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Decoding intentions to purchase organic food products in an emerging economy via artificial neural networks

Purpose. This study investigates the factors influencing consumers’ intentions to purchase organic food products in an emerging economy. It addresses the knowledge gap regarding the slower growth of the organic food market in these regions despite the global trend toward environmental sustainability. Methodology / approach. A survey approach involving 350 participants was used. Structural equation modeling (SEM) with SmartPLS 4 and Artificial Neural Network (ANN) with IBM SPSS 28 were used to analyse the impact of awareness of need, personal norms, environmental concern, and health consciousness on the intention to purchase organic food products. Results. The study found significant positive influences of awareness of need, personal norms, environmental concern, and health consciousness on the intention to purchase organic food products, explaining 63.1 % of the variance. Both the analysis approaches (PLS-SEM & ANN) revealed that, health consciousness, followed by awareness of need, emerged as the most important factor related to the intention to purchase organic food products. The results highlight the importance of awareness and personal values in driving pro-environmental behaviour. Originality / scientific novelty. This research offers essential insights into the determinants of organic food purchase intentions in an emerging economy. It emphasises the significance of awareness and personal values in fostering sustainable consumption behaviour, addressing a less explored area in existing literature. Practical value / implications. The findings have important implications for policymakers and marketers. Strategies focused on consumer education about the benefits of organic food can enhance awareness and appeal. Understanding core psychological needs and beliefs that shape consumer motivations can guide the development of effective marketing strategies. The study highlights the strong environmental consciousness among consumers and their desire to protect the environment.

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The impact of policies on the digital transformation capability of Vietnamese agricultural enterprises: the moderating role of policy accessibility

Purpose. This study focuses on evaluating the implementation of policies and programmes introduced by the government and local authorities to support the digital transformation of agricultural enterprises. It also analyses the impact of these policies and other factors on the digital transformation capabilities of agricultural enterprises in Vietnam, with the moderating role of policy accessibility. Methodology / approach. The study employs a combination of qualitative and quantitative research methods. The impact of policies on digital transformation capabilities was tested through multiple regression analysis, using data collected from a survey of 400 agricultural enterprises in Thanh Hoa. Results. The findings reveal that government support policies are a crucial determinant of the digital transformation capabilities of businesses, alongside five other factors included in the model. Policy support is the second most influential factor in enhancing digital transformation. Furthermore, policy accessibility acts as a moderating variable that strengthens the positive relationship between government policies and digital transformation capabilities. Based on the research results, a number of recommendations are proposed for public authorities and enterprises to improve the digital transformation process. Originality / scientific novelty. This research provides both an analysis of the practical implementation of digital transformation policies for agricultural enterprises and an assessment of their impact on digital transformation capabilities. Additionally, by introducing policy accessibility as a moderating variable, the study underscores its role in shaping the relationship between policy support and digital transformation, leading to more targeted recommendations for improving the digital transformation of businesses. Practical value / implications. Based on the findings, the study offers several recommendations for government authorities that improve the effectiveness of policies such as establishing a centralised digital platform, organising regular regional workshops and webinars, simplifying procedures, continuously evaluate the effectiveness of their policies, building a collaborative ecosystem. In term of agricultural enterprises, they should establish internal teams dedicated to navigating policy frameworks and ensuring compliance with government regulations, enhancing transparency in their financial and operational records and seek to build partnerships with legal and advisory services to improve their accessibility to supporting policies.

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Livestock production losses in Ukraine: economic damages caused by the war

