description of the training starts with a cumulative overview, which includes a short overview of the structure of participants with regard to gender, region of origin and institution represented. A short presentation of each of the conducted training sessions follows.

3.1. Cumulative overview of trainings 3.1.1. Gender structure of training participants The development of sustainable rural tourism, along with the creation of conditions for gender equality and the further empowerment of women, is one of the goals of this programme. Apart from specially designed and conducted training sessions addressing the topic of gender equality, great attention was also dedicated to the need to have equal representation of both genders in training covering other subject matter. Graph 2 illustrates the structure of training participants based on gender.

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Graph 2: Total number of participants and their gender structure 53% 47%

Men (335) Women (303)

• Ministry of Economy and Regional Development • Ministry of Agriculture, Trade, Forestry and Water Management • National Corporation for Tourism Development • Cultural Heritage Preservation Institute • National Employment Service

The representatives of these institutions also benefited from such an approach. By working in groups, as well as during discussions, they were able to find out more about the problems local communities are facing and participate, together with local participants, in the process of finding solutions. Graph 4: Participant structure with regard to institution represented

3.1.2. Participant structure with regard to region of origin

9%

In accordance with the aim of strengthening the capacities of participants from the four target municipality groups, their representatives constituted nearly 85% of the training participants. The other 15% were representatives of government institutions and organizations that are active in rural tourism development, but based outside of the target regions. The structure of participants based on region of origin is illlustrated in Graph 3.

26% 24%

Graph 3: Structure of participants by region Other regions 15%

Central Serbia 21%

South Banat 21% Eastern Serbia 26% Lower Danube Region 17%

3.1.3. Participant structure with regard to participating institutions and organizations The methodology for the implementation of training was designed to encompass all important stakeholders in the development of rural tourism. In order to clarify this, it is not suffice to use the usual terminology and simply say that the training sessions were attended by representatives of the private, public and civil sectors. What is important is that the process of selecting participants considered the need for all three sectors to be familiarised with different forms of functioning. A detailed presentation of the participant structure on the basis of institution represented is provided in Graph 4. Careful consideration was also given to the approach to organizing training through partnerships with others active in the field of rural tourism. In this way participants were able to learn about the current activities, plans and viewpoints of a large number of institutions important to their work. They also had the opportunity to meet representatives of those institutions in person, which will certainly facilitate further communication with them. The training sessions were attended by representatives of the following national level institutions:

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Civil society organizations

17%

3%

21%

Regional development centres and agencies, Network forRural Development, Business incubators Service providers in tourism/individuals Local tourism organizations and representatives of local authorities Ministries, Tourism Organization of Serbia, National Tourism Corporation, Culture Heritage Preservation Institute, Autonomous Province of Vojvodina Culture centres, museums and monuments’ conservation institutes, National Employment Service, social work centres, sports institutions, institutions managing protected natural resources, public municipal entreprises, cooperatives, LAG coordinators, media

The fact that local community representatives also had the opportunity to present their full rural tourism potential during the training was probably of even greater important than learning about the problems. This is especially significant if one considers that it is often difficult for information from the local level to reach national institutions. The added value of the training is that it was the first time that many participants from various sectors, even those from the same local communities, had the opportunity to exchange opinions and viewpoints firsthand, but also learn something about each other. The participants could also meet representatives of other local communities and exchange experiences with them, as well as having the opportunity to learn about examples of good practice and also hear about problems hindering all parts of Serbia. Overall, such an approach contributed to the creation of partnerships that will play an important role in the future development of rural tourism in Serbia.

3.2. Overview of individual training sessions 3.2.1. Training on the development of rural tourism, experiences from Bavaria, Divčibare 18–19 June and Orašac 23–24 June 2010 This training was organized in cooperation with the Ministry of Agriculture, Trade, Forestry and Water Management of the Republic of Serbia. On the basis of a bilateral cooperation agreement with the - 35 -


Government of the Republic of Germany, this ministry secured the presence of lecturers from Germany who transferred their experiences related to rural tourism development. The lecturers in this training were experts employed at the Bavarian Ministry of Agriculture, Food and Forestry, responsible for planning and implementing the LEADER principle. The general situation in the field of rural tourism in Bavaria was presented to the participants, as were the relevant market indicators, quality systems, support gained from the state, marketing and promotion instruments and a training system designed specifically for tourism service providers. A total of 54 participants attended the training, representing local tourism organizations, public and private enterprises, the Serbian Network for Rural Development, service providers in tourism and agriculture, local self-governments, media and civil society organizations. 3.2.2. Training on LEADER and LAG principles, experiences from Italy, Rtanj, 21–24 June 2010 This training was conducted within the framework of the cooperation of the Ministry of Agriculture, Trade, Forestry and Water Management of the Republic of Serbia with the Ministry of Agriculture of the Republic of Italy. Bearing in mind the strategic orientation of the Republic of Serbia to join the European Union, the greatest attention was devoted to a presentation on the functioning of the LEADER and LAG principle. In short, LEADER and LAG are the two most important methodological and practical tools used by the European Union to improve the development of its rural areas. A detailed presentation of LEADER and LAG and examples of good practice from EU member states are provided in Chapter 2 of this report. Considering these facts, it was concluded that information about, and an introduction to, the LEADER principle and the functioning of LAGs would benefit all programme users, regardless of the target regions or sectors they represent. It was also estimated that strengthening capacities in these fields would have both a short- and long-term significance for programme participants. Namely, the information on LEADER and LAGs is important for Serbia, as it can help prepare for the future accessibility of European Union funds supporting rural development based on this principle. As such, the programme aimed to strengthen existing capacities and create new ones, both at local and national levels, in order to ensure their implementation in Serbia. Regardless of the fact that LAG and LEADER are principles of the European Union that are applied in all member states, each country has specificities regarding their application. Lecturers from Germany, Italy, Slovenia and Ireland conducted training sessions on this subject with a wish to convey those differences to participants, but also to present as much applicable information as possible. Lecturers from Italy were experts from the Italian “Network for Rural Development 2007–2013”. Their task was to present experiences related to rural development from their own country, but also to promote the possibilities of cooperation in the implementation of the LEADER principle between institutions and organizations from Serbia and Italy. Participants included representatives of the Serbian Network for Rural Development and service providers in tourism, as well as representatives of the public, private and civil sectors and from the local self-governments encompassed by the programme. A total of 17 participants attended the training. - 36 -

During this training, the knowledge and skills necessary for the strengthening of capacities needed for the application of the LEADER and LAG principles were presented. The EU’s rural development policies were also explained as being based on these principles. The training was completed with group work in which the participants had the opportunity to express their opinions and observations related to the potential application of the knowledge provided, as well as in relation to the possibility of mutual cooperation and cooperation with the representatives of the Italian Network for Rural Development. Following completion of the training, participants were immediately able to use the information gained in their everyday work. Namely, these two principles were designed to also be applicable in any local community, i.e. in activities for rural development in any country. 3.2.3. Training “Cultural heritage and rural development through partnerships”, Knjaževac, 1–2 December 2010 This two-day workshop was organized in cooperation with UNESCO experts. It gave participants the opportunity to familiarize themselves wth two great challenges for the development of sustainable tourism: the use of cultural heritage through the creation of public-private partnerships and the promotion of investments in, and funding of, rural tourism. The topic related to the use of cultural heritage to promote rural tourism is becoming ever more present among the sector of the public dealing with tourism development, as well as among institutions and organizations responsible for preparing a legal framework that will determine the rules and procedures for the establishment and functioning of private-public partnerships. This topic also reinforces the following topics related to investments in, and funding of, rural tourism. If the required skills and knowledge are present and are also coupled with knowledge of provided examples of good practice from these fields, one can significantly contribute to the introduction and implementation of activities aimed at advancing the tourism offers of local communities. Thirty key stakeholders attended the workshop, i.e. 30 key partners for the establishment of publicprivate partnerships. Directors, advisors and coordinators of local tourism organizations and representatives of municipal departments for local economic development, the Serbian Cultural Heritage Preservation Institute, culture centres and media, had the opportunity to gain knowledge from this field, but also exchange experiences and introduce themselves to one another. UNESCO experts from Italy and Slovakia presented the methodology for the protection and support of cultural heritage, as well as their own specific experiences gained during the process of networking cultural heritage with tourism. They presented the main lessons they learned from the activities they implemented, as well as possible models for partnership creation. The training participants identified the following examples of cultural heritage in the Republic of Serbia as suitable for the development of rural tourism:

