Industry of Bulgaria

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Industrial production
Kozloduy Nuclear Power Plant - Machine Room of Unit 5.jpg
Kozloduy Nuclear Power Plant , the largest power plant in south-eastern Europe
Main industriesMetallurgical industry, electricity, electronics, machinery and equipment, shipbuilding, petrochemicals, cement and construction, textiles, food and beverages, mining, tourism
Industrial growth rate5.5% (2007)
Labor force33.6% of total labor force
GDP of sector31.3% of total GDP

Bulgaria is an industrialized nation with a developed heavy and light manufacturing industry. In 2007 industry accounted for 31.7% of the country's GDP. [1] This makes industry the second largest sector of the economy after services. In 2007 the sector employed 33.6% of the labour force. [1]

Contents

Overview

Bulgaria is among Europe's largest producers of lead, zinc and copper, and produces around ten percent of the world's hydraulic machinery. [2] Other products include machine tools, caustic soda, nuclear energy, military hardware/munitions and many other finished and semi-finished products. The country is the largest electricity exporter in south-eastern Europe. About 14% of the total industrial production relates to machine building, and 20% of the workforce is employed in this field. [3]

The country has conditions favourable to the development of industry. Bulgaria is located at the crossroads of Europe and Asia, which lends itself to international transport. The country has rich mineral resources, a skilled work force, [4] a developed and improving transportation network and educational infrastructure, and a relatively stable political and economic climate.

Industry in Bulgaria can be traced back to 1833 when the Bulgarian industrialist Dobri Zhelyazkov opened the first modern factory in the Balkans at Sliven. The importance of industry dramatically increased during the Socialist period. In the era of economic planning, industrial production accounted for more than 50% of national GDP. The main market for Bulgarian manufactured goods was Comecon, the Communist economic organization (comparable to the EU).

History

Before 1878

The first factory in what is now Bulgaria was built by the industrialist Dobri Zhelyazkov in the town of Sliven, in 1833. It manufactured woollen textiles and was the first textile mill in the Ottoman Empire. Industrialisation before the independence in 1878 was largely concentrated around the major towns of Plovdiv, Gabrovo, Ruse, Sliven, Karlovo, Sofia and Samokov. These early companies were mostly small firms with a handful of workers, involved in light manufacture producing high end goods such as textiles, soap, alcohol, wine and leather products. Competition from more established Western European firms put many of these early enterprises out of business. [5]

1878-1945

A steel-producing installation at the Kremikovtsi metallurgy works Kremikovtsi.JPG
A steel-producing installation at the Kremikovtsi metallurgy works

After the Liberation of Bulgaria the new country settled upon a low tariff regime and as a result local industry suffered from the increased import of cheaper and high-quality goods from more developed producers in Western Europe. A number of protectionist laws passed by the government in the 1890s and early 20th century led to an increase in industrial output. At this time Bulgaria received an inflow of foreign capital largely from Germany, Belgium and Austria-Hungary which was focused mainly in mining and agricultural processing industries. In the 25 years between 1890 and 1915, industry provided 15% of the GDP. [6]

Despite the upheavals of World War I, the number of manufacturing plants increased between the wars. In 1939 there were 3,345 manufacturing enterprises which employed around 112,000 people. The average size was still fairly small — only around 30 employees per factory. [6] The industry still was concentrated mainly in the large cities and their expanding suburbs. Ruse, Plovdiv, Varna, Sofia, Pleven, Stara Zagora, and Gabrovo saw significant expansion between 1920 and 1940. Large parts of the country remained almost entirely agrarian. At the beginning of World War II only five cities, Sofia, Plovdiv, Ruse, Varna and Burgas, accounted for 46,5% of all industrial output. [7]

Manufacturing was still predominantly light and export focused: textiles, leather, footwear and perishables such as tobacco, sugar, butter and meat were produced in large quantities. Mining consisted of the extraction of coal (near Pernik) and small quantities of ferrous ores. Aircraft were produced in Lovech, Bozhurishte and Kazanlak. [8] Darjavna Aeroplanna Rabotilnitsa (State Aircraft Workshops) had a plant in Bozhurishte which focused on military aircraft DAR. [9]

1945-1989

A DDR stamp commemorating the Intercosmos program Gerstamp-ddr-interkosmos.jpg
A DDR stamp commemorating the Intercosmos program

The Communist regime which ruled Bulgaria for over 40 years after 9 September 1944, prioritised industrial development. All existing plants were nationalized and the entire Bulgarian economy was subjected to a planned economy. There was a sustained increase in production, and new industries were developed very quickly and, as in other Socialist countries, not always efficiently. New industrial complexes on a scale not before seen in the Balkans were constructed. New power plants, chemical works, metallurgical smelters, military producers and other industries were inaugurated. The country's scientific and technical base was not neglected; new schools and universities were built which fed directly into the expanding industrial economy. The national economy was integrated in Comecon and Bulgaria specialized in the production of electronics, motor trucks and tinned food.