Purpose. The purpose of this study is to assess the economic losses incurred by Ukraine’s livestock production sector due to the war in 2022. The research focuses on quantifying the scale of food losses and evaluating their economic impact. Methodology. The study uses a comprehensive methodological framework developed by the Kyiv School of Economics (KSE). Economic losses were calculated using both national average and regional pricing approaches. The analysis focuses on losses of cattle, pigs, poultry, and other livestock, as well as milk and eggs. Results. The study found that the largest economic losses in Ukraine’s livestock production sector in 2022 were concentrated in regions directly impacted by military actions, including frontline areas and territories temporarily occupied by the Russian Federation. Donetsk, Kherson, Zaporizhzhia, and Kharkiv regions suffered the greatest losses. Total economic damages from livestock production losses amounted to over 785.6 million euros based on regional prices and 800.9 million euros based on national prices. While regional price variations and productivity differences played a role in the overall economic losses, the primary driver of these losses was the direct impact of the war on livestock farming in affected area. The findings aim to contribute to the broader discussions regarding reparations and post-war agricultural recovery efforts. Originality. This study offers a novel approach by focusing specifically on war-induced food losses in the livestock sector and assessing both direct and indirect economic impacts. The use of both national and regional pricing provides a more accurate estimate of economic losses, highlighting the regional disparities caused by the conflict. The findings contribute new insights into the economic repercussions of war on agricultural productivity and food security. Practical value. The results of this study are important for policymakers and international organisations working in the field of post-war reconstruction and reparations. A quantitative assessment of economic losses can serve as a basis for developing recovery strategies, allocating aid, and prioritising investments in the agricultural sector. Moreover, the research highlights the need for region-specific approaches to effectively address the unique challenges faced by each affected area.

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Willingness to pay for a new biopesticide to control mango fruit flies

Purpose. This study aimed to examine the willingness to pay (WTP) of mango farmers for a new biopesticide to control fruit flies in western Burkina Faso. Methodology / approach. This study is based on the example of mango farmers in Western Burkina Faso, which is the largest mango-producing area in the country. This research used a multistage sampling technique, the first of which involved selecting two regions where mango production is predominant and where late varieties are highly susceptible to fruit fly attack. In the second stage, three provinces were reasonably selected: Kénédougou, Comoé, and Houet in the west of the country. To achieve this goal, a cross-sectional data were gathered from a sample of 341 mango growers. The contingent valuation method was applied and the Cragg Double-Hurdle model was used for analysis. Furthermore, primary data was obtained from respondents through interviews, and secondary data was obtained from relevant agencies. Results. The results indicate that 81.52 % of growers are willing to pay an average of FCFA 2,745 and 70.38 % of them proposed an average amount to be paid of FCFA 2,851 for a weekly treatment with the new biopesticide. Education, access to advisory services, knowledge of fruit flies, and organic production methods influence both growers’ decision to pay and the value of their WTP. Additionally, the willingness to pay for the new biopesticide is positively influenced by the farming area and the perception of the detrimental effects of chemical pesticides on human health and the environment, while the decision to adopt is positively influenced by the income generated from the production of mangos. Knowledge of WTP and its determinants will make it possible to put in place appropriate and effective mechanisms for disseminating information on the new biopesticides to improve fruit fly control and, in turn, farmers’ production and income. Originality / scientific novelty. Despite the threat posed by fruit flies to the mango industry, no studies in Burkina Faso have examined the willingness to pay for methods to control these pests. The novelty of this research is in its application of the Cragg Double-Hurdle analytical model in an ex-ante setting for a new biopesticide. This is the first time that the price farmers are willing to pay for a new fruit fly control method and the factors that determine its use have been scientifically assessed before it is introduced to the market in Burkina Faso. Policymakers and other stakeholders will be able to use the analytical results to promote the new biopesticide for widespread use, as opposed to conventional control approaches. Practical value / implications. To effectively control fruit flies, it is necessary for decision makers to work closely with the private sector to make the yeast waste-based biopesticide for fruit fly control affordable by creating incentives for its multiplication and distribution. Extension services should also be involved in promoting this technology to growers. Finally, awareness-raising campaigns for growers on fruit fly damage and the biopesticide for successful collective control should be stepped up.