• Villages on Stara Planina Mountain • Felix Romuliana • Pimnice of Negotin (complex of 19th- and 20th-century wine cellars)

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Upon completion of the training, all participants agreed that the information presented was very useful and innovative in relation to the present situation in Serbia. The participants also considered that it is necessary to launch initiatives for the creation of public-private partnerships that will connect cultural heritage and rural tourism, both at local and national levels. 3.2.4. Training “Investing in, and funding of, sustainable tourism”, Kladovo, 30-31 March 2011 This training was realized as a joint initiative with the National Corporation for Tourism Development. Picture 3. Kladovo landscape – support provided by the programme will create conditions for the better promotion of the rich tourism offer of the Lower Danube Region

was developed for the Slovenian Alps. • During the fourth session participants were familarized with the experiences of managing investments in tourism in the Republic of Serbia, while the basic instruments for attracting investors were also explained. This part of the training was concluded with a discussion about the future of tourism in Serbia, with one of its conclusions being that the state should work together with investors to create sustainable tourism. • The next session saw the presenting of various models for the development of tourist destinations and the management of cultural and natural assets. Emphasis was given to the importance of connecting the development of cultural and natural assets with the development of destinations, with the model of tourism development in the EU provided as an example.

The topic of sustainable management of tourism destinations is also built on the aforementioned. The importance of creating an institutional framework for this activity was discussed and models for the development of organizations to manage tourist destinations were presented. The role of the most important partners in the creation of the tourism product was particularly emphasized (tourism organizations, service providers, civil society organizations), then further emphass was given to the significance of promoting tourist destinations on the market and the need for a shared system of values to be adopted among tourism service providers active on the territory of a single destination. The ways in which investors assess funding possibilities for tourism projects was also presented within the framework of this training. In this sense, the importance of a timely and updated preparation of project documentation was stressed, including the elaboration of a feasibility study.

Due to its significance and complexity, seven experts of varying profiles were engaged for the implementation of this training and all of them dealt with a specific topic within the covered field:

• During the first session there was talk about the positive and negative influences of tourism on the economic, social and environmental situation. This also encompassed presentations and discussions on how tourism can contribute to the development of destinations, poverty reduction and the greater inclusion of women and farmers in activities related to tourism. Environmental threats were also considered, as were threats related to deepening social and economic disparities in the local community. • The next session was dedicated to the analysis of funding sources for sustainable tourism. The introductory part saw notions of investment and sustainable tourism clarified and different types of investments presented, as well as the legal framework regulating these investments. This was followed by a presentation on the most important information of interest to investors, but also the manner in which this information should be presented to investors. The concluding part of this session saw discussion of EU trends related to the acceleration of procedures for issuing permits, as well as for issuing certificates to communities active in the protection of their environment. • Following that, the participants had the opportunity to acquaint themselves with the indicators for assessing the development of sustainable tourism and the competitiveness of tourist destinations. Examples of good practice in the development of rural tourism from Slovenia were also presented (development of sustainable destinations, products, transport, accommodation capacities), as well as a model for the development of tourism that supports sustainability and competitiveness, which

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The final presentation covered Slovenia’s Terme Snovik, that country’s only tourist destination to have obtained an Ecolabel from the EU. The development of the thermal spa and the obtaining of the certificate are examples of the development of a sustainable tourist destination based on a preserved environment. This has been achieved by respecting and asserting environmental values, as well as by cooperating with the local community and EU institutions that supported the activities through the European Regional Development Fund. All participants agreed that this kind of training was necessary for everybody engaged in tourism development in Serbia. The knowledge acquired through this training can contribute to the acquiring of new skills useful for presenting Serbia, but also individual destinations, to potential investors. It was concluded that attracting investors is a complex process that requires much planning and investment during the very first steps of its implementation. One of the most important steps is creating conditions for investors to obtain all necessary information, but also providing them with support during the realization of their investment. Emphasis was given to the need to intensify communication and the exchange of information between all those included in investments in, and the funding of, tourism projects. 3.2.5. Training “LEADER principle and methodology with a special focus on the functioning and role of Local action groups (LAGs)”, Kladovo 4–6 July and Divičibare 11–13 July 2011 These two training courses were organized in cooperation with the EU project “Capacity building for the establishment and implementation of the LEADER initiative in the Republic of Serbia” (LEADER Serbia). The training also included representatives of the Serbian Ministry of Agriculture, Trade, Fore-

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Picture 4. LAG training Divčibare - groupwork contributed to enable the participants to meet each other, exchange experiences and establish better connections

stry and Water Management, the Serbian Ministry of Economy and Regional Development and the EU Delegation in Serbia. This training built upon the previous strategic planning workshops. It is important to emphasize that the need to connect with the programme and the activities implemented within its framework was recognized within the “LEADER Serbia” project. This resulted in the joint organization of training attended by representatives of organizations from regions covered by the programme.

by the presenting of examples of good practice: the establishment of partnerships aimed at strengthening and developing the local community, Knežja, Slovenia. This model was chosen because of the common heritage and the historical, cultural and innate similarities between Slovenian and Serbian citizens. The session was completed with group work aimed at stimulating creative thinking among the participants regarding the first steps in the process of establishing partnerships. After presenting the results of their work, the participants commented on the presented solutions and exchanged opinions. They agreed that the presented information was not only useful for the establishment of LAGs, but also for other activities for which cooperation should be established, noting that as many community members as possible should be included and development strategies planned. The common conclusion of all participants was that there are many methods, possibilities and ways to form partnerships, as well as that the presented principles can and need to be used during this process. The participants once again took an active role and commented on various problems related to the establishment of LAGs in the Republic of Serbia. They emphasized the following principles as important for the implementation of this process:

The LEADER principle and the functioning and role of LAGs were presented by the experts from Slovenia and Ireland who lead the “LEADER Serbia” project. Considering that participants had already had the opportunity to attend training led by experts from Italy and Germany, this rounded off the achievement of one of the goals of the training. Concretely, experiences from various EU member states were transferred to the participants, allowing them to compare different approaches to the implementation of local initiatives. Apart from the selected topics, the carefully designed group work also contributed to the achievement of the second goal – raising awareness in participants about the necessary cooperation between different stakeholders. The participants were divided into carefully formed groups, giving them the chance to get to know one another, identify joint interest in mutual cooperation and exchange experiences in the implementation of activities in the development of local communities. The participation in the group work of the training’s organizers and their partners confirmed the necessity of cooperating with both institutions from the national level and representatives of donors and development agencies during the application of the LEADER principle. Training participants and trainers responded jointly to set tasks during the group work, which gave them yet another opportunity to strengthen their mutual trust. A total of 65 participants attended the training, representing the district centres of the Serbian Network for Rural Development, civil society organizations active in rural tourism development and regional development agencies. The concept of this training was to cover one separate unit on each day of the three-day training, relevant to the clarification of the LEADER principle and emphasising the need for mutual cooperation during its implementation. An overview12 of the training follows. The training started with a presentation on the methodology for integrative planning at the local level, while the ways in which partnerships in rural areas are developed were also presented. This was followed 12

The complete materials from the trainings can be found on www.li-serbia.org.

