UOT:339.175
DIRECTIONS FOR EXPANDING THE SELF-SUFFICIENCY CAPACITIES OF THE
FOOD MARKET
ABBASOV VAHID HAJIBEY
Baku State University, professor Baku, Azerbaijan
EFENDIYEV MURAD NEMAT
Baku State University, master student Baku, Azerbaijan
Summary: The article deals with the issues of increasing the self-sufficiency of the food market. Here, the issues of the relationship between existing capabilities and potential production are examined. Attention is paid to increasing the efficiency of state policy in the field of expanding production in the domestic food market, and the selection of more efficient directions in this area is considered the main aspect. During the analysis, mathematical and statistical analysis methods are used more often, and the specific level of self-sufficiency is considered the main aspect.
Keywords: national economy, consumer market, supply and demand, economic regulation, economic growth, competitiveness
Considering that the food market is a physical trading space that allows the population to be provided with basic products in accordance with consumption norms, it is extremely important to improve its supply through local production. This situation is sometimes distinguished as an important indicator characterizing the stability of the national economy. Thus, one of the main indicators characterizing the economic stability of a country is determined by meeting the population's demand in accordance with consumption norms through local production [4, p.152]. The point that makes it necessary to meet the demand through local production in the food market is associated with the increase in the population in recent years and the increase in the variety of products included in the consumer basket arising from the requirements of the modern era. In order to ensure food security in our country and supply the population with food products in sufficient quantity and quality, various measures are being implemented according to the plan [3, p.87]. In this way, the most efficient methods of meeting local consumption are being identified. In order to reveal the current level of the current situation in the food market in our country, the level of self-sufficiency with basic agricultural products is given in Table 1. In this way, it is possible to more accurately determine how the supply of basic agricultural products in our country has changed over the years.
Table 1
Level of self-sufficiency in the country with the main types of agricultural products, __percentage____
In 2023
2015 2020 2021 2022 2023 compared to 2015
Total cereals (excluding rice) 64.5 68,1 73.7 69.0 70.5 +6.0
Wheat 54.8 57,1 61.5 56.7 60.4 +5.6
Legumes 69.3 60,3 56.4 61.5 62.8 -6.5
Potatoes 89.1 90,6 88.8 89.0 89.8 +0.7
All types of vegetables 103.4 110,4 106.6 106.8 107.2 +3.8
Tomatoes 113.7 131,0 121.1 119.8 118.9 +5.2
Mellows 100.0 100,8 102.6 103.2 103.2 +3.2
Fruits and berries 113.7 116,3 122.9 123.9 135.5 +21.8
Nuts and hazelnuts 132.5 138,0 136.5 137.0 139.7 +7.2
Level of self-sufficiency in livestock prot ucts, percent
All types of meat and meat products 94.7 84,5 86.4 86.0 85.3 -9.4
Beef and meat products 91.8 87,4 91.9 93.0 88.4 -3.4
Mutton and goat meat and meat products 99.3 97,3 98.2 97.0 94.9 -4.4
Poultry and meat products 98.6 79,0 79.6 78.5 81.7 -17.9
Milk and dairy products 84.3 83,5 84.8 83.3 84.0 +0.3
Fish and fish products 77.6 81,7 78.2 76.7 75.4 -2.2
Source: https://www.stat.gov.az/source/food_balances/
When we pay attention to the level of self-sufficiency in crop products, we see that in 2015 this limit for cereals was at the level of 64.5%. However, when we look at the reporting year, we see that the level of self-sufficiency in cereals increased by 6.0 points in 2023 compared to the base year and reached 70.5%. The increase in wheat production among cereals itself led to a 5.6 point increase in the level of self-sufficiency in 2023 compared to the base year, and our local self-sufficiency limit for wheat in the said year reached 60.4%. Among the changes in the level of self-sufficiency among crop products, the expansion of production of fruits and berries led to an increase of 21.8 points in 2023 compared to 2015. Among the areas that fully meet the demand for local self-sufficiency in crop products, fruit growing, fruit and berry production, including tomato production, are in the first place. The aforementioned areas have an important place in increasing the state budget revenues in the non-oil sector. In order to meet the demand for products in areas where the demand is not met or where the level of self-sufficiency is low, local demand has been met by importing those products. When looking at the changes in the level of self-sufficiency in recent years, the question arises as to what part of the demand is met with products in the livestock sector. When we look at the changes in the level of self-sufficiency with livestock products in the second subheading of the table, we see that while in 2015 the level of self-sufficiency with all types of livestock products in our country was 94.7%, in 2023 this indicator decreased by 9.4 points to 85.3%. When we look at the sectors separately, compared to 2015, in 2023, the self-sufficiency level for beef decreased by 3.4 points, for sheep and goat meat by 4.4 points, and for poultry meat by 17.9 points [5]. Among livestock products, the main point affecting the decrease in the self-sufficiency level of poultry industry products is the increase in production costs due to the increase in the price of the feed base. It is known that daily consumed products are not only related to plant and livestock products and that a certain part of them undergoes industrial processing. For this purpose, Table 2 includes the changes in the field of self-sufficiency with the main types of food products that have undergone industrial processing.
