AGP Executive Report

Energy Oversight: A journalist’s question about coal prices and equipment for the Gacko thermal power plant was cut short by Milorad Dodik, drawing condemnation from BH Journalists. Poultry Exports: Egg exports rose 23% in value to 15.16 million KM in the first eight months, but producers say EU access for Class A table eggs is still blocked. Hydropower: Environmental groups warn the Upper Horizons scheme could harm the Neretva basin; permits are being renewed using a 2012 impact study, while cross-border complaints are pending. Business Costs: Sarajevo Canton allocated one million KM to help firms replace solid-fuel heating. Compliance: FBiH inspectors found 58 undeclared workers in 240 business checks and imposed nearly 376,000 KM in fines. Dairy Trade: BiH exports more milk and dairy products than it imports, but the import bill still exceeds exports by 108 million KM.

Energy and Public Procurement: BH Journalists condemned Milorad Dodik’s attempt to silence a reporter asking about coal and equipment purchases for the Gacko thermal plant. Hydropower: Environmental groups warn the Upper Horizons scheme could damage the Neretva and affect communities across the Federation and Croatia; concerns include permits based on an old impact study and undisclosed contracts. Poultry Exports: Egg exports rose 23% in value to 15.16 million BAM in the first eight months, generating a surplus of more than 4 million BAM, though EU market restrictions limit growth. Business Compliance: Federation tax inspectors found 58 undeclared workers in 240 checks and imposed nearly 376,000 BAM in fines; 52% of inspected businesses had violations. Energy Transition: Sarajevo Canton has allocated 1 million BAM to help businesses replace solid-fuel heating. Agriculture and Economy: BiH exports more milk and dairy products than it imports, but paid 108 million BAM more for imports; the IMF also warns that growth is slowing as inflation rises.

Energy & Water: The Upper Horizons hydropower scheme is drawing renewed concern over possible damage to the Neretva basin across Bosnia and Herzegovina and Croatia. Critics say Dabar’s permits rely on a 2012 impact study, while cross-border complaints are pending. Poultry: Egg exports rose 23% in value to 15.16 million KM in the first eight months of 2026, creating a surplus of more than 4 million KM. Producers say access to the EU market for Class A table eggs could unlock further growth. Dairy: Bosnia and Herzegovina exported more milk and dairy products by volume than it imported in 2025, but still ran a 108 million KM trade deficit as imports fetched much higher prices. Business Support: Sarajevo Canton allocated one million KM to help businesses replace solid-fuel heating. Utilities: Improved hydrological conditions have allowed Sarajevo’s water utility to end overnight supply cuts and restore regular service across most areas; Mošćanica-fed settlements remain under emergency measures. Tax Compliance: FBiH inspectors found 58 undeclared workers during 240 checks and issued fines totaling nearly 376,000 KM.

Poultry Exports: BiH’s egg export value rose 23% in the first eight months, to 15.16 million KM, but producers say growth is constrained because Class A table eggs cannot enter the EU market. Business Compliance: FBiH inspectors found 58 undeclared workers in 240 checks and imposed nearly 376,000 KM in fines; 44 premises were sealed. Water Supply: Sarajevo’s utility has ended night-time cuts as reservoir levels improve, though areas served by the Mošćanica spring remain under emergency restrictions. Dairy Trade: BiH exported more milk and dairy products by volume than it imported in 2025, but imports cost 108 million KM more than exports earned. Farmers have warned of shutdowns and are demanding stronger protection for domestic production. Business Support: Sarajevo Canton allocated 1 million KM to help businesses replace solid-fuel heating. Economic Outlook: The IMF warned that BiH’s growth is slowing as inflation rises.

Poultry Exports: The value of BiH egg exports rose 23% in the first eight months, reaching 15.16 million BAM and generating a trade surplus. Producers say growth is constrained because they cannot export Class A table eggs to the EU. Tax Compliance: FBiH inspectors found 58 undeclared workers in 240 checks and issued nearly 376,000 BAM in fines; 52% of inspected businesses had violations. Dairy Industry: BiH exported more milk and dairy products by volume than it imported in 2025, but paid 108 million BAM more for imports, underscoring the gap between domestic production and export value. Trade Links: The Gradiška–Novi Varoš border crossing is fully operational, with customs staffing in place to support cross-border traffic. Business Support: Sarajevo Canton has allocated one million BAM to help businesses replace solid-fuel heating. Economic Outlook: The IMF warns that BiH’s growth is slowing as inflation rises, adding pressure on businesses and households.

