Agricultural Holdings Research Articles

Сельская локальная экономика как приоритет агропродовольственной политики в новой геополитической реальности

The current geopolitical situation and accumulated internal problems dictate the need to change agri-food policy. It is advisable that the further development of agriculture takes place within the framework of the environmental, geopolitical, socio-economic and technological requirements formulated in the article. The analysis of compliance with these requirements revealed the advantage of the rural local economy (SLE) in comparison with large agricultural organizations (ShOS) and agricultural holdings. The zigzag development of the domestic economy and agriculture over the past hundred, fifty and thirty years is shown, which often led to negative consequences in the state and in the agricultural sector. The conclusion is made about the expediency of priority development of the SLE as a way to solve industrial, economic, social and environmental problems in the context of a new geopolitical reality.

АНТИКРИЗОВІ СЦЕНАРІЇ МІЖГАЛУЗЕВОЇ ВЗАЄМОДІЇ ПЕРЕРОБНО-ХАРЧОВИХ АГРОХОЛДИНГІВ В ЦІЛІСНІЙ СИСТЕМІ ЕКОНОМІЧНИХ ВІДНОСИН З АГРАРНИМИ ПІДПРИЄМСТВАМИ

The article contains the theoretical and methodological principles of developing anti-crisis scenarios of intersectoral interaction of agricultural market participants to minimize the impact of production risks of agricultural enterprises, transformation of indicators of the production and technological cycle and neutralization of the crisis level of competitiveness of processing industry enterprises. The density curves of the distribution of the probability of accidental losses were constructed; a risk zone is determined for an in-depth interval assessment of minimization of the crisis of agricultural holdings. Meat-processing agricultural holdings are singled out and the multi-vector nature of changes by types of production-technological cycle is determined based on the results of a multi-level diagnosis of the crisis of competitiveness of meat-processing agricultural holdings in the integral system of economic relations with agricultural enterprises. Poly-vector changes in the level of the crisis of the competitiveness of meat-processing agroholdings according to the integral indicator of ensuring the production and technological cycle in the time interval of 2021–2023 have been determined (without taking into account the amount of financial support from private investors and taking into account capitalized profit and state preferential lending). Empirical dependencies of variable indicators of insurance of the production and technological cycle of domestic meat processing agroholdings in the approximation of actuarial calculations are substantiated. Anti-crisis scenarios of cross-industry interaction of meat-processing agricultural holdings in an integrated system of economic relations with agricultural enterprises to neutralize crisis factors of competitiveness for 2024–2028 are proposed. It was concluded that the level of competitiveness of agroholdings depends on dynamic development, which is influenced by indices of agricultural raw materials, price indices for by-products and their processing products, preferential credit rates, volumes of private investments, state material assistance and the level of insurance payments.

Značaj utvrđivanja efikasnosti poslovanja poljoprivrednih gazdinstava u odnosu na korišćenje vrste kredita u poljoprivredi, primer Republike Srbije

The organization of agricultural production in countries such as the Republic of Serbia should be as close as possible to optimality. This can be achieved in different ways. One of the ways to improve the success and efficiency of business should be seen in the search for the most favorable form of obtaining loans from commercial banks. The paper highlights the importance of analyzing three types of loans, namely: a loan for refinancing intended for agriculture, an investment loan intended for agriculture and a loan for working capital intended for agriculture from the perspective of the efficiency of agricultural operations. A Pearson correlation analysis was performed for the observation period 2021-2022. The main conclusion is that there is a connection between the efficiency of agricultural operations with all three forms of taking loans by agricultural farms on a sample of N =149, that is, the obtained results confirmed this (p<.05). In addition, the study points to the existence of another conclusion, i.e. that the costs related to the taken loans in the observed period have an increase, but they do not have such an impact as the analyzed three forms of loans taken by agricultural holdings, because their impact is in the interval of 0.067 for 2021 to 0.070 in 2022.

