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This study examines the role and challenges of smallholder farms in local markets in Hungary and Serbia, with particular focus on sustainability, food price trends, and market structures. Statistical data from 2015 to 2024 – including the harmonized index of consumer prices, GDP per capita (PPP), the share of household food expenditures, and the cost of a healthy diet – reveal significant differences between the two countries. Although income levels are higher in Hungary, inflation places a heavy burden on households, while in Serbia, lower purchasing power and weaker infrastructure limit market opportunities for small producers. Biodistricts, cooperative models, and agrobiomass utilization offer promising paths toward greater resilience, but these solutions can only succeed if farmers possess not only technical expertise but also market, financial, and digital skills. The study emphasizes that Agricultural Vocational Training plays a crucial role in ensuring the sustainability of local food systems and the long-term viability of smallholder farms, as these competencies help farmers adapt to rapidly changing economic and social environments.

The strategic role of agricultural vocational training in sustainable local food systems