Tax Compliance: FBiH inspectors found 58 undeclared workers in 240 checks, issued nearly 376,000 BAM in fines and sealed 44 businesses; 52% of those inspected had violations. Water Supply: Sarajevo’s utility has ended overnight cuts as reservoir levels recover, though areas supplied by the Mošćanica spring remain under emergency measures. Trade and Logistics: The Gradiška–Novi Varoš crossing with Croatia is now fully operational, with customs staffing in place at the EU-co-financed site. Energy and Business: Sarajevo Canton has allocated one million BAM to help businesses replace solid-fuel heating. Dairy Industry: BiH exported more dairy by volume than it imported in 2025, but imports cost 253.2 million BAM against 144.6 million BAM in export revenue, leaving a deficit of about 108 million BAM. Farmers are also warning of shutdowns and calling for urgent protection of domestic production. Economic Outlook: The IMF warns BiH growth is slowing while inflation rises, adding pressure on businesses and households.

Business Costs: Federation of BiH’s average net salary reached 1,708 BAM in August, up 7.1% year on year but down from July; manufacturing wages averaged 1,364 BAM. Dairy Trade: BiH exported more milk and dairy by volume than it imported in 2025, but paid 253.2 million BAM for imports against 144.6 million BAM in export revenue. The sector’s trade deficit narrowed 11%, while farmers warn domestic production needs protection. Logistics: The Gradiška–Novi Varoš border crossing is fully operational, easing customs processing on a key Croatia–BiH route. Energy Support: Sarajevo Canton has allocated one million BAM to help businesses replace solid-fuel heating systems. Economic Outlook: The IMF warns BiH’s growth is slowing as inflation rises.

Dairy Trade: Bosnia and Herzegovina exported more milk and dairy products by volume in 2025, but imports cost 253.2 million BAM against export earnings of 144.6 million. Raw milk production rose 2% to 619.7 million litres, while the sector’s trade deficit narrowed 11%. Business Costs: Sarajevo Canton set aside 1 million BAM to help businesses replace solid-fuel heating, covering up to half the cost of new equipment. Transport Links: The Gradiška–Novi Varoš border crossing is now fully operational, improving customs capacity on a key Croatia–BiH route. Wages: August net pay in the Federation averaged 1,708 BAM, up 7.1% year on year; manufacturing workers averaged 1,364 BAM and construction workers 1,323 BAM.

Trade and Logistics: The new Gradiška–Novi Varoš crossing between Bosnia and Herzegovina and Croatia is fully operational after customs staffing changes cleared the way. The EU-cofinanced bridge and crossing, built for more than €20 million, can now handle customs documentation at full capacity. Cleaner Business Operations: Sarajevo Canton has allocated one million marks to help companies replace solid-fuel heating, covering up to half the cost of new equipment. Economic Outlook: The IMF expects BiH growth to ease to 2.3% in 2026 and inflation to rise to 5%, adding pressure on businesses and consumers. Retail and Workers: Debate has returned over Sunday shop closures in the Federation. The Trade Ministry says turnover has not fallen overall, while workers’ representatives say the policy gives employees a dependable day of rest.

Trade & Logistics: The Gradiška–Novi Varoš border crossing between Bosnia and Herzegovina and Croatia is now fully operational, with customs staff permanently assigned. The EU-co-financed crossing and new Sava bridge can now handle customs documentation at full capacity. Business & Energy: Sarajevo Canton has allocated 1 million marks in grants to help businesses replace solid-fuel heating equipment, covering up to half the purchase cost. Economic Outlook: The IMF expects BiH growth to ease to 2.3% in 2026 while inflation rises to 5%, pointing to a tougher year for businesses and consumers. Industry & Oversight: An investigation reports that a company extracted slag from Zenica’s Rača landfill without a concession, then processed and sold the industrial by-product to cement plants in BiH and Croatia. Regional Energy Security: The Energy Community is forming an oil coordination group, including BiH, to share supply data, flag shortages early and coordinate responses to market risks.

