Improvement of economic policy and state regulatory mechanisms in the agricultural sector in the context of strengthening its competitive positions

Abstract

The article deals with the essential elements of state regulations in the agricultural sector under conditions of market-led transformations of Ukraine’s economy. These transformations are related to the improvement of economic policy and aimed at strengthening competitive positions of agricultural producers on the market of agricultural foodstuffs. The economic interest of business activities in the agricultural sphere is largely dependent on external factors that under market conditions have significantly changed the way of revenue generation for agricultural producers whose competitiveness in achieving profitability of goods is sufficient to allow meeting targets of sustainability in agriculture and solving social problems in rural areas. The research provides a comparative analysis of the growth rate of gross output in the agricultural sector and aggregate financial aid from the government. The analysis proves that over the last twelve years, the growth rate of gross output has outpaced the growth rate of aggregate aid of Ukraine’s agriculture. Moreover, the aggregate financial aid is characterized by considerable fluctuations, and there has been a gradual decline in its amount.