UOT:339.13
CURRENT STATUS OF PRODUCTION AND CONSUMPTION OF MAIN TYPES
OF AGRICULTURAL PRODUCTS
SULEYMANOV FARIZ VIDADI
Azerbaijan State Agricultural University, Senior Lecturer Ganja, Azerbaijan
HACIYEV LALA VAHiD
Azerbaijan State Agricultural University, Master student Ganja, Azerbaijan
Summary: The purpose of the study on the economic assessment of the current state of production and consumption of the main types of agricultural products is to be informed about the current state ofproduction volumes for certain types ofproducts in our country. In this area, it is to determine the dynamics of increase and decrease for certain products. The main issue that is focused on when conducting the study is to identify what difficulties lie ahead here. It is to determine the duties and responsibilities of state and local business entities in the field of their elimination. During the study, theoretical and empirical research methods were used. More statistical analysis methods were included.
Keywords: agriculture, food products, production, consumption, market, meeting demand
As an important economic category, the main types of agricultural products have a very positive role in meeting the consumption demand of the population. It does not cover the demand of the population for all types of products, but products that are distinguished by their special weight in consumption and that comprise a significant part of daily consumption. In order to ensure food security for the main types of agricultural products, different countries benefit from different economic policies. Although one group of countries sets the goal of increasing local production as a target direction in ensuring the production of the main types of agricultural products for the population, others advocate increasing the volume of imported products along with increasing local production [1, p.135]. Usually, countries that choose the latter option take this position taking into account the principle of cost comparison known from economic theory. They advocate importing products that cost more than others relatively cheaply from other countries. However, experience shows that the dependence of countries on imports for a group of products, although in some cases promising certain advantages (in terms of costs), in some periods does not yield favorable results. When we pay attention to the impact of the globalization environment in recent years, we see that although certain countries have high self-sufficiency opportunities, the economic, political and military situations they face can create certain difficulties in the production of products in that area [3, p.116]. For this purpose, certain products imported to those countries are sometimes impossible or not in the previous volume. This creates certain risks for ensuring the food security of countries. In order to economically assess the current situation in the country for the main types of food products, various key economic indicators are reflected in Table 1.
Table 1
Current food balance for crop and livestock products in 2023, tons
Production Import Export Balance at the end of the year
Cereals (except rice), total 3,139,933 1,313,703 1,965 626,454
Wheat 1,792,419 1,175,341 - 401,296
Potatoes 1,010,517 186,704 71,402 649,234
All types of vegetables 1,825,592 58,453 180,369 318,354
Mellows 438,198 725 14,276 2,956
On ivestock products
Meat and meat
products, total 379,726 66,751 1, 153 12,141
beef and meat
products 152,787 20,207 100 4,030
mutton and goat meat
and meat products 88,946 4,793 1,256 1,344
Milk and dairy products total 2,283,991 474,632 39,964 44,449
Eggs, thousand pieces 2,188,154 1,339 48,545 42,531
Fish and fish 62,722 21,081 6,513 3,447
Source: https://www.stat.gov.az/source/food_balances/
It is clear from Table 1 that the production volume of grain products in our country in 2023 was
3.1 million tons. The total volume of grain products imported in that year was 1.3 million tons, which gives reason to say that the self-sufficiency level for grain products was approximately 70.0%. When we look at the balance at the end of the year, we see that our reserves constituted 14.1% of total grain products. This can be considered a very good limit in terms of protecting the country's food security. Potato production in the current year was approximately 1.0 million tons, which is an increase of 10.4% compared to the previous year. When we look at the reserves, we see that approximately 649.2 thousand tons of produced potatoes are kept in reserves. This gives us a positive impression that the demand for potato products is fully met and that existing reserves can be put up for sale. When we look at livestock products, we see that the absolute majority of the 379.7 thousand tons of meat produced in our country is consumed. The volume of reserves here was only 12.1 thousand tons, which is not enough. Therefore, the import of meat products whose demand is not met was inevitable. Thus, in 2023, another 667 thousand tons of meat products were imported into our country.
