ДИВЕРСИФІКАЦІЯ ВИРОБНИЧОЇ ДІЯЛЬНОСТІ АГРАРНИХ ПІДПРИЄМСТВ РОСЛИННИЦЬКОГО НАПРЯМУ В УКРАЇНІ

Abstract

In this article, the authors determine the productivity factors of crop production and outline the range of problems associated with the lack of diversification. The importance of national agricultural production for the economy of Ukraine as a whole is emphasized. It is indicated that the intensification of production and cultivation of mainly highly profitable crops led to the narrowing of crop rotations. According to the results of the research, it was established that the existing business model in crop production is based on the scenario of a consistently high yield of agricultural crops. Taking into account dependence on weather factors, the a priori uncertainty of the results of agricultural production worsens due to climate change. It is substantiated that risk reduction in crop production can be achieved by diversification of production. The conceptual basis for the diversification of production activities in crop production is determined, which consists in the redistribution of available resources for the product supply in accordance with the requirements of market demand, and taking into account the influence of institutional mechanisms to achieve a higher level of sustainability. The business entity's incentives for diversification are divided into internal, which consist in the possibility of obtaining economic benefits, and external, caused by the action of institutional mechanisms. Opportunities for each type of product should be evaluated based on the parameters of income from production and the risk of loss of profit. Appropriate efforts are recommended to be directed to more complete use of working capital and creation of added value based on the implementation of innovations. Based on the calculated average indicators of crop production, an analysis of fluctuations in the level of land yield during 2016–2020 was carried out. The dynamics of the degree of management risk as a deviation of the level of profitability of the production of agricultural crops compared to the level of operational profitability of agricultural enterprises were studied. It is substantiated that production diversification is a powerful tool for effectively smoothing out price fluctuations when achieving the forecasted harvest volume and compensating for production losses. It was emphasized that the decision to grow additional agricultural crops should be evaluated in terms of production capability and economic feasibility.