The role of industry for economic development of settlements in South Banat's Danube municipalities

Abstract

After the World War II and the restoration of the country, the rapid industralization process started. In many settlements, predominantly urban, employment increased due to the new factories that were opened. During the political and economic system in Yugoslavia in that time, all enterprises were state-owned, while the private sector consisted of only smaller, mainly craft shops. Until the end of the eighties of the 20th century the industry was the dominant economic activity in Serbia. However, in the 1990's due to the unfavorable political situation the process of balkanization, disintegration of the SFRY, followed by wars and sanctions of the United Nations towards the FRY, the industry began to stagnate, some of the leading companies were operating increasingly difficult due to the impossibility of exporting finished products and importing raw materials. After the end of sanctions and changes in the political system, Serbia is entering the transition process, which is still running today. All these processes did not go beyond the South Banat's Danube municipalities (Pancevo, Kovin, Bela Crkva). The industry of South Banat is characterized by major changes in 21st century. Some companies are bankrupt while other are newly opened. The number of employes in industry has declined, and small and medium-sized enterprises have become dominant in relation to large ones. The aim of this paper is to analyse the development of industry in South Banat settlements in Danube municipalities in the 21st century. The analysis will show polarization on the territory, which led to forming several poles of development and concentration of industry in urban areas.