Abstract

The present article analyzes the trends determining the development of agribusiness in rural areas at the present stage of economic development, and highlights the new and most relevant features of its organization and management. At present, one of the important trends in the development of agribusiness in rural areas is the deepening process of production specialization with a simultaneous increase in the concentration of production and financial, industrial and commercial capital. The production specialization has an active influence on the structure of the sectors interacting in agribusiness in rural areas, which is manifested in the following situation. The size and number of agricultural enterprises is increasing and their number is gradually decreasing, while the total area of agricultural land owned by peasant (private) farms is gradually decreasing. According to the Ministry of Agriculture and Food of the Republic of Tatarstan, the total number of agricultural enterprises in 2007 was 751, including 607 profitable and 81 unprofitable ones. The overall profitability was 8.9 %. By 2018, the number of farms decreased to 486, out of which 443 were profitable, 43 unprofitable ones. The level of profitability for these farms was 9.6 %. Simultaneously with the decline in the number of agricultural enterprises, the population employed in agriculture was also declining. At the same time, in 2007, 104.9 thousand people were employed in agriculture, which equaled to 11 % of the rural population; by 2018, employment in agricultural activities decreased to 59.4 thousand people, which was 6.6 % of the rural population. With the deepening of specialization, the complexity in the organization and cooperation of activities in the agribusiness system has increased. Individual producers have lost their independence. They largely depend on related participants. In these conditions, the problem of centralized coordination and regulation arises and the role of administrative management is strengthened to ensure the coordination of specialized activities. In the food policy pursued by the state, an increasing number of agrarian business entities are forced to apply directly to the government for resolving certain issues related to land use regulation, environmental protection, etc.

Highlights

  • IntroductionThe development of agricultural production concentration and its integration with financial, industrial and commercial capital manifested itself in the strengthening of technological, economic and social relationships between agriculture and industry and the financial sector of the economy, in a serious organizational restructuring of agriculture (first of all, in strengthening the centralized coordination of its specialized links), the emergence of new forms regulating the integration process of agriculture and the financial, industrial and commercial sector of the economy.The totality of all operations on the interaction of agriculture and industry producing and selling means of production for agriculture, production operations in agriculture itself and operations for storage, processing and sale of farm products occurring in rural areas can be summarized by the concept of “agribusiness in rural areas ".Quite a lot of serious domestic studies are devoted to the analysis of the structure of the sectors interacting in the rural areas of the Russian Federation, the issues of state regulation in this sphere of the economy, organizational forms of agro-industrial integration

  • In the context of the integration of agricultural resources and financial, industrial and commercial capital, which is penetrating deeper into the sphere of agribusiness in rural areas, in the context of an increasingly strong dependence of production on the service sector, increasing competition and policies to force small and even medium-sized agricultural enterprises, as well as the so-called “rational farming” policy off the market, rural areas lost the subjects of agribusiness, and were deprived of labor resources [3]

  • Agribusiness in rural areas currently covers the production of raw materials for the processing industry, as well as the very production of agricultural products and the service sector

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Summary

Introduction

The development of agricultural production concentration and its integration with financial, industrial and commercial capital manifested itself in the strengthening of technological, economic and social relationships between agriculture and industry and the financial sector of the economy, in a serious organizational restructuring of agriculture (first of all, in strengthening the centralized coordination of its specialized links), the emergence of new forms regulating the integration process of agriculture and the financial, industrial and commercial sector of the economy.The totality of all operations on the interaction of agriculture and industry producing and selling means of production for agriculture, production operations in agriculture itself and operations for storage, processing and sale of farm products occurring in rural areas can be summarized by the concept of “agribusiness in rural areas ".Quite a lot of serious domestic studies are devoted to the analysis of the structure of the sectors interacting in the rural areas of the Russian Federation, the issues of state regulation in this sphere of the economy, organizational forms of agro-industrial integration. The development of agricultural production concentration and its integration with financial, industrial and commercial capital manifested itself in the strengthening of technological, economic and social relationships between agriculture and industry and the financial sector of the economy, in a serious organizational restructuring of agriculture (first of all, in strengthening the centralized coordination of its specialized links), the emergence of new forms regulating the integration process of agriculture and the financial, industrial and commercial sector of the economy. Quite a lot of serious domestic studies are devoted to the analysis of the structure of the sectors interacting in the rural areas of the Russian Federation, the issues of state regulation in this sphere of the economy, organizational forms of agro-industrial integration

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