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Factors affecting farmers’ decision to join coffee producer cooperatives to improve their welfare

Purpose. The aim of this research is to evaluate the farmer characteristics, knowledge, social and economic factors that influence the decision to join a cooperative, as well as its impact on farmers’ welfare. By identifying factors that affect farmers’ decision making, agricultural policies especially regarding cooperatives, will be optimised for development. Methodology / approach. This study was conducted at a Coffee Farmer Producer Cooperative in Tana Toraja, South Sulawesi Province, Indonesia. The sample consisted of 70 respondents from all members of the cooperative. The collection of data was done through the distribution of questionnaires, and the data were analysed using a statistical analysis method, namely Partial Least Square-Structural Equation Modeling with the software SmartPLS4.0. Results. Research found that agricultural policies implemented through corporate farming in the form of cooperatives improves the quality and capabilities of members, provides production capacity, and increases production, processing, and marketing. Furthermore, the result of the analysis proves that farmer characteristics, knowledge, social and economic factors have a positive and significant impact on the decision to join a cooperative, as well as a positive and significant impact on farmers’ welfare. The indicators with the strongest correlation with farmers’ characteristics are farming experience and age. The indicators that are most closely related to knowledge are the purpose and functions of the cooperative. The indicators that are most strongly linked to social factors are group support and sources of information, and to economic indicators are the availability of infrastructure and production capacity. Thus, the decision to join a cooperative has a positive impact on improving farmers’ welfare. Originality / scientific novelty. This study highlights comprehensive aspect of farmers’ decision to join cooperatives that has not been adequately studied in previous research. This study presents a new perspective that enriches the discussion in previous studies that only focused on the impacts of cooperative on farmers’ welfare without exploring the factors that influence it. Practical value / implications. The results of this study indicate recommendations for the stakeholders especially the government, to support the development of farmers’ institutions in order to optimally empower farmers. The government is supposed to take concrete steps by facilitating education about cooperatives, simplifying administrative processes, and improving infrastructure to encourage farmers to join cooperatives, and ultimately improve their welfare.

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Export of Ukrainian agricultural products through Poland – route restrictions

Purpose. The study aims to (i) identify barriers to the efficient flow of agricultural products from Ukraine along the European Union (EU) solidarity lanes that pass through the territory of Poland and (ii) recommend actions that will improve transit. Methodology / approach. The information collection method was questionnaire using Computer-Assisted Telephone Interviews. Structured interviews were conducted with representatives of Polish transport companies that provided services for the transportation of agricultural products from Ukraine through Poland. Information processing methods include structure analysis and statistical description. Results. It was found that improving the transit of agricultural products from Ukraine via the transit route through Poland would help mitigate the effects of the grain crisis in all its aspects. The bottlenecks of this alternative transit route are identified. It was presented what infrastructural, technical, regulatory, administrative and organisational activities would improve transit. Attention was paid to the importance of social support for the success of the project. Originality / scientific novelty. The study is a source of new knowledge obtained by analysing methodically and purposefully collected data – through structured interviews with representatives of Polish transport companies. The applied value of the study lies in the fact that it formulates recommendations for solving an urgent problem of economic practice, namely the export of Ukrainian agricultural products under conditions of war. Practical value / implications. Due to the prolonged Russian-Ukrainian war, there was an urgent need to develop alternative routes for the export of Ukrainian agricultural products. The development of the transit route through Poland expresses the commitment to alleviate the effects of the global food crisis caused by the war unleashed by Russia in Ukraine and to help the war-torn country. Hence the applied importance of research in this area.

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Business models for engaging smallholder farmers in high-value markets: empirical evidence from vegetable value chains

