Institutional bases for strengthening the influence of the agro-industrial sector on the development of rural areas of Ukraine

Abstract

The article identifies the role of agriculture as the foundation of economic development of rural areas. The development and implementation of significant institutional changes in the functioning of agro-industrial production and the development of the rural areas became extremely relevant during the military operations on the territory of our state and will be one of the main tasks of the country’s post-war reconstruction. There is a need for changes in the regulatory and legal field, the use of support tools both at the state and regional levels, the formation of institutions contributing to the development of the agro-industrial complex of Ukraine as the main component of the national economy, which provides the appropriate level of food security of the regions and the state as a whole, and also forms its significant export potential. The main ways of improvement of the institutional sphere of development of rural territorial communities with agro-industrial enterprises are indicated. In many regions with agro-industrial specialization, which have been occupied, the restoration of their ecological, economic, and social capabilities should be redefined, and such restoration should be directed at the creation of a new type of agro-industrial formations in the rural areas, taking into account new values and motivations. For the rural territories of the regions of Ukraine, the agro-industrial sector is dominant. Its condition depends not only on the efficiency of the regional economy but also on the social condition of the rural population. To support the agricultural sector of rural areas, it is necessary to create favorable conditions for increasing the level of competitiveness of domestic market entities. It is necessary to achieve the maximum convergence of legislation with European counterparts, improve antimonopoly regulation, solve the issue of the development of rural areas and environmental problems that we are currently facing, strengthen the protection of property, stimulate the development of consulting and service cooperation, and introduce more effective measures to protect the domestic manufacturer and an improved system of product quality control. The article suggests a mechanism for the development of the agricultural sector as the basis of the economy of rural areas, the implementation of which is based on integration, innovation, and investment.