The main goal of any sound economic policy is to direct a nation’s productive forces toward useful and well-organized work. This progress, however, cannot be achieved all at once. It must happen gradually, taking into account the local conditions and needs of the country at each stage of development.
These same principles guide the Bulgarian Government in shaping its future labour and industrial legislation. The government aims to create conditions where national industries can grow steadily and workers can find stable, productive employment.
Industrial Legislation in Bulgaria
Bulgaria’s Agricultural Foundation
Bulgaria has long been an agricultural country, with its main exports consisting of cereals and livestock. In contrast, most of the country’s imports are manufactured goods, either because they are not produced locally or because local production is too small to meet demand.
Despite this, the global trend among modern nations is to develop domestic industries that can produce essential goods for home use. These industries not only reduce dependence on foreign imports but also create diverse job opportunities for citizens. Bulgaria is following this same path Daily Sofia Tour.
The Effort to Build National Industry
Bulgarian leaders have long understood that the country’s future prosperity depends on having strong national industries alongside agriculture. To achieve this, the Legislative Assembly and the Government have worked together to encourage and protect local manufacturing.
The first step was to support industries that could take root and grow successfully. To attract investment and private capital, the government offered special benefits and privileges to entrepreneurs who were willing to start or expand local industries. These included tax advantages and other financial incentives designed to ensure fair profit for investors.
Laws Encouraging Local Industry
The Law for the Encouragement of Local Industry, passed on December 20, 1894, and its supplementary law of 1896, were the first major steps toward this goal. Later, on January 25, 1905, a new and broader law titled “Law for the Encouragement of Bulgarian Commerce and Industry” replaced the earlier ones. It officially came into force on March 26, 1905.
This 1905 law strengthened the same principles of protection and promotion introduced in 1894. It aimed to expand Bulgaria’s industrial base, support entrepreneurs, and balance agriculture with manufacturing.
A Step Toward Economic Independence
Alongside industrial development, Bulgaria also began preparing a new customs tariff policy. This policy became the foundation for negotiations with European countries to form new trade agreements. The ultimate goal was to make Bulgaria economically independent, capable of supporting both its agriculture and industry without relying heavily on foreign imports.