• In the course of establishing LAGs, partnerships based on the common need to advance the development of the local community will be identified. Such partnerships have greater longevity and stability than those imposed from the outside. • In the process of elaborating a strategy for the development of the local community, concrete solutions and answers to its citizens’ problems must be defined. • Members of future LAGs should carefully consider all possible obstacles to their establishment and functioning in order to be able to remove them. Special attention should be devoted to finding a solution that would help minimize possible opposition within local communities.

Within the group work the participants presented their solutions for removing or minimizing potential damage that could occur if some partners had a negative approach and obstructed the work of other members. During the presentation of conclusions of group work and the following discussion, it was noted that many problems are common to all local communities in Serbia, regardless of their individual peculiarities. At the end of the training, all participants received certificates confirming their attendance. These are a prerequisite for them to apply for financial support initiatives planned within the LEADER Serbia project. This training expanded upon previous training conducted within the programme. It helped convey information about the LEADER and LAG principles to another group of representatives of rural communities, as well as helping increase their capacities to develop sustainable rural tourism. Its realization has expanded the base of local communities that will use LEADER and LAG principles in their work and actively advocate for the creation of a legal framework to formalize its full application.

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The level partnership demonstrated through the organization and implementation of training by the LEADER Serbia project and this programme, as well as the participation of representatives of the Ministry of Agriculture, Trade, Forestry and Water Management of the Republic of Serbia and the delegation of the European Commission, contributed to strengthening participants’ trust in national level partners engaged in creating better conditions for the development of rural communities in the Republic of Serbia. Example of good practice: cooperation of the United Nations and the European Union in Serbia Cooperation between the LEADER Serbia project and the Programme was formalized by the signing of a cooperation protocol during the training conducted on Divčibare. This document, promoting principles of mutual understanding and joint implementation of activities, was signed by Marko Košćak, team LEADER for the implementation of the LEADER Serbia project, and Karlo Puškarica, manager of the UN Programme. As an example of good practice, the work of the Tamiš Development Initiative was presented. The most important presented data follows:

• Although a legislative framework for the creation of LAGs has yet to be established in the Republic of Serbia, this organization was founded in 2007 and is registered as a citizens’ association • Regardless of the legislative framework, the founders formed the Tamiš Development Initiative in accordance with the LEADER and LAG methodology. • The association covers an area of 536.7km2 on territories of three municipalities (Zrenjanin, Kovačica and Opovo) • 20,144 citizens live on this territory, in nine local communities • The main goals of the association are promoting environmental protection and the economic development of the associated communities.

The presentation of this association and the concrete results of its work (campaign for the conservation and development of flora and fauna, promotion of possibilities for nautical tourism, establishment of cooperation with LAGs in Poland) proved very useful for training participants. They realized that it is possible to apply LEADER and LAG principles even when there are no formal legal mechanisms, but also agreed that such initiatives improve their establishments.

With the concept of participant selection considering the need for such structures to be able to best simulate the usual composition of LAGs from EU member states, and thus best help the local communities prepare practically for future challenges, one representative from each of the local communities participating in the programme attended the training:

• Local self-governments (departments responsible for local economic development); • Tourism organizations; • Public enterprises (with activities related to tourism); • Individual agricultural producers; • District and regional centres of the Serbian Network for Rural Development; • Local education systems.

The following topics were covered:

• Project cycle management • Fundraising and writing project proposals • Strategic planning.

During the sessions dealing with strategic planning, special attention was dedicated to strengthening the organizational capacities of stakeholders important for rural development. By recognizing the examples of good LAG practice, practical exercises were carried out to help assess the capacities of local authorities, tourism organizations, educational and cultural institutes, private entrepreneurs, tourism service providers and civil society organizations. Following completion of the training, a call was made for the submission of projects (first topic of the call for proposals, see Chapter 5), giving the representatives of local communities the opportunity to practically apply their acquired knowledge and skills. Bearing in mind the previous experiences and capacities, training participants from the Serbian Network for Rural Development provided support to all those interested in preparing projects, i.e. in participating in the call for proposals. The presentation of the latest quality standards in the sector of production inputs for rural tourism (agriculture, processing and food product offer) Through 25 workshops, the latest standards with regard to food production and food service were presented. It was estimated that these are important for the development of sustainable rural tourism, as their fulfilment expands the offer of tourist destinations and represents an additional economic diversification.

3.2.6 Regional training Trainings for capacity strengthening Guided by experiences acquired during the Programme (previously implemented in Albania, Bulgaria, Montenegro, Macedonia and Serbia) that sought to build capacities for the use of EU rural development funds, a total of 12 regional training courses were organized in each of the four target regions, with the aim of providing support to local communities on strategic planning and strengthening organizational capacities.

The workshops were attended by individual producers, but also representatives of organizations and institutions important to their work. The workshops were adjusted to the specific needs of each of the four target regions and designed to promote, apart from basic topics, social development and the preservation of a healthy environment. These workshops saw experts from the Novi Sad Food Technology Institute and the Culinary Federation of Serbia give the following lectures:

The training was organized in the period from 30 June to 8 August 2010 and included a combination of presentations on theoretical knowledge and practical skills, a simulation of situations possibly faced by rural communities in their development and distance learning/mentorship.

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• Introduction to HACCP standard • Introduction to GlobalGAP standard

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• Standards for fruit and vegetable processing and production in small farms • Standards for meat processing and production in small farms • Standards related to food important for individual service providers in tourism • Marketing and organization of producers and service providers in rural tourism

This was followed by the planning of upcoming training and mentoring work planned with the participants in relation to branding products and regions, organic production and ECEAT certification, which will completely round-off the introduction of new knowledge on quality standards. All workshops were conceived to strengthen a whole chain of producers, processors and service providers in tourism, due to the fact that all are important stakeholders in the better linking of agriculture and tourism in rural areas. This has been achieved by presenting basic theoretical knowledge and advanced practical examples and exercises related to the aforementioned standards. The workshops were attended by representatives of individual agricultural producers, their cooperatives and associations, food processors and the Serbian Network for Rural Development. Finally, it is also important to mention that during the realization of this training great attention was paid to equal gender representation and women constituted 52% of participants.

4

REVISION PROCESS FOR LOCAL DEVELOPMENT STRATEGIES

4.1 Process of revising local development strategies The revision of local development strategies with a special focus on tourism is one of the activities implemented within the framework of the Programme. In this report we present the goals and most important activities planned during this process, due to the fact that the process was still be ongoing during the writing of this report. This revision activity aims to include projects for the development of sustainable rural tourism in the development strategies of 19 local self-governments located in the regions covered. One of its goals is to also include the principles of gender equality in the revised strategies, as well as mechanisms to empower women. The first step was to identify and connect all stakeholders from local communities participating in the development of local strategies, as well as those directly active in rural tourism. Representatives of local self-governments, i.e. decision makers (municipal presidents and other executives) were also included in this activity, as were representatives of public enterprises, tourism organizations and municipality departments related to tourism. Apart from them, representatives of civil society organizations, cooperatives and tourism service providers (individuals and enterprises) also joined the revision of development strategies. Workshops were organized in each of the 19 communities to discuss the representation of tourism in the existing strategic documents and the vision for its development. After connecting the most important participants and discussing the topics, four regional workshops were conducted in the communities. Within these workshops the representatives of communities had the opportunity to acquaint themselves with the principles for the development of sustainable rural tourism. Participants also defined models for mutual communication; coordination and the joint planning of activities aimed at developing strategies during these workshops. The process of revising development strategies proceeded with activities in the local communities, which included determining priorities and defining actual projects for the development of rural tourism, with the aim of including them in the local development strategies of 19 participating municipalities.