Efektivnost upravljanja poljoprivrednom mehanizacijom dodatnim angažovanjem u poljoprivrednim gazdinstvima u Republici Srbiji

Increasing the effectiveness of agricultural machinery management can be done in several ways. In this paper, author highlight the importance of using agricultural mechanization through additional engagement, and that in the largest and most numerous forms of agricultural production organization in the Republic of Serbia, more precisely within agricultural holdings. In the work, five types of agricultural mechanization were observed, in such a way that they were additionally engaged within the scope of the expansion of the basic activity of agricultural farms, within the framework of the development of rural tourism. The main conclusion reached by the authors of the study is that there is a strong influence of the effectiveness of the use of agricultural machinery, which is additionally used to perform work on agricultural farms. This was confirmed after the analysis carried out on the basis of the obtained samples of N=132, where a comparison was made of two forms of use of agricultural mechanization, i.e. standard use in 52 farms with a new form of use, in 80 agricultural farms, i.e. in agricultural farms that used the same agricultural mechanization for business needs, so-called rural tourism. The views were strengthened based on the obtained results of the comparison of the mentioned two forms of use of agricultural mechanization (p<.05) and indicate the importance of additional use of agricultural mechanization in the overall operation of agricultural farms.

Regional food markets of the Western borderlands of Russia: adaptation to integration and disintegration processes

The paper reveals the mechanisms of adaptation of food markets in the western borderland of Russia to the integration and disintegration processes that have been taking place on the external and internal borders of the Eurasian Economic Union since 2014. Using the example of the Kaliningrad and Smolensk oblasts, the authors identified changes in the regional food base under conditions of active import substitution, assessed the changes in food preferences of the population, as well as the role of cross-border practices in meeting the population's food needs. Based on the analysis of regional and federal statistics and field research, it was possible to establish that against the background of active investment in agriculture and food production there were three parallel processes: the spatial contraction of agricultural production, the expansion of its production capacity by large agricultural holdings in strictly defined areas (around regional capitals and important transport routes), and the expansion of holdings in selected peripheral areas with the lowest land value. Despite the commonality of the processes, the performance in agriculture and food production and activity in obtaining state support in Smolensk and Kaliningrad oblasts are radically different. Visual inspection of retail outlets, discourse analysis and representative surveys of the population allowed us to conclude that import substitution only partially allowed to provide raw materials and final products to regional food markets in both regions, since most holdings are oriented to meet the demand in high-margin markets inside and outside the country. Food markets in border regions are characterized, on the one hand, by greater vulnerability to integration and disintegration processes, and, on the other hand, by the variability of choice and opportunities for cross-border shopping trips. However, empirical data obtained by sociological methods show that the widespread perceptions of high cross-border mobility of the population of border regions are highly overestimated. The populations of Smolensk and Kaliningrad oblasts are similar in the level of mobility and conservatism with regard to shopping for goods of specific manufacturers of a suitable price segment. The “network” (through intermediaries) penetration of “sanctioned” goods in the Kaliningrad oblast covered a much larger share of the population than that which directly traveled abroad for shopping, so the adaptation of the population to external challenges to the food market was more noticeable.

Интеграция малых и средних хозяйств с агрохолдингами

The article provides an assessment of the current level of production of agricultural products of various categories of farms. The objective necessity of integrating agricultural holdings with farms, including individual entrepreneurs, as well as personal subsidiary farms, has been proved. This will not only increase the volume of food resources, but also preserve rural areas.

THE DETERMINANTS OF NEUTRALIZING THE INFLUENCE OF THE PRODUCTION RISKS OF AGRICULTURAL ENTERPRISES ON THE COMPETITIVENESS OF THE PROCESSING INDUSTRY

Background. The article explores the impact of production risks in agricultural enterprises on the competitiveness of the processing industry, considering information asymmetry in an unpredictable environment. The paper identifies key production-stimulating elements crucial for the processing industry competitiveness using the theory of value. Economic ties between agricultural enterprises and processing industry subjects aim to integrate production and technological cycles for enhanced competitiveness. The article characterizes quasi-crisis pressures in the processing industry, providing indicators for economic relations between agricultural enterprises and processing industry subjects. The paper analyzes Ukraine's grain, oil and animal-origin raw material production for the processing industry and assesses the country's processing industry competitiveness crisis level. The financial processes of meat-processing agricultural holdings in Ukrainian regions, excluding occupied territories, were studied, considering private foreign investments in the pre-war and war period. Results and conclusions. In summary, the methods employed in this research encompass a combination of an economic analysis, risk management techniques, a theoretical synthesis, diagnostic tools, a stakeholder analysis and a resource system analysis. These methods would be tailored to address the specific challenges faced by the agricultural and processing industry. Changes in the competitiveness crisis level of meat-processing agroholdings were calculated, taking into account the production and technological cycle. The article concludes with anti-crisis scenarios for cross-industry interaction to neutralize competitiveness crisis factors.

