Abstract
The relevance of the issue is due to the need to improve the efficiency of the agro-industrial complex by uniting enterprises engaging in production, processing and sale of agricultural products. The aim is to develop recommendations on integration processes in the agricultural sector in order to improve the efficiency of the agricultural sector. The article discusses the objective nature of integration processes in modern agribusiness, identifies assumptions for creating integrated enterprises, such as unstable financial situations, worn-out material and technical resources, irrational organization of production, a low level of management and labor economics. The article describes a positive example of integrated formations in the Republic of Tatarstan, positive results of the activities of agro-industrial formations, which include the use of abandoned land and agricultural facilities, modernization of production using new equipment and technologies, increasing the attractiveness of agricultural labor, employment rate and incomes of the rural population, reduction of transaction costs in the agro-industrial chain, development of the agro-holding model as an effective interaction of enterprises of different agricultural sectors.
Highlights
Reforms in agriculture contributed to the transition from the planned principles of state regulation to the new principles of self-regulation in the market conditions
The consequences turned into more significant destructive socio-economic phenomena like mass bankruptcy of agricultural enterprises, a decrease in the level and quality of life of the rural population
The old integrated agricultural units, integrators-industrial enterprises not related to agriculture ceased to exist due to the fact that integrators abandoned their assets in the agricultural sector, considering them inefficient [1, 2]
Summary
Reforms in agriculture contributed to the transition from the planned principles of state regulation to the new principles of self-regulation in the market conditions. The results of the transition were very unsuccessful; measures taken led to a decrease in the main production and technological parameters in the agricultural sectors, such as sown areas, livestock, milk and meat production, etc. The consequences turned into more significant destructive socio-economic phenomena like mass bankruptcy of agricultural enterprises, a decrease in the level and quality of life of the rural population. The crisis of agricultural enterprises was strengthened by the macroeconomic situation and a set of factors caused by the inability of managing the agrarian economy. The disintegration of the organizational and economic mechanism of relations between agribusiness partners, the structural imbalance between the sectors of agriculture and a number of other negative trends deteriorated the financial stability of agricultural and processing enterprises
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