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УДК / UDC 338.2
PECULIARITIES OF THE STATE SUPPORT OF BUSINESS ENTITIES IN THE AGRARIAN SECTOR OF THE RUSSIAN ECONOMY
ОСОБЕННОСТИ ГОСУДАРСТВЕННОЙ ПОДДЕРЖКИ ХОЗЯЙСТВУЮЩИХ СУБЪЕКТОВ В АГРАРНОМ СЕКТОРЕ ЭКОНОМИКИ РОССИИ
Savkin V.I.*, Doctor of Economic Sciences, Professor Савкин В.И.*, доктор экономических наук, профессор Parshutina I.G., Doctor of Economic Sciences, Professor, Leading Specialist of the
Institute for Rural Development and Additional Education Паршутина И. Г., доктор экономических наук, профессор, ведущий специалист института развития сельских территорий и дополнительного образования Federal State Budgetary Educational Establishment of Higher Education "Orel State Agrarian University named after N.V. Parakhin", Orel, Russia ФГБОУ ВО «Орловский государственный аграрный университет имени Н.В. Парахина», Орел, Россия *E-mail: [email protected]
Achievement of national food security in the Russian Federation for key food products is largely due to the targeted and systematic state support of agriculture. However, state support not always provides sufficient and balanced needs of certain categories of agricultural producers in the financial resources. The purpose of the work was to study the processes in the agrarian sector of the economy that provide state support for business entities and develop proposals for adjustment and neutralizing excessive differentiation in terms of its level. The object of the research is state support as an objective necessity for business entities in the agrarian sector of the economy. The methodological basis of the study is based on the synthesis of various approaches within the framework of the implementation of the state support for environmental development in the agrarian sector of the economy. The study used systems analysis method, deduction and analog approach. The scientific novelty is determining identified problem of equal access of the business entities to state support in the agrarian sector of the economy, as well as formed proposals for strengthening food security and sustainable development of rural areas. Nowadays, large agrarian formations in obtaining state financial resources prevail. The state agrarian policy should be based on ensuring the right of all producers to fair access to the means of production and resources, which will contribute to the intensification of entrepreneurial activity, the creation of favorable conditions for the functioning and civilized inter-farm relations, as well as the normalization of the social sphere in the countryside. The practical significance of the study is proved by the need to improve the state agrarian policy aimed at eliminating contradictions in economy and in society, i.e. formation of equality of opportunities for business entities.
Key words: agrarian sector of the economy, government support, small businesses, sustainable development of rural areas.
Достижение национальной продовольственной безопасности в Российской Федерации по ключевым продуктам питания во многом обусловлено системной и планомерной поддержкой сельского хозяйства со стороны государства. Однако, не всегда, государственная поддержка обеспечивает достаточные и сбалансированные потребностей отдельных категорий сельхозтоваропроизводителей в финансовых ресурсах. Цель работы состояла в изучении процессов в аграрном секторе экономики обеспечивающих государственную поддержку хозяйствующих субъектов и разработка предложений по выравниванию и нейтрализации чрезмерной дифференциации по ее уровню. Объектом исследования является государственная поддержка как объективная необходимостью для субъектов хозяйствования в агарном секторе экономики. Методологическая база исследования основывается на синтезе различных подходов, в рамках реализации государственной поддержки экологического развития в аграрном
секторе экономики. В исследовании использованы методы системного анализа, дедукция и аналогия. Научная новизна состоит в определении обозначенной проблемы равного доступа хозяйствующих субъектов к государственной поддержке в аграрном секторе экономики, а также сформированных предложениях по укрепление продовольственной безопасности и устойчивого развития сельских территорий. На сегодня наблюдается доминирование крупных аграрных формирований при получении государственных финансовых ресурсов. Государственная аграрная политика должна строиться на обеспечении права всех производителей на справедливый доступ к средствам производства и ресурсам, что будет способствовать активизации предпринимательской деятельности, создании благоприятных условий функционирования и цивилизованных межхозяйственных взаимоотношений, а также нормализации социальной сферы на селе. Практическая значимость исследования состоит в доказанной необходимости совершенствования государственной аграрной политики направленной на устранение противоречий в экономике и в обществе, т.е. формирование равенства возможностей для субъектов хозяйствования. Ключевые слова: агарный сектор экономики, государственная поддержка, малые формы хозяйствования, устойчивое развитие сельских территорий.
Introduction. The transformations of the modern economic system are aimed at ensuring formation of such a model of management that guarantees the sustainable development of the society, which fully applies to the agricultural sector, as the environment-forming segment of the national economy. Only in the recent years, thanks to the agro-industrial complex, national food security for key food products has been achieved. To a great extent it became possible due to the targeted and systematic state support for agriculture. However, state support does not always provide the necessary and balanced level of needs of certain categories of agricultural producers, which leads to the negative structural changes in the economy, both at the state level and its individual subjects [1-3]. At the same time, world processes are characterized by inconsistency and ambiguity. In such conditions, it is necessary not only to respond to the current situation, but also to see the future, focus on long-term goals, assess possible risks and threats [4, 5].
