Factors Of Sustainable Development Of Food Processing Industry In The Trans-Baikal Territory

Abstract

Food processing industry has always been taking an extremely important place in the economy of the Trans-Baikal Territory. However, the economic recession affected this field dramatically. Covering the primary needs of the population this field is supposed to have a sustainable future. Stability, dynamic balance and possibility of self-developing are the main factors of its further development. The climate and the remote location of the Trans-Baikal Territory from the central part of Russia determine the stable development of the processing field. The raw materials are grown locally: meat and milk processing, baking and confectionary industries. Dynamic stability involves interconnected development of the food and agricultural industries. As a result, an increase in agriculture may cause an increase in the food processing industry. Stability of the food processing industry is determined by a permanent outlet. The local companies are to take into account not only the local demand but the markets in the nearest regions. The prospective outlets are the nearest constituent entities of the Russian Federation: the Republic of Buryatia and the Irkutsk Region, as well as China. Moreover, the supplied products are to meet all the requirements, transportation and sale features on the external markets. The possibility of self-development involves a reserve of production capacity and investments to equip companies with machines. According to the research, the companies have excess capacity but they need upgrading and extra funding.