ІНДИКАТОРИ СОЦІАЛЬНОЇ ВІДПОВІДАЛЬНОСТІ ЯК СКЛАДОВА ІНТЕГРОВАНОЇ ЗВІТНОСТІ АГРОБІЗНЕСУ В УМОВАХ ВІЙНИ

The concept of integrated reporting is the creation of reports that combine financial and non-financial information to provide a comprehensive view of a company's activities. It aims to show how an organization creates value in the short, medium and long term, taking into account the impact on different stakeholder groups and environmental, social and economic factors. The article is devoted to substantiation of the system of social responsibility indicators in the context of integrated reporting of Ukrainian agribusiness in the context of war. Theoretical origins and leading global concepts of integrated reporting are analysed. A critical review of scientific views on the concept of corporate social responsibility of business is carried out. The key indicators of corporate social responsibility to be disclosed in the integrated reporting of agribusiness are analysed and their list is expanded. It is proved that the division of indicators into internal and external components is necessary to ensure a comprehensive and structured approach to assessing the company's impact. It is substantiated that internal indicators help a company to assess and improve its internal practices, which in turn can lead to increased productivity, reduced staff turnover and a positive working environment, while external indicators contribute to the formation of sustainable partnerships, increase the company's trust and reputation, and ensure compliance with regulatory requirements and public expectations. The article establishes the two-vector external social responsibility of Ukrainian agribusiness in the context of war, focused on the "pre-war" and "post-war" focuses. The cases of active socially responsible work of individual agricultural holdings in the context of supporting the army, charity and social protection of war-affected population are analysed. It is determined that comprehensive disclosure of the policies of cooperation of agrarian business with local communities and initiatives related to the realities of war in integrated reporting is a crucial factor in increasing transparency and trust between the enterprise, local population and society as a whole.

The 7th Census of Italian agriculture: characteristics, structures and dynamics of generational renewal

The 7th General Census of Italian Agriculture offers an opportunity to assess the current state and key trends within Italian agriculture. One pressing issue that it highlights is the aging workforce in this sector. Encouraging youth entrepreneurship is a primary goal endorsed by both national and European policies. It aims to ensure a seamless generational transition while promoting a more innovative and dynamic agricultural sector. Agriculture faces a set of critical challenges in the years ahead, including efficiency enhancement, resilience building, digitalization, and sustainability practices. These necessitate the integration of fresh, well-qualified entrepreneurial talent, making generational turnover not only highly desirable but also essential. This article employs data from the latest Census to delve into the age distribution of farm managers, placing a particular emphasis on the younger demographic and the farms they oversee. The study aims to scrutinize the primary shifts in the demographic makeup of agricultural holdings, with a specific focus on contrasting young and elderly farmers. The outcomes of this analysis bring to the forefront an intriguing generational shift marked by well-educated agricultural entrepreneurs who exhibit a proclivity for innovation and the adoption of digital technologies. This cohort of farmers is actively diversifying their agricultural pursuits, with a strong commitment to environmental sustainability and the market. Nonetheless, despite these commendable efforts, they continue to grapple with establishing a firm position in the sector.

Community Resilience and Innovation in Livelihood Strategies: Exploring the Drivers of Change in Mountain Agriculture in Lotkuh Valley, Pakistan

Mountain agriculture is the linchpin of the economy in Pakistan's Hindu Kush Karakoram and Himalaya mountain regions. Currently, mountain agriculture is in a state of transition, experiencing rapid changes and innovation due to physical and anthropogenic drivers, resulting in far-reaching consequences on the livelihood sustainability and food security of the local people. This study explores the multifaceted drivers of agricultural transformation in the Eastern Hindu Kush region, specifically in Lotkuh Valley, Pakistan, focusing on the intricate relationship between resilience-building measures and the adoption of innovative agricultural practices. For this purpose, data were explored from both primary and secondary sources. Primary data were collected using stratified sampling techniques during extensive field surveys conducted in the study area from 2017 to 2019. Remotely sensed data from 1990 to 2019 were obtained from the USGS site. Secondary data were acquired from the Gazetteer of Chitral 1928, Census Report 1961-2017, and Rural Settlement Report 1988. The collected data have been analyzed through descriptive analysis and advanced geospatial techniques. The findings reveal that vivid changes and transformations have occurred in mountain agriculture. These transformations include land use/cover changes, agricultural land holdings, cropping patterns, livestock populations, arboriculture, etc. From the findings of this study, it is inferred that innovation in mountain agriculture entails a variety of opportunities and has increased agricultural production, resulting in a positive impact on the economy, food security, and livelihood sustainability. This study provides nuanced knowledge and insights for policymakers, mountain agriculturists, and practitioners to effectively develop sophisticated strategies for achieving the ambitious goal of zero hunger and poverty eradication.