Table 2
Level of self-sufficiency in the main types of industrially processed food products,
percent
In 2023
2015 2020 2021 2022 2023 compared to 2015
Refined rice 9.6 14,2 17.7 17.6 20.4 +10.8
Flour (all types) 95.1 95,4 95.0 93.3 90.4 -4.7
Cocoa, chocolate and +10.6
sugar confectionery 17.8 30,7 34.2 30.6 27.2
Pasta products 53.2 42,3 47.2 64.3 73.2 +20.0
Vegetable oils 60.5 34,8 73.2 66.7 54.9 -5.6
Margarine 92.2 98,6 99.6 99.3 99.2 +7.0
Fruit and vegetable juices 114.1 130,5 128.0 118.6 138.6 +24.5
Butter 69.2 62,7 66.7 62.0 64.7 -4.5
All types of cheese 84.2 88,1 86.3 87.9 86.4 +2.2
Yogurt, cream, yoghurt, etc. products 94.1 94,5 93.1 93.4 94.3 +0.2
Sugar 192.9 69,4 100.7 103.9 84.4 -108.5
Tea 40.2 45,5 89.5 91.1 89.5 +49.3
Source: https://www.stat.gov.az/source/food_ balances/
Table 2 shows that the level of self-sufficiency in milled rice was 9.6% in 2015, increasing by 10.5 points in subsequent years to 20.4% in 2023. The reason for the low level of local rice production is related to the specialization of this product in only a certain part of the country. In addition, the high production costs of rice production have led to the importation of the product. It should also be noted that the significant increase in rice production in a short time has been solved by state support for this sector. Among the industrially produced products whose volume increased in 2023 compared to the base year, pasta (20 points), fruit and vegetable juices (24.5 points), and tea products (49.3 points) stand out in particular [6]. Among the products whose self-sufficiency level decreased compared to the base year, sugar products are in the first place. When compared with the base year, it becomes clear that in 2023, the level of self-sufficiency in sugar production decreased by approximately 108.5 points. This occurred due to a decrease in demand for the product in question in the world sugar production sector and an increase in production costs. Thus, it becomes clear that in fact, in a short period of time, various changes occurred in the volume of products produced by both crop farming, animal husbandry, and industrial methods, which ultimately affected both an increase and a decrease in the level of self-sufficiency in these products.
LITERATURE:
1. Law of the Republic of Azerbaijan "On Regulated Prices". Baku, May 30, 2003
2. ""On additional measures in the field of protecting the well-being of the population". Decree of ARNK, October 16, 2021
3. Aliyev I., National economy and problems of its development. Baku 2006, p.380
4. Gafarov K., Allahverdiyev H., Fundamentals of state regulation of the national economy. Baku 2006, p.534
5. http://www.economy.gov.az
6. http://www.azstat.org