AGRICULTURAL LAND PRIVATIZATION IN AGRO-INDUSTRIAL COMPLEX: CONTRADICTIONS AND WAYS TO OVERCOME THEM

Abstract

Incomplete land reform in the domestic agricultural sector, in particular the absence of the Law of Ukraine "On the Use of Agricultural Land" makes it impossible to organize the process of buying and selling privatized land. Essentially private land ownership as the process is not complete. The highest legislative body the Supreme Council of Ukraine prohibits privatization of agricultural land. Consequently, the purpose of the research is to investigate the reasons of conflicts, caused by the privatization of agricultural land of agro-industrial complex, and also to suggest specific mechanism and ways of solving this problem. In course of the research the authors have learned that the real number of effective land owners is 15-18 %. They provide using of privatized land in accordance with modern requirements. Exactly they should have a priority right for buying and selling a land. Secondly, use the experience of some European countries should be justified. Thirdly, the contradictions that exist between opponents and supporters of private ownership can be solved by applying new criteria for quality of land reproduction. Property rights should be guaranteed with regard to the interests of society and the collective. Then we have analyzed the principles of agrarian and land reforms in the domestic agricultural sector. The mistakes that were made during the event on deregulation, allotment and privatization of agricultural purposes land are investigated. Furthermore, the authors have shown the positive and negative aspects of land privatization process. The paper identifies major shortcomings and defects of using and protection by the land owners and by users that are caused by privatization. The need of re-privatization by using quality criteria and the new land legislation is substantiated. It is proved that reproduction of land resources at the domestic agricultural sector in according to newest market principles must requires the creation of a land market and really functioning mechanism of buying and selling land. The authors have concluded that particular attention should be paid to creating a transparent, fair, easy and affordable mechanism for the practical organization process of the land sale, constraints and preferences to be introduced at the same time. The preconditions of buying and selling land that would ensure equal access rights to all participants at the market of agricultural land are outlined.