Human capital and Russia's agricultural future

Abstract

Russian agriculture has rebounded from the depths of the 1990s but significant challenges remain. This article documents deficiencies in rural human capital, specifically, a contracting rural labour force, a shortage of skilled workers, and migratory outflow of the rural young. These problems are compounded by emerging budgetary constraints, slower economic growth and de-mechanisation of agricultural labour. State policy prioritises food production but does not allocate sufficient resources to supporting human capital on which food production depends. As a result, the base of human capital will continue to erode, thereby damaging leadership aspirations and Russian competitiveness in the global food market.