When paying attention to the structure of food demand in our country, in order to determine what changes have occurred in its consumption over different years, it is important to include the quantity of consumed products per capita in order to ensure the completeness of the analysis. For this purpose, it is important to pay attention to the change in the per capita consumption rate reflected in Table 2. First of all, let us note that when analyzing this table, comparisons will be made by comparing it with the data in our previous table. When we pay attention to the consumption rate in our country, we see that in 2015, the quantity of meat products consumed per capita in cut weight was 33 kg. In the same year, per capita meat production was 31 kg. Currently, per capita meat production in cut weight is 36 kg, while the quantity consumed is 42 kg, which indicates that approximately 85.7% of the per capita consumption is paid for by local production, while the remaining 14.3% is imported [5].
Table 1
Per capita consumption of major food products, in kilograms per year
2015 2019 2020 2021 2022
Meat and meat products 33 41 41 41 42
Milk and dairy products 246 246 258 253 259
Eggs, pcs 154 165 175 170 179
Fish and fish products 7.0 7.6 7.3 7.4 7.6
Cereal products 161 191 193 168 153
Potatoes 72 82 83 84 91
Vegetables and melon products 154 166 172 176 178
Fruits and grapes 83 92 99 95 97
Sugar 12.6 16.1 15.3 9.4 8.4
Source: https://www.stat.gov.az/source/food_balances/
While the production volume of dairy products in 2022 was 305 liters per person, the consumed volume was 259 liters. The excess consumption (46 liters) was exported, causing foreign currency to enter our country. In fact, since products produced in excess of consumption norms lead to a decrease in prices in the domestic market and negatively affect the interests of producers, it is considered more appropriate to export these products to the foreign market against the background of state support measures. Other information in the table is related to eggs, which are considered an important livestock product and are in high demand for daily consumption. Although egg consumption in our country was 179 pieces per person in 2022, the total production was 200 pieces per person. This year, excess consumption was exported from our country to Russian markets in order to meet the demand for eggs. When we look at fish consumption, another product, we can see that in 2022, fish production per person in our country was 5.9 kg and consumption was 7.6 kg. Despite the sufficient level of local production of fish, the main point affecting the presence of imports can be explained by the interest in consuming other species, arising from the preferences of fish consumers. When we look at the volume of production of potatoes reflected in the table, it can be seen that this volume per capita in 2022 was 106 kg, of which 91 kg was attracted to local consumption, and 14.1% was sold on the foreign market. As for the volume of local production of vegetables, which is another product, we observe that this quantity per capita is 181 kg. Approximately 178 kg of the total production of vegetables is consumed, which indicates that local self-sufficiency is fully achieved. When we pay attention to the dynamics of food products, we see that the demand for fruit has increased to a certain extent in recent years. Thus, the amount of fruit consumption in 2022 increased by 14 kg or 16.8% compared to 2015. Our analysis of fruits and berries shows that the consumption of fruit products in physical weight per capita in 2022 increased by 27 kg or 27.3% [4]. Fruit products produced in excess of consumption were either canned and supplied for the winter or sold in the CIS markets.
Thus, it is clear that the more important the food security policy is for the country, the more important food security is in the food market. Therefore, when assessing the structure of demand in the food market, it is important to anticipate situations arising from the requirements of food security.
LITERATURE:
1. Abbasov A.F., Food security. Baku 2007. 602 p
2. Abbasov i.D., Agriculture of Azerbaijan and the world. Baku 2013. 711 p
3. Cavadov N., The importance of local production in the functioning of the food market. ASAUi. Ganja 2019. 115-117 p
4. http://www.economy.gov.az/- Ministry of Economy of the Republic of Azerbaijan
5. http://www.azstat.org/- State Statistical Committee of the Republic of Azerbaijan