Serbia’s agricultural sector is facing severe reparation costs after floods struck the country this week.

The estimated cost of damage is CSD 3.1 billion (£25 million) although the flooding is still severe after several days and experts say the real consequences of the natural disaster cannot be confirmed until next month, after the waters recede.

So far the Serbian Government has allocated CSD 288m (£2.4m), to be diverted primarily to the populated municipalities hit by the floods.

The assistant to the Minister of Agriculture for Inspection Affairs said the current reports indicate 122,537 hectares of agricultural land have been flooded but expected estimates to change after further analysis.

He added: “112,173 hectares are threatened by underground waters. Data on material damages are unreliable, because local estimators will often blow up figures in order to get more indemnity.”

The autumn crops, including some early vegetables, are expected to suffer most, and sowing of others, including corn, is expected to experience significant delays.

According to agronomists, these products will only be saved by hybrid crops, which have an earlier maturation date.

The vegetable growers were late with planting as well, and in the areas scheduled to have two consecutive plantings, such as cabbage after potato, producing one successfully will now be a challenge, insiders say.

Prices for early veg have already risen by 20 per cent, in response to the crop reductions.

Few companies have taken up the Government’s offer of 30 per cent subsidies for insurance premiums, which means it will be solely responsible for damages.

The disaster could now have legal consequences for certain parties, accused by the authorities of not protecting their lands sufficiently.

The director of the republic’s water directorate, Nikola Marjanovic said: “The areas which have been flooded are the ones that are not protected, because strategic assessments have indicated that it is cheaper to sustain damages once in a while and repair them, rather than build infinitely long dikes.”

The directorate also claimed the extent of the damage caused by the underground waters could have been substantially reduced if the existing channels had been cleaned. Reports indicate they have not been cleaned since being installed some 40 years ago.