Conditions, materials and methods. The author adhered to the methodology of systems analysis using general scientific methods: analysis, synthesis, abstraction, economic and statistical methods, which made it possible to form a modern idea of equal opportunities for business entities with access to state support in the agrarian sector of the economy. The object of the research is state support as an objective necessity for business entities in the agrarian sector of the economy.
The purpose of the work was to study the processes in the agrarian sector of the economy that provide state support to business entities and develop proposals that ensure equality of opportunities for agricultural producers, as well as adjust and neutralize their excessive differentiation in terms of its level. The objectives of the study included: considering the issues of modern development of the agro-industrial complex; giving proposals on the formation of equal opportunities for business entities in the agrarian sector of the economy while receiving state support.
Scientific novelty is determined by the identified problem of equal access of business entities to state support in the agrarian sector of the economy, as well as formed proposals to strengthen food security and sustainable development of rural areas.
The practical significance of the study is in applying the results by the governing bodies of the agrarian sector of the economy in the formation of an adequate state agrarian policy that ensures the sustainable development of agricultural production and rural areas.
Results and discussion. Agriculture in the developed countries is a classic example of a perfect competitive industry, still possessing a number of peculiarities. Firstly, agricultural production is carried out by a large number of economic entities,
each of which, as a rule, does not have a sufficient volume of supply to influence prices, and the produced good is poorly diversified. Secondly, strong dependence of agricultural production on natural conditions makes the agrarian sector an area of high risky capital investment. Third, due to poor product differentiability, sellers have little opportunity to raise prices. Unfortunately, the price parity for agricultural products and means of production in the agrarian sector of the economy changes year on year all over the world not in favor of the agricultural sector. In this regard, agriculture finds itself cramped between two trends. On the one hand, it is insignificant increase in the revenue of the agrarian sector. On the other hand, prices for material resources necessary for organizing production are ahead of the prices for agricultural products; there is a so-called price disparity. All this becomes the main reason for the fall in income of agricultural producers. It would seem that due to market laws, this fall should be the reason for the reduction of economic entities in this industry. However, in practice, it does not happen, which is primarily due to the specificity of the agrarian sector - the way of life (attachment to the foundations of life and work).
A widely known statement of the firm theory "an entrepreneur always strives to maximize his profit" [6, 7] is not entirely inapplicable for this sector of the economy. In this regard, there is a need for state regulation (support) of this sector of the economy. However, due to the specificity of this industry, two complex tasks can be distinguished with different vectors of mutual influence on the effectiveness of the state support. Firstly, it is need to ensure high indicators that guarantee the state food independence. Secondly, it is ensuring equal access of business entities to mechanisms of the state support in priority areas of production.
It is indicative that while maintaining the area of agricultural land in the Russian Federation at the level of 222.0 million hectares over the past few years, the number of agricultural organizations decreased from 129.4 thousand in 2017 to 102.9 thousand in 2019. At the same time, the turnover of organizations in agriculture (in actual prices) increased from 26.4 billion rubles in 2016 to 3418.0 billion rubles in 2019 (Table). This trend indicates the working consolidation of economic entities, with an increase in the volume of production.
Table - Some indicators of the agricultural production in the Russian Federation, 2015-2019
Years
2015 2016 2017 2018 2019
Total amount of land 1712,5 1712,5 1712,5 1712,5 1712,5
including farm land 220,2 222,1 222,0 222,0 222,0
Number of organizations (by the end of t he year), housand 129,4 115,4 102,9
Organization sales, billion rubles 2640,5 2720,4 3160,7 3418,0
Agricultural products by entity category, billion rubles
Entities of all categories 4794,6 5112,3 5109,5 5348,8 5907,9
Agricultural organizations 2588,6 2818,4 2818,5 3022,1 3438,5
Population households 1654,9 1659,2 1655,4 1656,7 1665,7
Peasant (farmer) households 551,1 634,7 635,6 670,0 803,7
Entities of all categories 4794,6 5112,3 5109,5 5348,8 5907,9
Source: Formed by the author based on the data o the [8]
According to the Ministry of Agriculture of the Russian Federation, in 2019, the threshold values of food independence of the Russian Federation were reached or exceeded: for grain - 155.5%, for sugar - 125.4%, for vegetable oil - 175.9%, for meat and meat products - 96,7%. The self-sufficiency remains below the threshold values of the Doctrine of Food Security: for milk and dairy products - 84.4%, for vegetables and melons - 88.4%, for fruits and berries - 39.5% [8].
When considering the volume of agricultural production in the context of categories of subjects, we can see its greatest growth over the past five years in the agricultural organizations and peasant (farmer) households. On the contrary, in the private farm households, the volume of production increased insignificantly. The volume of agricultural products produced in peasant (farm) households and population households is about half of the industry's production. The share of peasant (farmer) households (PFH) in the agricultural production increased over the past 5 years. Thus, the volume of products manufactured in peasant farms in 2015 amounted to 11.5% of the total production, and in 2019 the share of peasant farms increased to 13.6%. At the same time, the growth rate of production in peasant farms outstrips the growth rate of production in the agricultural organizations (AO). According to Rosstat, in 2019 the index of agricultural production in the peasant farms was 106.6% (including crop production - 109.3%, livestock - 103.4%), while the index of agricultural production in the agricultural enterprises at the end of 2019 amounted to 105.8% [9].