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4.2 Workshops: Gender equality, women’s empowerment and the development of sustainable rural tourism These workshops were conducted in the period from 21 to 26 July 2011 in Kladovo, Pirot, Vršac and Kosjerić. The addressed the inclusion of the principle of gender equality and activities aimed at empowering women in local development strategies. A total of 56 participants attended, representing civil society organizations, local self-governments and their institutions, as well as enterprises, i.e. individual service providers in tourism. The workshops were conceived on the basis of analysis of the needs of the region in question. On-site experiences were considered, as were recommendations from two documents developed within the programme “Analysis of the inclusion of the gender equality principle in local development strategies” and “Analysis of the inclusion of tourism in local development strategies”. The following workshop goals were defined on the basis of this analysis:

• Revision of the notions of sex and gender and discussion on why gender equality is important for the process of elaborating development strategies. • Introduction to international and national frameworks for the inclusion of gender equality in development activities. • Identification of people important for the advancement of gender equality in local communities. • Clarification of tangible activities for the inclusion of the principle of gender equality in local development strategies and projects defined within them. • Better understanding of the significance of planning funds for activities aimed at advancing gender equality and empowering women in the budgets of local self-governments.

In order to achieve these goals, lecturers designed and conducted seven presentations that provided the necessary information, knowledge and skills. Exchanges of opinions and the involvement of participants in discussions were also encouraged on this occasion. The participants underlined the following observations:

• This kind of workshop is very useful, due to the fact that it helps create conditions for the promotion of gender equality and women’s empowerment. • The understanding of the principle of gender equality in the context of development of sustainable rural tourism is particularly important. • The plan for the preparation of knowledge acquired during the workshops developed within group work will provide an important guideline for future activities. • The programme should incorporate a mechanism for promoting activities that improve gender equality in its next call for the allocation of grants. • The Programme should consider the possibility of engaging experts who would assist local self-governments in integrating principles of gender equality in their activities, as well as in project proposals for tourism development.

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5

SUPPORT TO LOCAL INITIATIVES THROUGH THE ALLOCATION OF GRANTS

One of the activities implemented by the Programme is a logical continuation of all of the previously described training: the provision of material support to local initiatives (projects) aimed at diversifying the local economy through the development of sustainable tourism. This activity was conducted through schemes for the allocation of non-refundable financial assistance (grants) to the best local initiatives. It is important to note that this was the first time that regional commissions were used in Serbia to evaluate projects. They were composed of representatives of local communities, as envisaged by the LEADER methodology.

5.1 Brief overview of the call for project proposals Call for proposals for projects aimed at the diversification of rural economy through tourism for 2010 The goal of the Programme is to provide all institutions and stakeholders at national, regional and local levels with support in the creation of a rural development policy and to launch corresponding activities in order to ensure its implementation. The Programme covers the following three topical frameworks:

1. Development of tourist destinations 2. Diversification of rural economy through tourism 3. Investments in tourism for active learning

This call for proposals referred to the topical framework entitled “Diversification of rural economy through tourism”, whereas calls for proposals for the other topics were conducted one year later (in Autumn 2011). In order to achieve its goals, the Programme applied several strategic approaches during implementation, including support to the development of partnerships for rural development via the promotion of the EU’s LEADER approach.

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This call for proposals gave priority to actions aimed at:

• Establishing and strengthening partnerships between the public, private and civil sectors; • Developing partnerships within production, marketing and services chains in rural tourism; • Increasing awareness of rural tourism among the local population; • Implementing the EU’s LEADER principle; • Developing an economic initiative for the establishment of associations guided by some common interest; • Stimulating cooperation with the private sector on the realization of activities contributing to the sustainable development of rural economy.

The areas envisaged for the implementation of the grant scheme are: 1. Production of food and non-food products and activities for the needs of the local/regional tourism market; 2. Support to projects related to environmentally sustainable tourism. Activities covered by topic 2 had to include partnerships between the public, private and civil sectors and include some of the following topics: • Environmental protection and sustainable use of natural resources; • Development of tourism through active learning. Suitability criteria – territorial coverage The projects could only be implemented in the following four groups of municipalities: 1. Central Serbia: Ljig, Valjevo, Kosjerić, Mionica, Gornji Milanovac; 2. Lower Danube Region: Golubac, Kladovo, Majdanpek, Požarevac, Veliko Gradište; 3. South Banat: Alibunar, Bela Crkva, Kovin, Vršac; 4. Eastern Serbia: Knjaževac, Zaječar, Pirot, Dimitrovgrad, Negotin.

based on cooperation between individual farmers and/or other citizens and associations (civil sector) would be excluded, as would those not based on the cooperation of associations with institutions from the public and private sectors for projects related to environmentally sustainable tourism. Accepted partnerships were between stakeholders producing food or non-food products or performing tourist activities for the local market within their farms, through any form of rural tourism and other service providers in rural tourism (accommodation capacities, catering and similar; promotional activities and similar, such as citizens’ associations from a specific territory) with a unified system of values. General criteria for the second-instance evaluation of project proposals: Advantage in the selection process was given to projects with the following characteristics: Criteria 1. contribute to poverty reduction

10

2. include women as beneficiaries of the realization or produce results that are of benefit to women by 50%

10

3. target groups of beneficiaries who are members of marginalized groups (seniors, youth, children, the unemployed, refugees, internally displaced persons, persons with disabilities)

5

4. produce contents/results that are available to persons with disabilities

5

5. promote and contribute to the preservation of culture and tradition

10

6. promote and contribute to the conservation of nature and sustainable utilization of natural resources

10

Special criteria for the second-instance evaluation of project applications (covering the detailed description for each of the four geographic areas; here, the Lower Danuber Region is provided as an example): Advantage in the selection process of the Lower Danube target region will be given to projects that:

Applicants’ requirements for grant eligibility are as follows:

• Groups of registered farmers, entrepreneurs and other village inhabitants who provide tourism services and are organized in a group with the aim of achieving common goals of developing rural tourism and have at least six months of permanent residence and assets located on the territory of at least one of the areas of the four target regions; • Members of local rural communities or clusters of these communities, in cooperation with citizens’ associations on the territory of the four target regions, who propose joint activities that will contribute to the development of integrated tourism offers at the level of municipalities or the participating regions (for topic 1); • Citizens’ associations registered on the territory of the target regions, in partnership with public and private sector institutions (for topic 2).

Points

Criteria

Points

1. are based on a clearly defined geographic area

5

2. are open to everybody to join later on or to be set as an example of good practice

5

3. contain clearly defined cooperation between the performer and the beneficiary of results

5

4. contribute to the development of the tourism products of that region

5

5. relate to households with at least two members and several generations

5

In line with the special criteria determined for the second-instance evaluation of project applications, the following types of projects will be given advantage in the selection process: Criteria

Points

Duration The time period envisaged for the implementation of project activities was six months from the date of contract signing.

1. include at least two municipalities

10

2. project applicant has sufficient technical abilities to solve problems (the project applicant participated in the organized training related to the LEADER principle and the establishment of public-private partnerships).