Business Support: Sarajevo Canton has set aside one million marks to help companies replace solid-fuel heating, covering up to half the cost of new equipment to cut pollution and operating expenses. Economic Outlook: The IMF expects BiH growth to ease to 2.3% in 2026 while inflation climbs to 5%, adding pressure on businesses and consumers. Retail: The Federation’s Sunday shop closures are again under review; the Trade Ministry says turnover has not fallen overall, while workers’ representatives say the day off offers important protection. Energy Security: The Energy Community is forming a regional oil coordination group, including BiH, to share supply data and flag shortages amid market disruption. Industry and Oversight: A report on Zenica’s Rača landfill alleges years of unauthorized slag extraction and missed restoration obligations, raising questions over oversight of an industrial by-product sold to cement producers.

Clean Energy: Sarajevo Canton has allocated 1 million marks to help businesses replace solid-fuel heating, covering up to half the cost of new equipment. Dairy Production: Farmers warn that farms are closing as dairies cut milk purchase prices and imports rise; they are urging urgent protection for domestic producers. Economic Outlook: The IMF expects BiH growth to slow to 2.3% in 2026 while inflation climbs to 5%, squeezing businesses and consumers. Industry and Oversight: An investigation found that a company extracted valuable slag from Zenica’s Rača landfill without a concession, while required site restoration was not carried out. The processed by-product was sold to cement plants in BiH and Croatia. Energy Security: The Energy Community is forming a regional oil coordination group, including BiH, to share supply data and flag shortages early. Retail: The Federation’s Sunday shop closures remain under review; the trade ministry says turnover has not fallen, while workers’ representatives defend the guaranteed day off.

Economic Outlook: The IMF expects Bosnia and Herzegovina’s growth to ease to 2.3% in 2026 while inflation rises to 5%, squeezing households and businesses. Dairy Production: Farmers warn that falling milk prices and imports are forcing farms to close. They report 33.35 million kilograms of milk and dairy products imported in the first eight months and are seeking urgent protection for domestic producers. Retail: The Federation’s Sunday shop closures are again under review. Official data show no overall fall in turnover, but critics say the impact on border communities needs closer examination; workers’ representatives say the guaranteed rest day matters. Industry and Resources: An investigation into slag extraction at Zenica’s Rača landfill alleges years of unlicensed activity, unpaid municipal fees and missed remediation work, with processed slag sold to cement plants. Energy Security: Bosnia and Herzegovina will join a new regional oil coordination group to share supply and stock data and help identify shortages early.

Economic Outlook: The IMF expects Bosnia and Herzegovina’s growth to ease to 2.3% in 2026, while inflation climbs to 5% and the current-account deficit widens to 4.9% of GDP. Retail: The Federation’s non-working Sunday rule is back under review. Official figures show no overall drop in turnover, but economists warn the effects may vary in communities near the inter-entity boundary; retail workers say the policy protects their day of rest. Industry and Environment: An investigation alleges that a Zenica company extracted steelmaking slag from the Rača landfill without a concession and failed to carry out required remediation. The processed by-product was sold to cement works in Bosnia and Herzegovina and Croatia. Dairy: Farmers warn that closures and falling milk purchase prices threaten domestic production. They report that more than 33 million kilograms of milk and dairy products were imported from January through August and are seeking urgent protection measures. Energy Security: The Energy Community is forming a regional oil coordination group, including Bosnia and Herzegovina, to share supply and emergency-stock data and identify shortages sooner.

Zenica Industry: An investigation says a company extracted valuable slag from the Rača landfill beside Zenica’s steelworks without a concession, while failing to pay required municipal fees or restore the site. The processed material was sold to cement plants in Bosnia and Herzegovina and Croatia. Energy Security: The Energy Community is forming a regional oil coordination group, including Bosnia and Herzegovina, to share supply, demand and emergency-stock data and flag shortages early amid global market disruption. Dairy Production: Farmers warn domestic production is at risk as farms close and dairies cut milk purchase prices. From January to August, BiH imported 33.35 million kilograms of milk and dairy products worth BAM 159.7 million; producers are urging urgent measures to curb import pressure.

Energy Security: Bosnia and Herzegovina is among nine countries joining a new regional oil coordination group. It will share supply and stock data, flag shortages early and coordinate crisis responses as global oil risks rise. Dairy Production: Farmers warn that closures and lower milk purchase prices threaten domestic supply. Associations say 33.35 million kilograms of milk and dairy products were imported from January to August, and are urging urgent protection measures. Glass Manufacturing: Sisecam showcased energy-efficient architectural glass at GlassBuild America, including coated and bird-friendly products, highlighting opportunities for the company’s regional glass business.