Purpose. This study explores the business models adopted by smallholder farmers in three different market channels – traditional, modern retail, and export markets. Furthermore, it evaluates and upgrades the smallholder business model in the traditional market to link and enhance inclusivity in high-value markets. Methodology / approach. We use a qualitative approach by exploring three case studies of business models. The business models in this study elaborate how smallholders managing their business in terms of managing resources, meeting quality standards, and establishing partnership to link and serve the specific markets using business model canvas (BMC) analysis. To evaluate, make strategies and create a new business model to increase small farmers’ access to high-value markets, we use strength, weakness, opportunities, and threats (SWOT) analysis integrated with business model canvas analysis. Results. The business model of smallholders in traditional markets lacks added value, economic activity, and quality standard compliance and has poor coordination with vertical (buyers) and horizontal (farmer group) actors in the value chains, as well as lack of support from the government compared to the business models in high-value markets (modern retail and export markets). Therefore, to link and improve the inclusivity of smallholders with high-value markets, their business model should be re-designed such as creating value propositions to be more concerned with producing vegetables with high-quality standards; conducting post-harvest handling activities and adopting food safety standards in their key activities; strengthening horizontal collaboration among farmers as key resources; building vertical coordination with suppliers in high-value markets and partnership with the government; adding market channels to sell to specialised wholesalers and exporters, and investing in the knowledge and facilities to produce vegetables of high-quality and safety standards. Originality / scientific novelty. While many studies focus on specific markets, this study examines business models across three market channels. This study is among the first combine the BMC framework with SWOT analysis for smallholder business model evaluation and development. The result of this study bridges the gap between theory and practices in smallholder market inclusion, offering a novel framework for improvement business models of smallholders by integrates on economic, managerial and institutions perceptive. Practical value / implications. This study is useful for policymakers to address the business constraints of small businesses when linking to high-value markets. Management implications for upgrading business models are also elaborated in this study for the inclusion of smallholders in high-value markets. This study also contributes to the literature on the inclusiveness of business models for smallholder farmers.

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Financial and economic performance of agricultural enterprises: analysis and policy improvement

Purpose. The article aims to develop theoretical and applied foundations for forming a methodology to evaluate financial and economic performance of agricultural enterprises. Methodology / approach. The authors’ methodology for analysing enterprises’ financial and economic performance is formed in the research. This methodology is based on the use of the principal component analysis. Its use involves the composition of a series of empirical indicators of financial and economic performance based on a temporal approach, the calculation of coefficients of significance of indicators and components, and the calculation of combined and integral indicators of financial and economic performance. The developed methodology was tested using the example of 13 agricultural enterprises. The selected enterprises operate in the Lviv region of Ukraine. The study period covers the operational indicators of agricultural enterprises from 2017 to 2022. The Principal Component Analysis (PCA) method was employed to calculate the integral index of financial and economic performance for these agricultural enterprises. Econometric modeling was applied to identify the key determinants influencing the formation of this integral index. Results. The research results showed that despite the availability of resource capacities of agricultural enterprises, the process of forming their financial and economic performance is subject to the destabilising influence of war and market factors. The integral index of agricultural enterprises’ financial and economic performance has significantly impacted their operational efficiency. Through the application of econometric modelling, the primary determinants influencing the formation of this integral index of financial and economic performance in agricultural enterprises have been identified. To improve the financial and economic performance of farming enterprises, a targeted mechanism is developed that is aggregated from such strategic areas as the rationalisation of production costs, the improvement of financial and economic management, better budgeting, the development of management personnel, and the restructuring of market policy. Originality / scientific novelty. The originality of research lies in developing a methodology for assessing enterprises’ financial and economic performance using key indicators and components. This methodology creates an adequate information and analytical basis for improving the management of financial and monetary resources. Practical value / implications. The practical significance of the research results consists in the possibility of their application in the economic activity of agricultural enterprises to improve the process of forming the financial and economic performance of the latter.

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Бухгалтерський облік як інструмент оцінки індикаторів досягнення цілей сталого розвитку

