Mainways of public-private partnership development in agro-industrial production and rural areas of Ukraine

Abstract

Majority of social and economic problems of Ukraine’s agrarian sphere can not be solved without formation of partner relationships and constructive dialogue between the state and private business. The formation of partner relationship models opens up new possibilities and provides certain advantages for participators’ agreement. The aim of the research is to analyze the current state of implementation of public-private partnership projects and determine the main ways for PPP development in Ukraine. In the article reveals the historical aspect of public-private partnership (PPP) development between the state and private participator in different countries of the world. The current state of development, the features of the constructive interaction between state bodies and business in solving of long-term socially important tasks of social and economic development are analyzed. The expediency of developing partnership between state and business is grounded. The main factors of negative influence on the effectiveness of PPP projects implementation in agrarian sphere are identifed . The main models of private business participation in the accomplishment of investment projects in agro-industrial production are considered and their main features are determined. It is proven that implementation of PPP projects promotes the effective management of state and municipal property objects and the creation of conditions for use of new technologies and innovation, etc. The high efciency of PPP mechanism as a form of interaction between state and business has been proven by the experience of many countries around the world. Thus, public-private partnership needs to be developed in our country to solve signifcant social and economic problems through combining the resources of public and private sectors. To do this, it is necessary to overcome a number of legislative, political, economic and institutional barriers that hinder the PPP development. The study generalizes the world practice of using of the PPP mechanism in agriculture and determines the main priority directions of PPP project implementation in agro-industrial production and rural areas of Ukraine. These include: construction, maintenance and management of wholesale markets of agricultural production; development of infrastructure of agrarian market; development of production infrastructure, agricultural waste processing; irrigation systems construction, operation and management; construction, exploitation and management of social infrastructure objects in rural areas. The study reveals that PPP in Ukraine develops very slowly, the level of PPP project accomplishment is low, the number of implemented projects is minimal and its effectiveness is low because of legal and economic obstacles for doing business. The problem is not so much the low number number of concluded agreement between the state and the private partner, but rather the effectiveness and efciency of their implementation. Key words: public-private partnership, agrarian sector, PPP projects, forms of PPP, state, private partner, innovation development, agreement.