ЗАНЯТОСТЬ И БЕЗРАБОТИЦА В СЕЛЬСКОМ ХОЗЯЙСТВЕ СЕВЕРО-КАВКАЗСКОГО ФЕДЕРАЛЬНОГО ОКРУГА

Solving the problem of unemployment is a priority for the regions of the North Caucasus, where there is a significant shortage of jobs, which leads to labor migration of the population to other constituent entities of the Russian Federation. Finding solutions to increase the number of jobs is an important task that helps reduce unemployment in the regions of the North Caucasus Federal District. The work notes that the leading industry in the North Caucasus in terms of the number of jobs is agriculture, and currently there are significant reserves for growth in both the agricultural sector and processing industries, which are underdeveloped in the region. Agricultural products are mainly sold in unprocessed form, which leads to constant underutilization of existing processing capacities. One of the most obvious ways to develop the agro-industrial complex of the North Caucasus Federal District is to create favorable conditions for attracting large agricultural holdings to the region. Based on the results of the study, conclusions were drawn about the need to develop the processing of our own agricultural raw materials - primarily fruits, berries, meat, and milk. This is especially true in the context of economic sanctions directed against the Russian economy, as a result of which there is a risk of limiting the international supply of a number of food products, accordingly, the regions of the North Caucasus Federal District are able to replace most of them. These measures will not only strengthen the country’s food security, but will also lead to the creation of new jobs in the region, which will have a positive impact on the social situation in the North Caucasus.

Back to the Problem of Criminal Liability of Legal Entities: Two Views on the Problem (Using the Example of Environmental Crimes)

The authors examine the positions of supporters and opponents of introducing criminal liability for legal persons in the Russian Federation. They have summarized and evaluated the existing approaches to the problem, and present two views on the prospect of introducing the institute of criminal liability for legal persons using the example of environmental crimes. This choice is not accidental and is explained by a number of reasons. Firstly, the condition of the environment continues to deteriorate in spite of all undertaken efforts, which calls for new approaches to its protection, including through criminal law means. Secondly, it is necessary to understand that the greatest threat to the environment is posed by large companies working in the sphere of extracting, processing and using various natural resources — oil, gas, metals, chemical companies, agricultural holdings, energy and transportation companies, which all operate with the purpose is maximizing profits. Practice shows that they are responsible for the largest environmental disasters of the latest decades. Compared to them, the contribution of private persons to environmental pollution is negligibly small. Thirdly, the overwhelming majority of researchers specializing in the problems of criminal liability for environmental crimes support the establishment of criminal liability specifically for the violations of nature protection legislation. In spite of the differences in the opinions of authors regarding the necessity of establishing criminal liability for legal persons, they leave space for further discussions on the topic.

STATE SUPPORT AS A FACTOR OF REGULATION OF THE DOMESTIC MARKET OF AGRICULTURAL MACHINERY IN UKRAINE

The article analyzes the state of agriculture provision with agricultural machinery and it is clarified that despite the extremely important importance of this branch for the country's economy, today there is a critical situation with the technical provision of the agro-industrial complex. Agricultural enterprises not included in the structure of agricultural holdings provide only 45 to 58 percent of the technological need to machinery, of which almost 90 percent of the units need replacement. The number of worn-out equipment, which each year is written off by enterprises, far exceeds the amount that is procured. The article also analyzes the state of state support of material and technical support of agricultural commodity producers in Ukraine. It has been determined that agrarian policy during the transformation period was characterized mainly by the predominance of tactical rather than strategic goals and programs, and the regulatory activity of the state was not systematic and consistent. Taking into account the above, it was concluded that the problem of increasing the effectiveness of the state influence on the development of the agrarian sector as a whole, and on material and technical support of the crop production sector in particular, is particularly relevant to Ukraine. It is concluded that the state policy in the direction of funding activities aimed at their support is not weighed, formed on the residual principle and can not fully contribute to the accomplishment of the tasks. A number of measures have been proposed for correction of the negative situation, which consist in the necessity of: streamlining of normative acts regulating the financing of programs; increase their funding; strengthening control over the implementation of public funding programs; redistribution of funding directions. An analysis of state support programs for agricultural enterprises makes it possible to conclude that their implementation does not have the desired effect due to: lack of funding by the state; unbalanced fiscal and customs policies, lack of incentives to increase scientific research and accelerate the implementation of their results in agricultural machinery; the general crisis of the country's economy since 2014, connected with the loss of territories, military actions in the east of Ukraine, inflationary processes and the political crisis. Keywords: state support, technology market, efficiency, technical and technological updating, material and technical base, financing

