The grain sub-complex of the region: trends and development prospects when growing competition

Abstract

The agro-industrial complex of Russia is developing in difficult socio-economic, political conditions; however, the grain sub-complex demonstrates the sustainable nature of its development, confirming this with an increase in production volumes. The key role in this has been played by the introduced organizational, economic, managerial, and structural changes that adapt the industry to work in new economic conditions and risks. As a result, Russia is a leading player in the global food market. In the agricultural sector of the economy, there are intensive and extensive factors of present and future development. The reorientation of production towards the priority of intensive factors is possible, based on such key areas as technical and technological renewal, modernization, digital transformation of the industry, which will provide it with significant competitive advantages in the face of high global risks. The current trends in the world market, aimed at increasing demand for grain, also cause a change in the structure of production in regions. Changes in the structure of production entail changes in production volumes. Extensive factors of growth in the scale of grain production can be used to a very limited extent, without prejudice to the economy and the regional market for agricultural products. The priority direction for further development of grain production in the region should include intensive production methods. In this case, the structure of agricultural land and sown areas does not undergo significant transformation and global structural changes, and the increase in production volumes is achieved due to the complex of applied intensive methods of agricultural production.