During the 1940s the main objective of the Bulgarian Communist Party was to rebuild the damage caused during the Second World War. New roads and railways were built, as well as small factories. During the 1950s massive expansion of the electro-transit network brought electricity to all parts of the country. A number of hydro plants including the Batak Hydro-power System and several coal plants were constructed. The extraction of coal was increased and Bulgaria's first oil field, in Shabla, went into production. During the next decade many military and metallurgical plants were constructed, including the Kremikovtsi and Stomana steelworks. Cooperation on space technologies with the USSR was encouraged and the country supplied the Soviet space program with research devices and computers. Many new factories in the field of micro and precision electronics were inaugurated. In the 1970s the industrial component of the Bulgarian economy continued to increase. In 1974 Bulgaria became the third communist state to have a functioning nuclear power station (see Kozloduy NPP). On 10 April 1979 Bulgaria became the sixth nation in the world to send a man into space using the Soviet Intercosmos program. [10] During the 80s Bulgaria was a mass producer of Pravetz series 8), and in 1990 the computer technology industry produced 35% of FOREX earnings.

After 1989

After the overthrow of the Communist Regime the inefficient Bulgarian economy was thrown into chaos. Years of inefficient state planning, environmental degradation and the use of outdated modes of production meant Bulgaria, lagging for years and heavily indebted, struggled to compete in free market conditions. Many manufacturing plants were closed and others went into bankruptcy as the state gave up the battle to try to bring them to profitability. [11] Due to lack of investment the high-tech component of the Bulgarian economy went into terminal decline, undercut by more modern Asian imports and the collapse of Comecon. The process of privatization was slow and difficult. However, since 2000 Bulgaria has seen heavy foreign investment and its economic fortunes have revived.

Sectors

Workers at a natural gas storage depot near Chiren Chiren.JPG
Workers at a natural gas storage depot near Chiren

The energy industry

Energy is one of the most important sectors in the Bulgarian economy, as it accounts for 18.2% [12] of total industrial production and employs 10.9% of the workforce in the secondary sector. Bulgaria is the primary exporter of electricity in south-eastern Europe as well as a major transit country for Russian oil and gas. Bulgaria's role in the transit of fuels will increase after the construction of several pipelines currently in the planning stage.

Coal is the only natural fuel found in the country in any abundance. Most of the coal reserves are of the lignite type. Total known reserves amount to (4.5 billion tons) in 18 basins. The largest deposit is Maritsa Iztok in Stara Zagora Province, which contains 2.9 billion tons. This is followed in size by the Sofia basin in the Sofia valley (840 mln t.), the Elhovo basin (656 mln t.), the Lom basin (277 mln t.) and the Maritsa Zapad basin (170 mln t.). [13] There is a large deposit of anthracite in Dobrich Province; those reserves are estimated to amount to 1,2 bln t. However, due to the large depth and moisture of the deposit, it is still unexploited. [14] The rate of coal extraction is currently 27,000,000 t per annum, ranking 19th in the world and 6th in the EU. [15] There are small deposits of oil and natural gas, mainly in the north of the country.

Although Bulgaria's fossil fuel deposits are not vast, the country is a major producer of electricity. As of 2007 Bulgaria produces 45.7 billion kWh of electricity. [16]

Metallurgy

Before the beginning of the 1950s the metallurgic industry of Bulgaria did not include the whole production cycle, and as of 1939 the sector accounted for as little of 0,5% of the national GDP. [17] As of 1998 that percentage had risen to 11,2%. [17] In the same year there were 51,600 people employed in the sector, including mining and flotation of metals, which is 1,7% of the total workforce. [17]

The first state steel manufacturing factory, "Lenin" (now the private factory "Stomana"), was constructed between 1953 and 1958 in Pernik, a coal-mining city at 20 km to the south-west of Sofia. After the discovery and beginning of exploitation of an iron ore deposit near Kremikovtsi, in 1963 the Kremikovtsi steel complex was built. It was the largest manufacturing factory in the Balkans at the time, and remains one of the largest. Other metalworking factories for production of steel products were constructed in Ihtiman, Roman, Septemvri, Ruse, Burgas and others.