Методически подход за оценка на управленческата устойчивост на земеделските стопанства в България

The present study focuses on the methodology for assessing governance sustainability in agricultural holdings in Bulgaria and is part of a series of publications on the subject. Based on the principles of sustainable management, namely – democracy, working agrarian administration, working market environment, managerial sustainability, the alternatives for the application of the multi-criteria analysis method AHP are derived. The criteria against which the assessment is made are also commented.

Motivating and demotivating factors for Bulgarian farmers to use WWTP sludge in agricultural holdings

The problem of the treatment of sludge and the utilization of waste contents of sewage treatment plants for use in agriculture is a problem with a decades-old history. The aim of the study is to identify the main motivating and demotivating factors that convince Bulgarian farmers to use WWTP sludge. The article presents the prospects for agricultural utilization of sludge produced by WWTP in Bulgaria, and more specifically focuses on the study of the effect of sludge utilization in agriculture, on the one hand, and offers opportunities for their application, finding a long-term sustainable solution for their management. The presented assessment of the possibilities and prospects for the Bulgarian agricultural producers for the utilization of sludge based on the achieved results of a scientific research project aims to solve the problems related to the socio-economic efficiency in the use of sludge in agricultural practice, and to support science and practice when resolving these public issues.

Assessment of the level of competitiveness of Ukrainian agricultural holdings in international markets

Agriculture remains one of the main sectors that play an important role in both the country’s economic development and strategic security. Therefore, conducting an ongoing study of this component in the country is relevant. The purpose of the study was to determine the competitive opportunities of agricultural holdings in Ukraine. The methods of scientific cognition that were used in the work were abstract and logical, dialectical, general scientific and statistical methods, methods of historical and logical observation, analysis and synthesis. This study analyses the competitiveness of Ukrainian agricultural production, in particular by such indicators as: dynamics of gross harvest, yield and acreage of the main agricultural crops, balance of agricultural production, export of agricultural products and their processed products during 2000-2023. The methods that need to be implemented to make the agro-industrial complex competitive in the global market are also proposed. The results of this research on the competitiveness of Ukrainian agricultural holdings in international markets, and the conclusions drawn on their basis, are of significant importance, as they prove that powerful agricultural holdings operate in Ukraine, characterised by dynamic capabilities, increase their capacities, attract unused arable land, and effectively use the potential of resources and crops. In addition, the development of world markets for agricultural products is promising for agricultural holdings, because Ukraine is geographically located almost in the centre of international trade networks, and exports in some strategic areas will help agricultural enterprises avoid uncertainty and possible large losses. The assessment of agricultural holdings, namely Kernel and Myronivsky Hlibprodukt, showed that even in war conditions, agricultural companies have opportunities to develop and enter international markets. The findings obtained in the framework of the study can be used both by representatives of the public sector to form policies in this area, and by enterprises to create long-term development strategies.

DEVELOPMENT POTENTIAL OF THE FARMING SECTOR. CASE STUDY: HUNEDOARA COUNTY

This paper aims to be an X-ray of agriculture in Hunedoara county, beginning with an analysis of agricultural holdings, land fund structure, structure of agricultural activities, population employed in agriculture, forestry and fisheries, and ending up with the value of agricultural output. The agricultural rural area of Hunedoara county is mostly covered by pastures and meadows, while forests and forest vegetation prevail in the non-agricultural area of the county. Cereal grains are mainly grown, maize and wheat being the main cereals. Sheep is the prevailing species in the livestock herds, being the only species in which an upward trend can be noticed. In the case of meat production, only pig meat showed an upward trend, while milk and egg productions remained constant throughout the investigated period. The population employed in agriculture decreased 2.6 times, while the value of agricultural output had the highest value in the year 2021 compared to the entire analysed period.