10

Exclusion criteria for the first-instance evaluation of project applications: It was envisaged that during the first instance of the evaluation of project applications projects that were not

3. the share of the project applicant or the partner investing assets in the project amounts to more than 10% of the total value of the project.

5

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Rules of the calls for proposals

5.2

Criteria related to costs that can be financed Grants were approved up to the following limits:

Grant approval process

• Up to US$5,000 per single household or SME participating in the project • Up to US$20,000 per single citizens’ association that participates in the project • Up to US$40,000 for a project covered by topic 1 • Up to US$20,000 for a project covered by topic 2.

The total of a single grant may not account for more than 90% of the total value of eligible costs. That amount does not include value added tax (VAT). The remaining costs must be financed by the resources of the project applicant, partner or other sources excluding MDG-F. The applicants’ own share could also include a share in kind, in the form of goods or services (this had to be specified in the business plan along with a declaration of the amount of the budget).

As already underlined, multi-sector commissions were used for the first time in the Republic of Serbia during this call for proposals. Representatives of different sectors from local communities were to decide what effects the proposed activities would have on their milieus. By participating in the commissions for the allocation of funds, the representatives of local communities found themselves in a role they will have once Serbia beings implementing the LEADER principle. Namely, in the future they will participate in the elaboration of development strategies for their communities, but will also support other projects that fit into the strategies (a similar example of work of EU LAGs is given in Chapter 2 of this report).

The applicants’ part of the project budget for project realization in order to achieve support (10% of the budget) could also be secured via funding from local self-government or other donors.

The evaluation commissions consisted of public and private sector representatives, i.e. of representatives of associations active in the development of local communities and rural tourism. A total of four commissions were formed, each covering one area of the origins of project proposals. The Programme also engaged an expert on the evaluation of business plans to act as a commission member. Representatives of the Programme also participated in the work of commissions as monitors (representatives of UN agencies and Serbian ministries). All projects were evaluated separately using the aforementioned criteria.

Note: The budget for the project announced by the applicant when submitting a grant application had to also include the costs of a project audit carried out by a certified auditor.

5.3

Ineligible project costs:

• Costs for activities relating to the preparation of the project proposal, business plan and required documentation; • Unsettled debts and interests for outstanding debts; • Interest; • Costs that do not relate to the period of project implementation; • Financial transactions and bank guarantees; • Land or building purchase; • Taxes, including VAT.

Obligatory documentation to be included when submitting a project proposal It was necessary to enclose the following when submitting an application for project funding: 2. legibly completed project proposal form obligatorily signed by the applicant; 3. copy of the identification card of the private individual – holder of the commercial farm – and the card of the registered holder of the registered farm, as well as a document confirming the registration of the entrepreneur/enterprise in the register of the Serbian Business Registers Agency or a certificate of registration in the register of associations, in case of a citizens’ association; 4. a business plan that must represent the economic viability of the project proposal; 5. a signed statement of partnership with a reference to the responsible partner – project holder, a list of realized projects and activities of the association and biographies of the association members to be included in the project (it was also necessary to note the seminars attended by association members and their realized projects).

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Projects financed within the first call topic: “Production of food and non-food products and activities for the needs of the local/ regional tourism market” In order to contribute to the strengthening of rural communities’ capacities for economic diversification and the promotion of rural tourism, the Programme supported three local initiatives that offered innovative, feasible and sustainable solutions for the realization of these goals through the allocation of grants within this call topic. These initiatives were recognized as potential examples of good practice that could also be applied in other parts of Serbia. A short overview of these is provided below. 5.3.1 Aromas and tastes of Banat wine and cheese The project “Aromas and tastes of Banat wine and cheese” aims to help local producers recognize common interests and establish both mutual cooperation and cooperation with civil society organizations active in rural tourism development. Through this activity, farmers were assisted in improving the production of traditional wines or sorts of cheese, exchanging these products and including them in their tourist offer. New tools were also developed (internet presentation, presentations at fairs) to promote the farms and their products. The project has a value of US$30,000 and is jointly implemented by CSO “Agroznanje” from Vršac and farm owners Sonja Jocić from Gudurica and Jovan Brvadarević from Bela Crkva, who are producing food and providing tourism services. - 51 -


5.3.2 Stimulating traditional crafts The project “Stimulating traditional crafts” received US$32,000 of support and is implemented in the Lower Danube Region’s municipalities of Kladovo, Majdanpek, Požarevac and Veliko Gradište. Representatives of the public, private and civil sectors of these four communities participate in the project with the aim of completing their tourist offer and strengthening their common identity. This will be achieved by forming and strengthening a network of pottery manufacturers. It is planned to sell pottery products manufactured by network members to tourists who visit the region, but also to make the usable goods manufactured in this way become a part of the regular and obligatory contents of all households offering tourism services. In this way, this will become part of the regional brand and standard offer in the unique style of the Danube region.

Picture 5. Project Silver Eko – fishing on Silver Lake, responsible conduct in nature and environment conservation - diversification and enrichment of the rural tourism offer Picture 6. Golubac, project Silver Eko – Golubac Fortress is part of the UNESCO programme “Cultural Route – Fortresses on the Danube”

5.3.3 Fruits in the “Srpska magaza” (eng. Serbian traditional storerooms) The reconstruction and equipping of the “Srpska magaza” are planned within this project. The magaza is actually a storeroom and exhibition space for the presentation of products produced in rural households. Fruits and vegetables, as well as products and souvenirs made from these traditional crafts, but also the tourist offer of local communities, will also be presented via internet presentations and promotional material that will be produced within this activity, the total value of which is US$40,000. Access to the local tourism market, but also the national market, will be provided for small rural households in this way. They will be able to place their high-quality food products and souvenirs, at the same time enriching the local tourism offer. The project has the ambition to expand to the whole territory of Serbia and has partners to that end in other pilot regions.

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representing the community’s largest tourist potential, there are no adequate contents that would keep visitors attention for more than two to three days. The beautiful nature that makes the lake one of the top potential lures for the development of tourism, not only in Veliko Gradište but also in the whole Republic of Serbia, and a reduced number of sports and recreational contents are not sufficient for the development of sustainable tourism. Moreover, it was immediately noted that visitors and potential tourists do not have the possibilities to be informed about the numerous attractive cultural and historical sites near the lake. Furthermore, as the members of “Afirmacija” are best acquainted with the potentials of their own local community, they concluded that it would be good to also offer visitors introductions to old arts and crafts, fishing techniques and other skills specific to the people of the area. Picture 7. Project Silver Eko – participants of the Sila Fest on Silver Lake

Projects supported within the second call topic “Support for projects of environmentally sustainable tourism” 5.4.1 Silver Eko programme: the holiday you’ve always wanted to have Most local communities in Serbia have many unused possibilities for the development of sustainable tourism. Such a situation exists in the municipality of Veliko Gradište. Regardless of the large number of attractive locations and contents, there has so far been no initiative to unify the tourism offer, promote it and mould it into a package that would keep visitors in this region for more than two to three days. According to Vera Stokić, member of Veliko Gradište’s “Afirmacija” association and coordinator of the Silver Eko Programme, the support of this programme was decisive in designing activities that have the potential to promote tourism in their local community: “First we were introduced to the concepts of LAGs and LEADER and immediately after that we got the opportunity to compete for the funds we needed to move from the dead point. With the help of the programme, we designed and implemented Silver Eko, which is only the first of the initiatives that will set new standards in the development of sustainable tourism in our area.” As soon as they heard about the call for proposals aimed at diversifying rural economy through tourism, Mrs Stokić and her team started to analyze the situation. The conclusion was clear: on Srebrno jezero (eng. Silver Lake), - 52 -

