Berane is one of the most symbolically important and economically complex towns in northern Montenegro. Once an industrial heavyweight and a key manufacturing centre of the Yugoslav era, Berane today stands at a crossroads between its industrial past and a future shaped by services, transport, small business growth, agriculture and tourism. The town’s strategic location in the Lim River valley, its cultural identity, and its role as a regional centre for education, healthcare and administration give it strong foundations for long-term development — but its structural challenges require consistent investment and reform.
Berane’s industrial rise began in the mid-20th century with the rapid expansion of textile factories, metal-processing plants, sawmills, construction companies, and agricultural cooperatives. At its peak, the town employed thousands in manufacturing and processing industries, producing goods that circulated across Yugoslavia. The industrial decline of the 1990s severely affected Berane, leading to factory closures, job losses, emigration and a long-term demographic downturn. The collapse of large companies left deep economic scars that are still visible today.
However, in recent years Berane has shown signs of revitalisation. New small and medium enterprises have emerged in construction, carpentry, mechanical services, trade, agriculture, and local manufacturing. While no single company can replace the massive factories of the past, decentralised entrepreneurship is slowly reshaping the economic landscape. Berane’s business culture is rooted in resilience — even during difficult times, local workshops, family-owned businesses, and service providers kept the town functioning.
Berane’s location gives it several natural advantages. Situated on the transit route linking Serbia, Montenegro’s north and the Montenegrin coast, the town has potential to become a regional logistics and service hub. Improvements to the road to Kolašin and further south will bring Berane closer to Podgorica and the Adriatic, making it a more attractive base for companies operating across Montenegro. The modernisation of the Bar–Belgrade railway will further enhance connectivity.
The airport in Berane, long inactive but frequently discussed in economic debates, remains one of the most intriguing opportunities. Whether for cargo, tourism or mixed use, reactivating the airport could transform the northern economy by reducing travel time, improving mobility, and supporting regional tourism flows. While political and financial challenges remain, the strategic value of the airport is undeniable.
Agriculture remains one of Berane’s strongest pillars. The surrounding rural areas support livestock farming, dairy production, potatoes, fruits, and vegetables. Family farms dominate, but investment in modern dairy centres, meat processing, greenhouses, and cold storage is increasing. Berane’s agricultural heritage, combined with clean land and relatively favourable climatic conditions, gives it competitive advantages for organic and premium food production.
The rural tourism of Berane is still underdeveloped but poised for growth. Mountain villages around Bjelasica and Komovi offer unique landscapes ideal for eco-tourism, hiking, adventure sports, and rural hospitality. With the expansion of the Bjelasica–Kolašin–Žabljak tourism triangle, Berane’s position becomes more central. The town could serve as a gateway for tourists seeking authentic northern Montenegrin experiences — traditional cuisine, cultural heritage, mountain landscapes, and outdoor activities.
The service sector in Berane is expanding steadily. The town functions as a regional centre for education, healthcare, retail, administrative services, and professional support. Schools, the general hospital, municipal institutions, retail centres and commercial zones all attract people from surrounding municipalities. This role as a regional hub strengthens Berane’s long-term sustainability — even as population declines continue.
The biggest challenge facing Berane is demographic decline. Emigration and low birth rates have reduced the population significantly. Many young people leave for Podgorica, coastal towns, Serbia or Western Europe. This trend limits workforce availability and reduces the size of the local market. Addressing demographic decline requires large-scale interventions: investment in industry, job creation, housing programs, and improved public services.
Another key challenge is attracting larger private investments. Berane’s industrial zone is underutilised, and bureaucratic procedures remain a barrier. To attract mid-scale manufacturers or processing companies, the municipality must improve land servicing, utilities, permitting, and incentives. The presence of skilled workers — especially older tradespeople with manufacturing experience — is an advantage, but long-term planning is essential.
Still, Berane has a clear development trajectory. The town is likely to evolve into a multi-sector regional centre combining:
- small manufacturing
- agribusiness
- logistics
- services
- tourism
- administration
Its economic future depends on how successfully it modernises industrial zones, supports SMEs, improves infrastructure, and strengthens the link with the Bjelasica tourism region. With sustained investment and policy support, Berane can move from a story of industrial decline to one of regional renewal.