Historical production of pig iron, steel and rolled iron in Bulgaria: [17]

Year19571970198019891998
Pig iron 47,000 t1,251,000 t1,583,000 t1,523,000 t1,654,000 t
Steel 159,000 t1,800,000 t2,565,000 t2,900,000 t2,628,000 t
Rolled iron117,000 t1,420,000 t3,213,000 t3,030,000 t2,242,000 t

In the 1980s construction began of the third metallurgic base at Debelt, to the south of Burgas, whose planned capacity was 4,000,000 tons of rolled iron annually. A railway between Burgas and the Maritsa Iztok Complex was planned for the needs of the factory, but after the democratic changes in 1989 the construction works came to a halt. [17]

See also

Related Research Articles

<span class="mw-page-title-main">Geography of Bulgaria</span> Information about the geographical make-up of Bulgaria, including topology

Bulgaria is a country situated in Southeast Europe that occupies the eastern quarter of the Balkan peninsula, being the largest country within its geographic boundaries. It borders Romania to the north, Serbia and North Macedonia to the west, Greece and Turkey to the south, and the Black Sea to the east. The northern border with Romania follows the river Danube until the city of Silistra. The land area of Bulgaria is 110,994 square kilometres (42,855 sq mi), slightly larger than that of Cuba, Iceland or the U.S. state of Tennessee. Considering its relatively compact territorial size and shape, Bulgaria has a great variety of topographical features. Even within small parts of the country, the land may be divided into plains, plateaus, hills, mountains, basins, gorges, and deep river valleys. The geographic center of Bulgaria is located in Uzana.

<span class="mw-page-title-main">Horst (geology)</span> Raised fault block bounded by normal faults

In physical geography and geology, a horst is a raised fault block bounded by normal faults. Horsts are typically found together with grabens. While a horst is lifted or remains stationary, the grabens on either side subside. This is often caused by extensional forces pulling apart the crust. Horsts may represent features such as plateaus, mountains, or ridges on either side of a valley. Horsts can range in size from small fault blocks up to large regions of stable continent that have not been folded or warped by tectonic forces.

<span class="mw-page-title-main">Mountain formation</span> Geological processes that underlie the formation of mountains

Mountain formation refers to the geological processes that underlie the formation of mountains. These processes are associated with large-scale movements of the Earth's crust. Folding, faulting, volcanic activity, igneous intrusion and metamorphism can all be parts of the orogenic process of mountain building. The formation of mountains is not necessarily related to the geological structures found on it.

<span class="mw-page-title-main">Iskar (river)</span> River in Pleven, Bulgaria

The Iskar is a right tributary of the Danube. With a length of 368 km, it is the longest river that runs entirely within Bulgaria. Originating as three forks in Balkan's highest mountain range Rila, the Iskar flows in a northern direction until its confluence with the Danube. As it flows northwards it fuels the largest artificial lake in the country, the Iskar Reservoir, forms the divide between the Vitosha and Plana Mountains in the west and the Sredna Gora mountain range in the east before entering the Sofia Valley, which contains the nation's capital Sofia. From there the Iskar runs through the Balkan Mountains, forming the spectacular 84 km long Iskar Gorge. As it crosses the mountains, its water course turns in a north-eastern direction at Lakatnik. North of the Balkan Mountains, the river crosses the Danubian Plain and finally flows into the Danube between the villages of Baykal and Gigen. Geologically, Iskar is the oldest river in the Balkan Peninsula.

<span class="mw-page-title-main">Sredna Gora</span> Mountain range

Sredna Gora is a mountain range in central Bulgaria, situated south of and parallel to the Balkan Mountains and extending from the river Iskar to the west and the elbow of river Tundzha north of the city of Yambol to the east. Sredna Gora is 285 km long, reaching 50 km at its greatest width. Its highest peak is Golyam Bogdan at 1,604 m (5,262 ft). It is part of the Srednogorie mountain chain system, which extends longitudinally across the most country from west to east, between the Balkan Mountains and the Sub-Balkan valleys to the north and the Kraishte, Rila and the Upper Thracian Plain to the south.

