Agricultural sector modeling based on partial equilibrium modelling of the supply and demand has become standard approach in the market outlooks and policy impact studies. The model builders and users reveal many pros and cons of the process and results of modelling. The Macedonian experience confirms some typical obstacles and at the same time faces some new ones with a local perspective. The paper provides a summary of the milestones in modelling the partial equilibrium model for the livestock-feed sector in Macedonia with main focus on the obstacles and limitations in the process. This experience is expected to be useful for the countries in the Western Balkan region planning to build a sector models based on partial equilibrium concept as a policy analysis tool.