In our opinion, special nature of the agrarian production due to the need for the state support is the main deterrent of the agricultural production growth in small forms of management, as well as reduction in their number.
Support for small businesses and agricultural cooperation in 2019 was carried out within the framework of the official project "Development of branches of the agro-industrial complex, providing accelerated import substitution of basic agricultural products, raw materials and food", at the expense of a "single" subsidy. The specified official project includes activities for the provision of grants for: support of young-gun farmers; development of family livestock farms; support of agricultural consumer cooperatives for the development of the material and technical base [9].
In 2019, 10.3 billion rubles or 25.4% of 40.62 billion rubles of federal funds of the unified subsidy were allocated for grant measures for the development of peasant farms and agricultural consumer cooperatives (ACC), and for the reimbursement of the part of the expenses for interest payment on loan agreements concluded by small businesses before December 31, 2016 it was 0.25 billion rubles [8]. Compared to the volume of the budgetary allocations provided by the constituent entities of the Russian Federation in 2018 for the implementation of measures aimed at supporting small businesses and agricultural cooperation, the volume of budgetary allocations in 2019 has been reduced by 0.77 billion rubles, or 7%. (fig. 1.).
grant support of cooperatives
development of family livestock farms
support of young-gun farmers
Total
Figure 1 - Expenses of the Federal budget of the Russian Federation for small
businesses support1
1 Formed by the author based on the data of the [9]
Nowadays, budget financing is carried out in the form of non performing subsidies through the provision of privileged loans. However, as practice shows, the forms of direct state support do not have sufficient flexibility and efficiency. According to the Ministry of Agriculture of the Russian Federation, in 2017 only 27.5 billion rubles of the total amount of investment loans were allocated to small businesses, and 19 billion rubles were allocated for short-term loans (Fig. 2.) The situation is not in favor of small businesses.
600
400
200
others
small businesses
399 ■ systemic organizations
170,6 -219
77,3
investment loans short-term loans
Figure 2 - Amounts of the agreed privileged loans in 2017, billion rubles2
Thus, the modern model of the agrarian economy implies a significant role of the state support for business entities; at the same time, today there is a peculiar combination of egalitarianism and hierarchism, which manifests itself in the dominance of large agrarian formations in obtaining federal and regional financial resources. In our opinion, the state agrarian policy should be based on ensuring the right of all producers to fair access to the means of production and resources, including public finance, which will contribute to the activation of entrepreneurial activity, the creation of favorable conditions for the functioning and civilized inter-farm relations, as well as the normalization of the social sphere in the countryside.
Conclusions. In the condition of ensuring equal access to the government support instruments there should be the main priority based on economic, organizational and institutional principles, which in turn determine: economic growth, freedom and efficiency; formation and reproduction of effective business entities; regulation, stability and predictability of government support instruments. The state should perform these most important functions on the basis of the implementation of an adequate agrarian policy ensuring the elimination of contradictions in the economy and in society, i.e. equality of opportunity for business entities.
REFERENCES
1. Denisov V.I. Unused Opportunities for State Support of Agricultural Labor in Russia // Economy of the region. 2018. Vol. 14. No. 3. P. 1003-1013.
2. Shelkovnikov S.A., Lubkova E.M. Organizational and economic mechanism for the development of the agro-industrial complex of an industrial region // Agricultural Economics of Russia. 2021. No. 2. P. 42-45.
3. Savkin V.I. Features and principles of state support for small businesses in the agrarian sector of the Russian economy // Bulletin of Agrarian Science. 2020. No. 6 (87). P. 137-142.
4. The official website of the Moscow Economic Forum // URL: https://me-forum.ru/.
5. Kelemetov E.M., Yakubovich E.N. World experience of state support for agricultural producers // In the collection: Problems of the development of the national economy in the context of global innovative transformations. Materials of the All-Russian Scientific and Practical Conference. Ed. Kazieva Zh.N. 2018. P. 55-72.
6. Cyert R., Hedrick C. Theory of the firm: Past, present, and future: An interpretation // J. Econ. Ut. 1972. No. 2. P. 399.
7. Demin A.A. The firm as an economic institution of a market economy // Economic theory on the threshold of the XXI century / Ed. Yu.M. Osipova. M.: "Lawyer". 2012. T. 2. P. 537-542.
8. Federal State Statistics Service // URL: https://rosstat.gov.ru/enterprise_economy.
9. National report on the progress and results of the implementation in 2019 of the State program for the development of agriculture and regulation of markets for agricultural products, raw materials and food // URL: https://mcx.gov.ru/activity/state-support/programs/program-2013-2020.
! Formed by the author based on the data of the Ministry of Agriculture of the Russian Federation
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