<span class="mw-page-title-main">Vacha (river)</span> River in Bulgaria

The Vacha is a river in southern Bulgaria, a right tributary of the river Maritsa. The 112 km long Vacha is the 23rd longest river of Bulgaria and the second longest in the Rhodope Mountains, following the Arda (272 km), another major Maritsa tributary. The Vacha drains significant area of the western Rhodope Mountains, including the ridges Batak Mountain, Veliyshko–Videnishki, Pereliksko–Prespanski and Chernatitsa.

<span class="mw-page-title-main">Fault block</span> Large blocks of rock created by tectonic and localized stresses in Earths crust

Fault blocks are very large blocks of rock, sometimes hundreds of kilometres in extent, created by tectonic and localized stresses in Earth's crust. Large areas of bedrock are broken up into blocks by faults. Blocks are characterized by relatively uniform lithology. The largest of these fault blocks are called crustal blocks. Large crustal blocks broken off from tectonic plates are called terranes. Those terranes which are the full thickness of the lithosphere are called microplates. Continent-sized blocks are called variously microcontinents, continental ribbons, H-blocks, extensional allochthons and outer highs.

<span class="mw-page-title-main">Energy in Bulgaria</span>

Energy in Bulgaria is among the most important sectors of the national economy and encompasses energy and electricity production, consumption and transportation in Bulgaria. The national energy policy is implemented by the National Assembly and the Government of Bulgaria, conducted by the Ministry of Energy and regulated by the Energy and Water Regulatory Commission. The completely state-owned company Bulgarian Energy Holding owns subsidiaries operating in different energy sectors, including electricity: Kozloduy Nuclear Power Plant, Maritsa Iztok 2 Thermal Power Plant, NEK EAD and Elektroenergien sistemen operator (ESO); natural gas: Bulgargaz and Bulgartransgaz; coal mining: Maritsa Iztok Mines. In Bulgaria, energy prices for households are state-controlled, while commercial electricity prices are determined by the market.

<span class="mw-page-title-main">Ser-Drama-Lagadin-Nevrokop dialect</span> East South Slavic dialect

The Ser-Drama-Lagadin-Nevrokop dialect is a dialect currently treated both in the contexts of the southeastern group of Bulgarian dialects and the southeastern subgroup of dialects of the Macedonian. Prior to the codification of standard Macedonian in 1945, the dialects of Macedonia were classified as Bulgarian. The dialect is dynamic and is well known for the shortening of the words, and also characterised by the excessive use of for the Proto-Slavic yat even in cases where standard Bulgarian has, a feature which is typical for a number of dialects spoken in southern and southwestern Bulgaria . The Ser-Drama-Lagadin-Nevrokop dialect is closely related to the neighbouring dialects. It is closer to all Eastern Bulgarian dialects than to all Western. Macedonian shares much less features with the dialect than it does with the Maleševo-Pirin dialect of Macedonian and Bulgarian. Some Bulgarian dialects are more similar to Macedonian than the Ser-Nevrokop dialect, the Samokov dialect shares more features with Macedonian than both the Ser-Nevrokop and the Pirin-Malasevo dialects do, even though it is not considered a Macedonian dialect, the most of the western Bulgarian dialects and the Smolyan dialect share more similarities with Macedonian than the Ser dialect does. The Samokov dialect, most remarkably, shares with Macedonian and the Maleševo-Pirin dialect—the "to be" verb for future tense—"ke", which in contrast is "shte" in the Ser-Nevrokop dialect and in the Bulgarian language. The Yat border passes through the Maleševo-Pirin dialect and divides it on such a way that in the northern area of the dialect the yat is pronounced "e" and in the south—"ya". In the Ser-Nevrokop dialect the yat is pronounced in most places "ya", therefore the city of Serres, after which the dialect is named, is called "Syar" by the locals, as opposed to "Ser" in Macedonian. The first person singular is as in Bulgarian, ending with "a" or "am" as opposed to the constant "am" in Macedonian and the Bulgarian Smolyan dialect. The words for man -"m'zh" and for a dream "s'n" are as in Bulgarian, unlike the Macedonian "mazh" and "son". The words for night and tear—"nosht" and "s'lza" are as the Bulgarian, unlike the Macedonian "nok" and "solza".

The Batak Hydroelectric Cascade is situated in the Pazardzhik Province, southern Bulgaria and is among the first hydroelectric cascades in the country. Inaugurated on 6 September 1959, it includes seven reservoirs and three underground hydro power plants — Batak, Peshtera and Aleko with a combined installed capacity of 254.2 MW, producing an average of 796 GWh annually.

