This paper deals with design and construction of material cutting machine. The main aim is to offer a cost efficient solution, acceptable, mainly in textile industry, but also compatible for use in other areas (i.e. paper cutting). Design and implementation of such solution based on PIC 16F877A microcontroller, so therefore financially more acceptable and with same functionality is described. Even more “user friendly” environment and real time control and surveillance of machine was achieved through GUI made in Matlab and by using of RS 232 serial communication protocol. After integration of hardware, both electronic and mechanical, and software solutions, physical model, although only a prototype, was subjected to regular working conditions and demonstrated its effectiveness and functionality.

Agriculture was greatly affected by the transitional shocks of economic and social systems in Bosnia and Herzegovina (B&H). B&H is evaluated as the country that, to this point, does not have a very fast reform in this domain. There are several reasons for this. First of all, B&H is still in the process of country reconstruction after the wars and even today a high share of potentials and efforts have been directed toward these purposes. On the other hand, B&H has a very complex organizational structure in the political sense with numerous political entities. Each entity has its own administrative structure and policies concerning economic policy and within its agricultural and rural policies. Recent analyses show that more than one third of the support set aside for agriculture and rural areas in B&H has been linked with the support of production and only a little more than 10% for the purposes of rural development. These trends are not in accordance with the current trends present in EU countries where support for production has been abandoned for the support of the multifunctional rural development purposes, increased income as well as the quality of life within rural segments of the population.