By using the LEADER principle, partnerships were soon established with other organizations able to participate in the project. The project then also involved fishing club “Ribolovačka priča”, the Arts and Crafts Cooperative “Jefimija”, students and teachers of tourism from the High School in Veliko Gradište, catering enterprise “Dunavski cvet” and transport enterprise “Litas” from Požarevac. The project designed encompassed the creation of a seven-day offer for visitors, but also the implementation of activities aimed at promoting the offer: organizing promotional tours, preparing a short film and a brochure, as well as launching an internet presentation. - 53 -


The partners soon reached agreement on what they wanted to present to future tourists. Each of the organizations assumed responsibility for one part of the programme. The offer that was formed was named Silver Eko. This title was conceived so as to emphasize the two greatest tourist advantages of Veliko Gradište, Silver Lake and the beautiful, excellently preserved environment (Eco/in serb. Eko). The tourist offer also includes a tout of the Golubac Fortress, which is located in the neighbouring municipality of the same name. Additionally, the tourism economy of the municipality of Požarevac will also benefit from this. Namely, transport enterprise “Litas”, which is one of the partners in the realization of the project, has its seat in this municipality. Silver Eko programme First day: Arrival of guests to the lake. Second day: Training about fishing with lures, how to behave in nature and environmental protection. Third day: Visit to the Jefimija Arts and Crafts Cooperative, introduction to the work and tradition of making souvenirs, short training on pottery making. Fourth day: Visit to Ram fortress and Ada Čibuklija. Presentation “Bird species and ecosystem of Ada Čibuklija”. Fifth day: Fishing and training in boats with Danube fishermen. Preparation of a fish stew with fishermen. Sixth day: Visit to Golubac Fortress by boat or bus. Seventh day: free day, farewell dinner in the evening. Once the project was approved, a series of meetings were held to discuss the roles of each partner. Representatives of “Jefimija” and “Ribolovačka priča” developed detailed plans for entertaining tourists, while high school pupils and teachers developed plans for their reception. Special attention was devoted to adjustments that had to be made in order to satisfy the needs of persons with disabilities. Representatives of “Litas” decided to put their best buses at the disposal of future visitors. They all suggested ideas together for the development of a brochure, promotional film and internet presentation. The promotional tour took place from 30 August to 5 September. Within this tour, a group of 25 representatives of tour operators and agencies were introduced to the tourism potential of Veliko Gradište via the Silver Eko programme. They were also joined by representatives of trade unions and organizations of persons with disabilities. The presentation of the whole project took place in August 2011 in the rooms of the Tourism Organization of Serbia (TOS). Apart from the website (www.silvereko.com) launched during the carry out of activities, information can also be found on the internet presentation of TOS. They are included in the official tourism offer of the Municipality of Veliko Gradište. The promotional film made within the framework of this project won the prize for the best Serbian tourist film at the International Festival of Tourist Films SILAFEST. Nebojša Miljković, a participant of the Silver Eko Programme representing the enterprise “Guliver produkcija”, insists that this programme has a bright future: “It can be seen that the Programme was designed by those who love and know their community. Silver Eko is a unique tourism offer in Serbia and I am sure that tourists will be really interested in it. I will actively work on promotion of the programme myself.”

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Information about the project Main project partner: Association Afirmacija, Veliko Gradište Included municipalities: Veliko Gradište, Požarevac, Golubac Territory covered: 1,194 km² Number of citizens in the area: 109,974 Project value: US$21,000 (grant US$19,000, applicants’ contributions US$2,000) Some of the tourism potentials Of Srebrno jezero (Silver Lake) Some 14 km long and ca. 300m wide, the lake’s name was given because of its clear water with silvery hues. It is extremely rich in various fish species. It has also the largest carp (44kg), which is noted in the Guiness Book of Records. It has regulated beaches, a campsite, restaurants, good conditions for water sports, sports fields etc. Golubac Fortress Built at the beginning of the 13th century, this is one of Serbia’s best preserved Medieval fortresses. The walls are of irregular shape and are connected by nine beautiful towers. The fortress is part of the UNESCO programme “Cultural Route – Fortresses on the Danube”. The European Union allocated €6.5 million for its reconstruction from IPA funds. Ram In this location 15km from Veliko Gradište and 25km from the town of Požarevac, the ruins of Turkish and Roman citadels can be found. The old Turkish fortress is one of the best preserved in Serbia, while there are remains of ancient Rome, Attila the Hun is said to have resided in this area and there is also a carved relief on the famous Trajan’s column in Rome. Ada Čibuklija Ada (meaning river island) Čibuklija belongs to the prettiest bird oases on the Danube. Very rare bird species nest here, including the white-tailed eagle, black duck, little and great cormorant etc. It is included on the international list of protected areas – habitats of river bird species. Project beneficiaries The citizens of three involved municipalities, tourism entities (enterprises, restaurants and other catering facilities), the fishing club Ribolovačka Priča, the Arts and Crafts Cooperative Jefimija, students and teachers of tourism from the High School in Veliko Gradište, transport enterprise Litas from Požarevac and the citizens’ association Afirmacija. 5.4.2 Let us preserve our treasure: improvement of infrastructure for rural tourism in the municipality of Kladovo Most local self-government units in Serbia still have containers for waste separation. The setting up of such containers is being planned in some area, while such activities are in an experimental stage in others and have yet to be even planned in many area. However, thanks to this programme and the Association for the Development of Kladovo (ARK), the citizens of this municipality can be proud of being among the first in Serbia to have received such containers. Some 45 containers for waste separation have been placed in their community, to their joy, but also to the joy of the many visitors who come to the municipality. - 55 -


Finally, 300 promotional CDs were also made within the framework of the project, providing information about the project, its results and significance. Predrag Petrić, president and project manager of ARK, hopes that this will help the implementation of similar projects in Kladovo, but also in other territories that will additionally contribute to the development of rural tourism: “I think it is extremely important to continue the activities launched. Small projects such as this can be of great help to local citizens who have the potential to become the most important factor in the development of each community”.

Picture 8. Improved infrastructure for waste disposal contributes to the promotion of rural tourism in the municipality of Kladovo

As with all well-planned activities, the project “Improvement of environmental awareness and the existing infrastructure in rural areas in the Đerdap National Park” started from an analysis of the situation. Through the performing a survey of village households active in tourism in the municipality Kladovo, it was concluded that their greatest problem is poor waste disposal infrastructure. Finding a solution to this issue was seen by many citizens as a way to significantly improve their business: “One of the main reasons tourists come here is the beautiful nature and the fact that our place is located within the Đerdap National Park. However, when visitors arrive they immediately spot the large amounts of piled rubbish, because there are no conditions to remove and dispose of the waste”, says Mihajlo Jovanović from the village Tekija, who has been renting rooms to tourists in his household for ten years. After carefully conceiving the entire project, members of ARK also included all stakeholders from the local community. Partnerships in such projects are a guarantee for the successful execution of activities, but also for the sustainability of the project once the donors stop providing financial assistance. The locations for containers were chosen through cooperation with public municipal enterprise “Komunalac”. Those responsible for “Komunalac” promised to make this procurement pay out in multiple ways, with the assets gained through recycling to be used to invest in new infrastructure. At ARK, which has already implemented a series of projects aimed at advancing its community, they knew it would not suffice to simply buy and place containers. What was also necessary was to increase environmental awareness and educate users about the containers and their purpose. The experience shows that it is best and most important to invest in young people. Workshops for primary school pupils and citizens were organized with the help of the organization “Ekosfera”, which deals with environmental protection. These workshops included the participation of 80 primary school children and 40 citizens of local communities in which containers were placed. The rooms of the “Nada” Association of persons with special needs hosted a commercial exhibition of souvenirs made within the framework of the workshops conducted. The slogan of the exhibition was “I choose to recycle”. The activities carried out with citizens of local communities were rounded off with an agreement on the maintenance and supervision of the containers with the offices of the local communities of Kladušnica, Davidovac, Sip and Tekija, where the containers were placed. A Catalogue of the tourism potential of the Municipality of Kladovo was also drafted within the framework of the project. It is presented to tourists via the Tourism Organization, local cooperative “Ključka”, which promotes local food and tourism products, and also via the enterprise “Đerdap turist”, which is the largest tour operator in this area. - 56 -

