Factors increasing the effectiveness of state support in agriculture

Abstract

In the context of limited budgetary funds to support agriculture, the scientific substantiation of the volume of state support for agriculture, the development of recommendations for the adaptation of areas and mechanisms for providing subsidies to the modern conditions of the economic mechanism of the industry are necessary. It has been established that the choice of directions and mechanisms of state support, as well as the rationale for the amount of benefits that should be provided to economic entities both in the form of direct budget support and other benefits in the framework of indirect support in the form of benefits and other preferences are the main factors determining the effectiveness of budgetary support of agriculture. The main shortcomings of the existing directions and mechanisms of state support for agriculture are revealed: insufficient budget allocations allocated to support agriculture, annual changes in the conditions for providing state support, the use of inefficient mechanisms for distributing subsidies from the federal budget to budgets of constituent entities of the Russian Federation. Proposals are formulated to substantiate the amount of budget allocations allocated for the implementation of program activities, based on ensuring guaranteed profitability of producers. Using the example of dairy cattle breeding, the volume is calculated for the budget financing of the industry in 2019. The need is justified by the structural modernization of the industry, the expansion of measures to stimulate demand for food products.