Number, year
3(79), Vol. 1, 2014
UNC 338.439:633.1

R.V. Danylchenko Formation of organizational and economic mechanisms of the grain market

 Mykolayiv National Agrarian University

The current level and the main directions of Mykolayiv grain market are analyzed. The basic ways of development of organizational and economic mechanism of regional grain market are proposed. The necessary support of domestic feed industry in order to increase demand for grain and its sustainable use; to promote the revival of livestock; to form regional reserve fund; to create the grain cluster as for the production of environmentally friendly products using modern biotechnology that will improve the efficiency of grain production.

 Keywords: grain market, market conditions, organizational and economic relations, the reserve fund

The paper substantiates the notion of the grain market as a complex of social and economic system, for stable operation of which it is necessary to negotiate an equal alliance between the individual components, including well-functioning organizational and economic mechanisms. The problem of the formation of organizational economic mechanism of the grain market, in particular, stipulates that the economic mechanism of the grain market is a subject to the action of the main objective laws, namely the law of value, supply and demand. The inadequacy of modern organizational and economic mechanism of grain market functioning was underlined. It was emphasized on the state role in the process of forming the organizational and economic control of the grain market. It is proved that for the formation of organizational economic mechanism of the grain market it is necessary to make its adequate analysis. In order to use this proposed system of indicators, this, in particular, includes indicators of turnover and loss of production, solvency of customers, actual and potential market size, level of self-sufficiency and more. The current level and the main directions of Mykolayiv grain market development were analyzed. Among the main problems there are inadequate infrastructure, poor use of resource-saving technologies, the lack of technical and human resources, limited distribution channels, lack of awareness of market participants. The basic directions of development of organizational and economic mechanism of Mykolayiv grain market were given. The special attention was paid to the support of the domestic feed industry in order to increase demand for grain, its sustainable use; to promote the revival of livestock; to form the regional reserve fund, the presence of which would allow to develop the right system of market’s state regulation; to create the grain cluster production of environmentally friendly products using modern biotechnology that will improve the efficiency of grain production.