Information about the project Main project partner: Association for the Development of Kladovo (ARK) Other partners: Municipality of Kladovo, public municipal entreprise Komunalac, the Tourism Organization of Kladovo, cooperative Ključka and Đerdap turist Project value: US$22,500 Final result: increased amount of collected packaging waste by 20% on the territory of the Municipality of Kladovo, as follows: plastic waste collection increased from 3,500kg to 4,500kg, paper waste collection from 1,600kg to 2,000kg. A selection of the tourist potentials of Đerdap National Park The largest national park in Serbia, it covers an area of 63,500 hectares along 100 kilometres of the right bank of the Danube. It consists of a network of gorges, canyons and deep inlets. It has an extraordinarily wealth of natural (64% forests, 1,100 plant species, 20 different habitats) and cultural (settlements and ruins of the Neolithic Period, ancient times and the Middle Ages) heritage. Trajan’s bridge The remains of a Roman bridge from the 2nd century AD. Tekija The beach and marina that host the traditional fishing and sports event “Zlatna bućka Đerdapa”. Hajdučka watermill Danube excursion destination often visited by participants of regattas, pleasure travellers and tourists who sail on the Danube. This location offers visible traces of Roman constructions not yet researched. Other sites Medieval Fetislam Fortress; Roman Citadel Diana; Sveta Trojica Monastery; campsites Milutinovac, Ljubičevac and Brza Palanka; Kobrovska beach; Lolićeva Fountain; Kladovo town beach and marina; Ethno house Kladušnica; The Vlach ethno house; The Đerdap 1 hydro power station. 5.4.3 Western Serbia: The internet as a tool for the development of rural tourism “I have always thought of village tourism as visiting accommodation of unproven quality, where except for the beautiful nature and nice hosts all other resources and capacities are not available. Had I not known of the presentation www.selo.co.rs, I would still be thinking this way. Now I am convinced that it is easy to meet and book a sojourn in some of the village households that have excellent conditions for tourists.” Žarko Lukšić, writing in the user impressions section of internet portal www.selo.co.rs. - 57 -


Picture 9. Booth of the project “Rural Tourism” from Ljig – representatives of the Rural Tourism of Serbia Association present their project at the tourism event “Mowing on Rajac”

- Accommodation and activities for the needs of business users, - Offer of households with recreational contents, - Accommodation suitable for hunters, - Accommodation suitable for the needs of families with children. • Visually-impaired persons can search the offer of village households – special software for this purpose has been activated. • A map of households and open farms has been printed in 5,000 copies. The map presents 173 village households and 45 open farms. Picture 10. The project Rural Tourism from Ljig – tourism service providers from the municipality of Gornji Milanovac receive wireless modems

The fact that citizens of local communities and their associations know what should be done to improve and develop these milieus, is also ascertained through the example of the activities of the Association “Rural Tourism of Serbia”, seated in the Municipality of Ljig. The association has more than 300 members representing all stakeholders active in the field of rural tourism: individual households, associations (“Domaćini” Valjevo, “Zavičaj” Zlakusa, “Vesnik”, Kosjerić etc.) and the tourism organizations of 67 municipalities in Serbia. Active since 2002, the association has so far organized a series of activities and has gained a profile as one of the main actors in the promotion of rural tourism in the Republic of Serbia. Observing the results achieved thus far, one could conclude that the members and managers of the association did a great job in improving and promoting village tourism in Serbia. The association was also officially awarded for its work in the category of promotion in electronic and print media, receiving the 2010 “Turistički cvet” prize, which is awarded by the Tourism Organization of Serbia (TOS) for contributions to tourism development. The association gained a fresh opportunity to promote its work through the grant scheme of the programme for diversification of the rural economy. The results of the projects are visible just one month after the completion of its realization. Activities implemented by the association encompassed five municipalities in Central Serbia and their tourism organizations, village households and other organizations and individuals active in tourism. In short, the aim of the project was to increase and diversify the offer of village tourism in Central Serbia, increase and promote the quality of services offered to tourists and present modern technologies to village households, thereby enabling them to be competitive with tour operators. The best references for this project with a somewhat ponderous title (Improvement of competition of village tourism in Central Serbia through the development of new services) are the implemented activities and achieved results:

• The presentation www.selo.rs is completely improved and redesigned. • Four new options were added, enabling special offers related to accommodation and booking: - 58 -

Although peak season has not yet ended, data already available confirms the success of the project. The number of Central Serbian households promoting their capacities via the www. selo.rs portal increased from 111 to 215. Visits to the presentation have increased 45% and the number of positive comments posted is up 30 per cent. Open farms have become ever more attractive. Here we will note that the Saratlić Farm, which had not previously welcomed a single visitor, was visited by 140 tourists following the implementation of activities. Dušan and Cvetanka Saratlić decided to make their household available to tourists. Within just two months they managed to acquire three additional purebred horses in Karađorđevo and as of this autumn they will also offer a horse-riding school in response to the request of their guests. It is curious that the best indicator of the success of the implemented project, but also the vision of the Rural Tourism of Serbia Association, was the failure to realize one of the planned activities. Namely, although the project envisaged the free distribution of 100 modems for wireless internet, only 67 were given out. It turned out that around 30 of the households that promote themselves via the www.selo.rs portal had already set up internet connections within their households. As Nina Tomašević, who operates her own village tourism household, explains: “Since we started advertising via the website www.selo.rs, the visits have increased. Through conversations with tourists, I concluded that they would like to have access to the internet even while on holiday. As we always try to improve our capacities, I immediately set up an internet connection in my household.” Finally, the notion that good work also attracts additional assets was confirmed by the information that company Telenor had donated free internet connections worth US$2,000 to the village households included in this project.

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6

Picture 11. The traditional festival ‘Mowing on Rajac’ July 2010

- The portal of the association presents the offers of more than 500 village households. - More than 90% of guests arrive at these households via the portal, which has ca. 300,000 visitors annually. - By now more than 50,000 tourists have visited the village households via the portal www.selo.rs. - The association participated in the organization of the first Congress of Rural Tourism in Serbia. - The association promotes rural tourism each year and represents households at tourism fairs in Belgrade.