The Dospat–Vacha Hydroelectric Cascade is situated in the western Rhodope Mountains of southern Bulgaria, on the territory of the Smolyan, Pazardzhik and Plovdiv Provinces. It is owned by the National Electricity Company. The cascade was constructed between 1963 and 2010 by "Hydrostroy".

The Belmeken–Sestrimo–Chaira Hydroelectric Cascade is situated in the Pazardzhik Province, southern Bulgaria and is the largest and most complex hydroelectric complex in the country. Located in the eastern part of the Rila mountain range, the complex receives waters from the drainage basins of the major rivers Maritsa, Struma and Mesta. Its catchment area is 458 km2.

<span class="mw-page-title-main">Zlatitsa–Pirdop Valley</span> Valley in Bulgaria

Zlatitsa–Pirdop Valley is situated in central western Bulgaria and is the fifth of the eleven Sub-Balkan valleys in direction west–east. It is named after the two towns that lie within, Zlatitsa and Pirdop. The valley is an important hub of the Bulgarian copper and gold mining and processing industry. It contains numerous natural and architectural landmarks, including the ruins of the late Roman Elenska Basilica.

<span class="mw-page-title-main">Kamarska Valley</span> Valley in Bulgaria

Kamarska Valley is situated in central western Bulgaria and is the fourth of the eleven Sub-Balkan valleys in direction west–east, and is also the smallest and the highest one among them.

<span class="mw-page-title-main">Saranska Valley</span> Valley in Bulgaria

Saranska Valley is situated in central western Bulgaria and is the third of the eleven Sub-Balkan valleys in direction west–east. It is named after the village of Sarantsi.

<span class="mw-page-title-main">Samokov Valley</span> Valley in Bulgaria

Samokov Valley is situated in western Bulgaria, less that 25 km south of the outskirts of the capital Sofia. It is named after the town of Samokov, its main settlement. The valley is a hub for tourism in the neighbouring Rila mountain range to the south, the highest in Bulgaria and the Balkans.

References

  1. 1 2 2008 CIA WORLD FACTBOOK: Economy of Bulgaria (2008)
  2. ↑ "Machine-building in Bulgaria". Archived from the original on 2007-02-25. Retrieved 2008-06-01.
  3. ↑ "Geography of machine building in Bulgaria Factsheet". Geografia.kabinata.com. Retrieved 26 August 2010.
  4. ↑ Дончев, Д. (2004). Теми по физическа и социално-икономическа география на България (in Bulgarian). Sofia: Ciela. pp. 271–272. ISBN   954-649-717-7.
  5. ↑ Дончев, Д. (2004). Теми по физическа и социално-икономическа география на България (in Bulgarian). Sofia: Ciela. p. 272. ISBN   954-649-717-7.
  6. 1 2 Дончев, Д. (2004). Теми по физическа и социално-икономическа география на България (in Bulgarian). Sofia: Ciela. p. 273. ISBN   954-649-717-7.
  7. ↑ Дончев, Д. (2004). Теми по физическа и социално-икономическа география на България (in Bulgarian). Sofia: Ciela. p. 274. ISBN   954-649-717-7.
  8. ↑ "[[Post World War I]] Bulgarian aviation's development was largely state led". Archived from the original on 2012-07-08. Retrieved 2008-05-13.
  9. ↑ Gunston, Bill (1993). World Encyclopaedia of Aircraft Manufacturers . Annapolis: Naval Institute Press. pp.  89.
  10. ↑ Ivanov Georgi
  11. ↑ Bogatzky Nikolay, Socialist industrialization and Infant industry argument, Monetary Research Center, Sofia, 2017, Conference Papers ISSN 2534-9600
  12. ↑ Дончев, Д. (2004). Теми по физическа и социално-икономическа география на България (in Bulgarian). Sofia: Ciela. p. 285. ISBN   954-649-717-7.
  13. ↑ Дончев, Д. (2004). Теми по физическа и социално-икономическа география на България (in Bulgarian). Sofia: Ciela. p. 40. ISBN   954-649-717-7.
  14. ↑ Дончев, Д. (2004). Теми по физическа и социално-икономическа география на България (in Bulgarian). Sofia: Ciela. p. 44. ISBN   954-649-717-7.
  15. ↑ Coal production (most recent) by country
  16. ↑ Economy of Bulgaria
  17. 1 2 3 4 5 http://geografia.kabinata.com/22.htm Geography of Metallurgy in Bulgaria (in Bulgarian)
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