Мета. Метою дослідження є обґрунтування функціональності бухгалтерського обліку як інструмента моніторингу індикаторів досягнення Цілей сталого розвитку (ЦСР). Методологія / методика / підхід. У дослідженні використано такі методи: узагальнення й формалізації (для систематизації досліджуваної інформації та представлення запропонованої оцінки), економіко-статистичний аналіз (для оцінки стану й тенденцій індексу досягнення ЦСР), кореляційний і регресійний аналіз (для розрахунку впливу факторів на Індекс ЦСР), графічний і табличний (для візуального представлення даних). Результати. На прикладі сільськогосподарських підприємств доведено важливість проведення моніторингу індикаторів досягнення ЦСР на мікрорівні. Зокрема розвинуто корпоративний рівень досліджень політики сталого розвитку, який декларує мету досягнення ЦСР як невід’ємну частину бізнес-моделі підприємства. Установлено, що поряд із глобальним моніторингом індикаторів досягнення ЦСР, який базується на статистичних даних окремих країн, важливим є відповідний моніторинг на рівні окремих підприємств. Такий моніторинг запропоновано здійснювати з використанням інструментів і методів бухгалтерського обліку. Для здійснення комплексного моніторингу запропоновано алгоритм облікового забезпечення аналізу й оцінки індикаторів досягнення ЦСР сільськогосподарським підприємством. Алгоритм включає чотири етапи: визначення мети, параметрів й обсягів аналізу; інвентаризація діяльності, збір і документування галузевих індикаторів досягнення ЦСР; визначення, аналіз (кореляційний, регресійний) та оцінка галузевих факторів впливу на індикатори досягнення ЦСР; інтерпретація результатів та узагальнення їх у звітності. Для врахування даних, що не мають фінансового виразу, розроблено три шкали оцінки якісних параметрів впливу діяльності (продукту) на досягнення соціальних та екологічних ЦСР. Також запропоновано підхід для оцінювання ризику й невизначеності результатів дослідження за розробленим алгоритмом. Оригінальність / наукова новизна. Запропоновано алгоритм облікового забезпечення аналізу та оцінки індикаторів досягнення ЦСР сільськогосподарським підприємством, який, на відміну від наявних, дає можливість ураховувати показники, що не мають фінансового виміру. Розроблений алгоритм декларує розширення функціональності бухгалтерського обліку, доповнюючи її функцією моніторингу індикаторів досягнення ЦСР. Теоретичний складник досліджень містить удосконалену класифікацію бухгалтерського обліку з урахуванням критеріїв сталого розвитку. Практична цінність / значущість. Результати дослідження можуть бути використані сільськогосподарськими підприємствами різних розмірів, спеціалізацій і форм власності, які прагнуть провадити свою діяльність у векторі сталого розвитку з метою виявлення проблемних місць і формування альтернатив вирішення наявних проблем.

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Funding for sustainable development of rural communities: European experience

Purpose. The study aims to assess the European experience of funding for sustainable development of rural communities and the possibility of its implementation in Ukraine. Methodology / approach. The research was carried out using the following methods: bibliometric, trend, cluster – to assess the scientific productivity of research, identify key trends in scientific approaches to the issues under study; comparative, systemic, institutional and functional analysis – to determine the functional links between different elements of the European Union (EU) funding system, as well as correlation and regression analysis – to establish the degree of interconnection between different sources of funding for rural communities in the EU member states. Results. The authors conducted a cluster analysis and built a bibliometric map of the distribution of publications by country for the search query “sustainable development” and “sustainable rural development funding” in the Scopus database between countries for the period 2000–2024. This allowed to form a clear scientific picture of the development of the studied issues, as well as to establish the relevance, complexity and interdisciplinarity of approaches to solving the outlined tasks. It has been proved that the common budget is an instrument for implementing policies and programmes that promote economic growth, social cohesion, and stability in the EU, helping member states solve problems and achieve the Sustainable Development Goals. It is emphasised that the EU budgetary policy affects the eligibility conditions and criteria for the allocation of funds and thus reflects the EU’s political priorities, among which sustainable development of rural areas and communities is among the key ones. The composition and structure of financial instruments used for the sustainable development of rural communities in the EU under the Cohesion Policy were clarified. The main funding instruments for rural communities in EU member states, including loans, grants, capital or quasi-capital, and guarantees, are highlighted. It is emphasised that using the EU’s experience in funding sustainable development of rural communities, Ukraine can successfully continue its path to European integration, implementing the necessary reforms and using European resources to modernise and develop both communities and the economy as a whole. Originality / scientific novelty. The study provides a deeper understanding of the funding mechanisms and their impact on the regional development of member states. An empirical study of the integration of various financial instruments, such as grants, loans, capital and quasi-capital, and guarantees, allows identifying new dependencies that have not been previously taken into account in research. The results contribute to scientific knowledge, deepening the understanding of the mechanisms of financial support for the sustainable development of rural communities. Practical value / implications. The results of the study can be used by local governments in developing strategies for the socio-economic development of rural communities, particularly, the European experience of attracting and using financial resources can contribute to the achievement of economic, environmental and social parameters of sustainable development.

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