Range and behavior of the Russian grain subcomplex center in 2000-2020

In the 2000s, a new model of the agrarian economy was formed in the country, in which large agricultural holdings, collective and private peasant farms were organically integrated, united by powerful state support and state regulation. This model has manifested itself to the greatest extent in the functioning of the grain subcomplex: the growth of acreage and yield of grain crops, increasing soil fertility, the formation of new logistics and communication corridors, value chains, ultimately providing the country with a leading position among grain-producing countries, making this subcomplex import-independent. Like any agricultural object, the grain subcomplex has a spatial character. At the same time, its space is heterogeneous and not static; the zones of high and low activity are constantly changing, their areas are shifting, affecting the overall dynamics of the entire subcomplex. The goal - determine the location of the center of the grain subcomplex of Russia and calculate the impact of its changes on the dynamics of gross grain harvest. Methods - centrographic, correlation, graphical, as well as descriptive. Scientific novelty - clarification has been made to the existing methodology of the influence of the geographical factor on the dynamics of agriculture, in which the concept of geographical center has been introduced. The methodological innovation is tested on the example of the grain subcomplex of Russia. Results - the area of the grain wedge of the country was determined, its geographical center was calculated, its time shifts in the north-south and east-west directions were revealed, the changes in the center of the sown areas of grain crops on the gross grain harvest were quantified, it was revealed that the shift of the center of the sown areas in the south-west direction gives a greater increase in the gross grain harvest, than in the north-east, the causes and nature (cyclicity) of these increases (shocks) have been clarified, which together will allow for the regulation of the directions of development of the complex in the direction of the greatest efficiency.

Suchasni tendentsii reformuvannia pravovoho statusu fermerskykh hospodarstv v Ukraini

The article studies the legal problems of the functioning of farms in Ukraine as an independent legal institution of agrarian law. After the opening of the land market, the authors analyse the dynamics and statistics regarding the registration of the right of private ownership of farmland, which is on their balance sheet in the status of permanent use. In this vein, the norms of land and agrarian law and the legal mechanism for the realization of the acquisition of the right to private property through free privatization for farmers whose land is currently registered for permanent use are investigated. In addition, the article examines the newly adopted draft law № 6013 «On the peculiarities of the regulation of entrepreneurial activities of certain types of legal entities and their associations in the transition period» adopted in the first reading by the Verkhovna Rada and the explanatory note to it, which was developed by people’s deputies. This document is aimed at the destruction of cooperative legal relations in the conduct of agribusiness, by transforming all enterprises in Ukraine into corporate ones. In this regard, the authors express a number of comments that are unacceptable for farming in Ukraine. In this regard, the authors express a number of comments that are unacceptable for farming in Ukraine. In the scientific work, the scientists present legal and economic arguments, which claim that the above bill is devastating for small and medium-sized agribusiness in our country and does not correspond to the main legal dogmas of the European Green Course. According to the authors, the adoption of such a regulatory act will lead to the monopoly of agricultural holdings and the loss of the country’s agricultural potential both at the international and national levels. In this context, the foreign experience of farming operations in countries where corporate legal relations of business are a priority, for example, the United States of America and the European Union, is studied.

Do counter-sanctions in agriculture promote growth? Evidence from Russia

ABSTRACTThis study evaluates the effect of the Russian agri-food embargo introduced in 2014. The embargo was expected to boost growth in Russian agriculture due to an import substitution policy. To isolate its effect on the Russian agricultural growth rate from other factors like currency devaluation, overall economic stagnation and external financial sanctions, we used the difference-in-differences method applied to regional-level data (2006–2017). The results reveal a positive effect of the embargo on agricultural growth. However, this effect did not cause long-term growth and was observed in 2015–2016. An additional acceleration in the growth rate of agriculture gross value added by 5.1 pp occurred across all Russian regions in 2015. A more prolonged and considerable two-year effect is found for regions that are key Russian agricultural producers (+12.3 pp), regions specialized in cattle breeds and livestock systems (+11.5 pp) and regions with a high share of agricultural holdings (+7.5 pp). The possible reasons of the short-term effect from agri-food embargo are sudden nature of the policies and absence of long-term prospects that undermined potential investments. Another possible reason is a lack of a corresponding industrial policy to incentivize agricultural equipment production.