Understanding CAEN Division 981: Private Households Producing Goods for Own Consumption
Division 981 of the National Classification of Economic Activities (CAEN) represents a unique niche, often overlooked in standard economic analyses, yet profoundly relevant for understanding the informal economy and rural lifestyle in Romania. It includes the activities of private households that produce goods strictly for their own consumption, without placing them on the market. From growing vegetables in the garden, raising a few poultry for eggs and meat, to sewing clothes or making simple tools, all these are found here.
Macroeconomically, this division reflects a significant segment of self-consumption, which, although not accounted for in the official GDP, contributes to the real well-being of the population, especially in rural areas. In Romania, the tradition of subsistence farming has deep roots, and after 1990, with the restructuring of state agriculture, many families returned to own production as a survival strategy.
The challenges for entrepreneurs operating in this sphere are unique: although they do not aim for profit, they must efficiently manage limited resources, cope with climate risks, and preserve traditional knowledge in an increasingly technological world. In the absence of fiscal incentives or institutional support, these households often remain statistically invisible, but are essential for local food security and for preserving intangible cultural heritage. It is an activity that, although marginalized in official economic discourse, deserves attention from the perspective of sustainability and the resilience it offers communities.