Thanks to the work of the portal www.selo.co.rs, “Rural Tourism of Serbia” is a member of the European Federation of Farm and Village Tourism “Eurogites”. Additional information Main project partner: Rural Tourism of Serbia Association, Ljig Other partners: Tourism organizations from the municipalities of Valjevo, Ljig, Mionica, Kosjerić and Gornji Milanovac, the Association Domaćini Valjevo, Environmental and Cycling Society Grin Bajk, Marketing Agency Gati, Valjevo; Event organization agency Balkan DMC, Gornji Milanovac. Project value: US$32,500 (grant US$22,000, contribution of project applicants US$10,500) A selection of village households actively engage in tourism in the territory covered: Valjevo – household Lukić, village Petnica; household Obradović, village Podbukovi. Ljig – household Milošević, village Belanovica; Vodenica near Uča, village Veliševci; household Milovanović, village Kozelj. Mionica – Etno Lepenica, village Ključ; Markovića avlija, village Gornji Mušić; Kosjerić – Gostoljublje, village Mionica; household Stojanić, village Stojići. Gornji Milanovac – Vila Kikovi, village Dragolj; Vila Milica, village Trudelj; Rajski konaci, village Leušići. Additional tourism information: Ljig http://selo.ljig.net Kosjerić: http://www.kosjeric-online.com/turistickivodic/ Valjevo www.valjevo.seoski.com Gornji Milanovac www.togm.org.rs Mionica http://www.mionica.org/turizam.html

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STUDY TRIPS TO EU MEMBER STATES

Within this component of the programme, two study trips were organized to EU member states Slovenia and Italy. Their goal was to provide knowledge regarding implementation of the LEADER programme, experiences about the functioning of local action groups, as well as an introduction to tangible projects aimed at developing rural tourism. The participants in study trips were representatives of local communities (civil society organizations and local self-governments) from the target regions, representatives of the Serbian Ministry of Agriculture, Trade, Forestry and Water Management and the Serbian Ministry of Economy and Regional Development, as well as representatives of the Tourism Organization of Serbia. A total of 17 representatives of these institutions participated in the study trips. A carefully designed plan of the visits included the presentation of different models for the development and promotion of rural tourism, connecting and mobilising local communities, as well as an introduction to the practices of connecting entrepreneurs and strengthening chains of suppliers of food and other products. Participants visited two local action groups in Italy and Slovenia. They were introduced to their structure and informed about implemented and ongoing projects. Special attention was paid to experiences relevant to the development of rural tourism, in particular experiences about how to best use LEADER funds. It should be noted that a wide range of activities were covered: from the revitalisation of tourism attractions, connecting cultural heritage and tourism, connecting and empowering local producers and suppliers of traditional food and beverages, to empowering women and entrepreneurs in rural areas. Finally, it should be noted that the trips were organized so as to be carried out after the completion of all other capacity building activities. Of particular importance is the fact that participants had previously undertaken the implemented training programme. In this way it was possible for representatives of local communities and national institutions, who are essential for the adoption of the LEADER and LAG concepts, to upgrade their experience and knowledge gained through other activities conducted under the auspices of the programme.

6.1 Study trip to Slovenia, 12–15 September 2011 The Republic of Slovenia was identified as a suitable destination for a study trip for several reasons the most important being the common heritage, geographic and cultural connections with Serbia, as well as the country’s experiences in the implementation of the LEADER principle.

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Picture 12. Participants of the study trip are introduced to the diverse tourism offer of village households in Slovenia

• the project “Kitchen for mingling”, which was supported by the LEADER programme and saw women from rural areas covered by the Srce Slovenije LAG network, organize educational events and workshops, but also prepare food for local events; • the project of associating 50 village households active in rural tourism in the village of Jarine; • a village household that gathers an ethnology collection of its region with the help of LEADER funds and exhibits it for tourists to see.

6.2 Study trip to Italy, 3–7 October 2011 Namely, Slovenia currently implements the National Programme for Rural Development, 2007-2013, which relies on the EAFRD. The country’s main priorities for the development of rural areas are largely the same as Serbia needs. They are as follows: building local capacity, increasing employment, diversifying activities in rural areas, local development based on its own resources and improved management. The methodology for their implementation is based on the support and involvement of LAGs. Two examples were chosen as the most appropriate for meeting the objectives of the study trip: the Dolenjska and Bela Krajina LAG and the Srce Slovenije (Heart of Slovenia) LAG from Litija. The Dolenjska and Bela Krajina LAG utilizes natural resources and cultural heritage effectively, thereby linking sustainable agriculture and tourism. The LAG is active in preserving tradition by encouraging traditional crafts. In parallel with this work, it seeks to encourage entrepreneurship and innovation by insisting on the creation and maintenance of partnerships that contribute to sustainable development. The area covered by the LAG has great potential for the development of recreational and family tourism. A large selection of traditional dishes, wines, honey and dried fruits increases the region’s offer. Lush and diverse flora and fauna provide an excellent basis for educational tourism. As for concrete projects, this LAG implements several projects, with notable examples like “Rural Tourism Fair” and “Tourism in old wine cellars”. The region where the Srce Slovenije LAG operates is located some 50km from Dolenjska and Bela Krajina. An introduction to this neighbouring experience helped participants compare different models and concepts for the implementation of the LEADER principle and the use of funds for the development of rural tourism. One example is the project for the reconstruction of neglected restaurants in Kamniška Bistrica. Activities carried out within this project helped enable tourists to enjoy the rich variety of local aperitifs, but also to learn more about the tradition and history of their production.

The Republic of Italy was chosen as a suitable destination for a study trip primarily because its experiences in the application of the LEADER principle, while the functioning of LAGs is very useful and can be applied to solving challenges faced by our country in the development of rural tourism. With more than 130 LAGs functioning on its territory, Italy is one of the leading EU member states in the implementation of the LEADER principle. Moreover, if we observe the criteria of the similarity of geographic characteristics, we see that the northern part of Italy and the rural areas of Serbia are very close. In order to successfully follow the rural development of other parts of its country, the Northern Italian region of Veneto decided to develop tourism. The programme experts who organized the trip assessed that this introduction to the experiences and activities implemented by LAGs from this region would benefit participants of the study trip seeking to launch similar activities in Serbia. The hosts were LAGs Bassa Padovana and Patavino. These two groups are responsible for the realization of the majority of the Regional Development Programme of the Veneto region. The plan of activities they developed and adopted is financed by the region with €5.3 million. The main focus of the programme is to develop and preserve social and cultural identity. This is to be achieved by diversifying the rural economy and increasing the productivity of various sectors, such as agriculture (production of wines, jams and meat products) and traditional crafts, trade and tourism. Picture 13. Participants of the study trip to Italy pictured in one of the halls of local winery Dominio di Bagnoli

The LAGs presented their specific activities during these visits, which can serve as examples to programme participants of how to launch similar projects in Serbia. They visited the following locations:

• incubator for the development of entrepreneurship in Novo Mesto; • mountain house Gospodična, which was renovated with the help of the LEADER programme; • the Pleterje Monastery and outdoor Skansna Museum; • household Matjaž, participant in the LEADER project “Houses in vineyards”;

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The programme is realized through the promotion and funding of initiatives for sustainable development in 30 local communities covered by these two LAGs. Among other things, the programme included the development of procedures for selecting and providing support to the best projects. Many activities supported by these two LAGs aim to develope local wineries and stimulate producers of traditional food products. It was estimated that in this way their capacities would be increased and they would connect with one another and other tourism service providers. This will contribute to the development of tourism throughout the whole region. Its offer will be made more complete and will attract a larger number of visitors who will spend more money on the offer and services provided. During the study trip participants visited village households, producers of jams, dry meat products and other traditional food products. Special emphasis was placed on wine producers, according to which a visit to four local wineries was organized, as was a meeting with representatives of one of Italy’s largest wineries’ associations, which boasts more than 900 members. There was also a vsit to a local museum that attracts tourists and was reconstructed thanks to financing from LEADER funds. Finally, a visit to the Lispida Castle was organized. This castle offers high-quality local wines and food products, along with exquisitely equipped accommodation capacities.

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