V. Shebanin, Yu. Kormyshkin. State regulation of agricultural enterprise development.

V. Shebanin

Yu. Kormyshkin

The article substantiates the essence of the concept of state regulation of agrarian entrerprise. A number of key problems of the agrarian sector development were identified. It is established that the generally accepted role of the state in a market economy is to create conditions, eliminate the negative consequences and problems of functioning of the market mechanism, as well as protect national interests in the domestic and world markets. An important role in the state regulation of the development of agrarian entrerprise in modern conditions is played by selected methods, which are classified according to two features – forms and means of influence. It is substantiated that direct and indirect methods of regulation play an important role in the state regulation of the development of agrarian entrerprise. On the basis of the analysis of agrarian business activity, it was established that the current stage of agrarian entrerprise development in Ukraine due to unfavorable socio-economic problems demonstrates acceptable rates of development, which is, first of all, the result of the agrarian reform. Also, new challenges need a timely response from the state, agrarian science and practice. The financing state of the agrarian sector is analyzed and attention is focused on the main innovations of the financial support of the agrarian sector for 2017 from the state budget, namely: – increased up to UAH 300 million expenditures on cheapening of loans to enterprises of agrarian and industrial complex; – for the first time in three years the state budget for 2017 allocated funds for the selection and reproduction of water bioresources; for the funding of the program “Breeding in the fisheries and recreation of water bioresources in the internal reservoirs and in the Azov-Black Sea basin”, 40 million UAH were invested in the budget; UAH 75 million is allocated under the program “State support for development of hops, laying of young gardens, vineyards and patch of berries and their supervision”, which will increase the area of ​​laying of perennial plantations and will stimulate the development of infrastructure for the preservation of fruit and berry products and grapes; UAH 210 million is provided in support of the livestock sector. In addition, it was noted that the budget for 2017 provided for the mobilization of 400 million euros from the European Investment Bank for the implementation of investment projects in the agro-industrial complex.

The suggestions on improvement of regulation and development of agrarian business are substantiated: – formation of effective state support; ensuring the efficiency of the domestic market and price regulation; – rational use of agricultural land; – development of a network of agricultural servicing cooperatives, which will promote not only the raise of channels transparency of products realization on the domestic market, decrease of expenses of agricultural producers and increase of the intensity of product promotion, but will also help to increase the volume and efficiency of export of agrarian products; – development of public-private partnership, which is implemented both in the promotion of the associations activities of private agricultural producers by the state, and the creation of public-private economic associations, which, along with commodity producers, include state authorities and local self-government; – improving the quality of food products and their compliance with international standards; – Expansion of export potential; – assistance in attracting foreign investments.

It is determined that state regulation of agrarian business will effectively influence the development of agrarian business in Ukraine, subject to the proposed measures.

Keywords: agrarian entrerprise, state regulation, development, methods of regulation, state budget.


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