CC BY
8ECONOMIC SCIENCES
UDC: 338.43
Samborska O.
Candidate of Economic Sciences, associate professor, Department of administrative management and alternative energy sources Vinnytsia National Agrarian University, Vinnytsia, Ukraine Kolesnik T.
Candidate of Economic Sciences, associate professor, Department of administrative management and alternative energy sources Vinnytsia National Agrarian University, Vinnytsia, Ukraine
Pronko L.
Candidate of Economic Sciences, associate professor, Department of administrative management and alternative energy sources Vinnytsia National Agrarian University, Vinnytsia, Ukraine DOI: 10.24412/2520-6990-2021-17104-4-15 RESEARCH OF INFLUNCE OF PRODUCTION ACTIVITY OF THE ENTERPRISES ON
EFFICIENCY OF MANAGEMENT
Abstract.
The current state ofthe economy with the deterioration of economic results, transformational transformations is characterized by the lack of a system of management of the dynamics of growth of economic indicators due to the transition to innovative sources of economic development, which activates the issue of providing such changes in controlled character. The economic development of the region concerns not only financial revenues to local budgets, but also an increase in the overall welfare of the population, through prism of priority directions of development. The path to improving the life and economic development of the Vinnytsia region is possible taking into account transformational processes, but achieving this involves solving the complex of goals and tasks facing management bodies.
The current state, trends and problems of reproduction of the economic potential of sustainable development of Ukraine and its regions are investigated. An analysis of the ineffectiveness of enterprises of certain types of activities of the region's economy is carried out. The formation of the system of indicators of the development of regional socio-economic systems is proposed and a systematic and integrated assessment of the economic potential of the development of the Vinnytsia region is carried out. Considerable attention is bought to assess the economic potential of the region, prospects for modernization ofsocial infrastructure and the formation ofsustainable economic growth in the region. The basic and strategic directions of rationalization of resource use spheres are formulated on the basis of assessment of minerals, improving the management of the agricultural complex of the region as the main determinants of the effective use of territorial development of regional complexes. The SWOT-analysis of the Vinnytsia region has been conducted, the strengths and weaknesses of development and economic output of the region on cross-border markets and the world arena are characterized. The possibilities of the region are outlined, which will contribute to further competitiveness of the region at the level of other economic regions of Ukraine. Provided threats of development that arise under the influence of external forces that interfere with rapid and sustainable growth. The main problems and priority directions of development of the economy of Vinnytsia region are determined.
Keywords: development, efficiency, complex, potential, region, growth.
Introduction.
Economic development of the region is an important component of state development. Achieving higher results of economic and social indicators of development of the region, compared to previous years and determines the essence of economic growth. The development of each region within the country differs from each other, and the level of differentiation is quite significant in terms of public economic policy. Finding ways to reduce economic inequality between regions
and stimulate the development of the poorest of them, justification of new methods of managing the economic development of priority industries and the rational use of resource potential is the goal of economic regional development.
Results and discussion.
Vinnytsia region is a region of industry and agriculture, with a research and production and mineral resource base. The territorial-administrative structure of Vinnytsia region was formed on February 27, 1932.
The territory occupied by the region is 26.5 thousand km2, which is 4.4 % of the total area of Ukraine. The population is 1.529 million people (as of January 1, 2021), including the urban population is 51.4 % and rural 48.6 %. There are 6 cities of regional significance, 12 cities of district significance, 6 districts, 29 urbantype settlements, 1328 rural settlements, 46 united territorial communities (42 of them are active). (Main Department of Statistics, 2019). The region is located in the central part of the right bank of Ukraine, along the middle reaches of the Southern Bug River and on the left bank of the middle reaches of the Dniester River. A total of 3.6 thousand rivers with a total length of 11.8 thousand km, they belong to the basins of the Southern Bug, Dniester and Dnieper, 74 reservoirs have been created on the rivers, 4 thousand ponds, the total area of which is about 32 thousand hectares. The length of the region from west to east is 196 km, from north to south - 204 km, it borders with Chernivtsi, Khmelny-tsky, Kirovohrad, Zhytomyr, Kyiv, Cherkasy, Odessa regions.
The climate of Vinnytsia region is continental with mild winters and warm humid summers, average annual temperature in summer + 18.6 ° C, + 20.5 ° C, in winter -4 ° C, -6 ° C. The annual rainfall is 520-590 mm, of which about 80% falls on the warm months of the year.
The region is located in the forest-steppe zone, within the Podil and Prydniprovska region. According to the State Service of Ukraine for Geodesy, Cartography and Cadastre, the indicator of agricultural area is over 76 % and is 2014 thousand hectares, of which almost 50 % - chernozem. According to the size of agricultural lands, the region ranks 9th among the regions of Ukraine. The total area of forests and forest areas reaches 379.9 thousand hectares.
There are about 500 deposits with 18 types of various minerals, dozens of peat deposits, as well as unique deposits of granite, kaolin and fluorite. Healing springs of mineral water have been developed and are operating, in particular with a high content of radon in the city of Hmilnyk, mineral waters called "Myrhorodska" have been discovered. This region is rich in kaolin deposits, which make up 44 % of Ukraine's total resources. Kaolin-enriched wastes are quartz sands that can be used in construction, glass, silicon carbide and fine ceramics, water treatment, and other industries. The region has unique decorative properties of granites, which make it
Number of enterprises in
possible to produce facing slabs, window sills, monuments and other products, and the raw material potential of construction is represented by: rubble, stones, carbonate rocks for local binders, raw materials for coarse ceramics, sands, expanded clay raw materials.
Vinnytsia region has an extensive network of railways (1074.1 km) and highways of national and local importance (9518.5 km). According to the coefficient of transitivity of the territory, Vinnytsia region ranks first in Ukraine. The density of public roads is one of the largest in Ukraine and is 359 km per 1 thousand km2. 3 main gas pipelines pass through the territory of the region: Urengoy - Pomary - Uzhhorod, Soyuz, Dashava - Kyiv, 9.3 thousand km of gas distribution networks are used, as well as the Odessa-Brody oil pipeline.
According to the results of economic development of districts in 2018, Vinnytsia region entered the top five, taking fourth place. There are almost 70,000 business entities on its territory, of which 80 % are natural persons-entrepreneurs. As of 1 January 2020, there were 10,294 legal entities operating in the region, of which 94% were small enterprises (of which 79.6 % were micro-enterprises), 5.9% were medium-sized enterprises and 0.1% were large enterprises. 1). According to the table we see that during the analyzed period the total number of operating enterprises in the region increased by 6.0 %. The share of medium-sized enterprises increased by 12.6 percentage points. and was equal to 606, the share of small businesses also has a positive trend and reached 9673 units.
In the general structure of existing enterprises, the largest share at the end of the reporting period is small - 94 %, which is almost 2 percentage points. higher than in 2010. The share of medium-sized enterprises during the analyzed period decreased by 2 percentage points and reached 5.9 %. The share of large enterprises was only 0.1 % (Figure 1).
In modern conditions, the concept of market capitalization, which in essence determines the market price on the stock exchange of registered shares of the enterprise or all its shares, this is the value that can significantly exceed the value of assets on the balance sheet of the enterprise. This is due to the fact that not all assets that have value are included in the balance sheet of the enterprise, such as skilled workers, business reputation, demand for products, markets (Pronko, et.al. 2021).
Table 1
Enterprise size Years
2010 2015 2017 2018 2019
Number of enterprises, units 7982 9442 9187 9713 10294
Large enterprises 9 12 10 12 15
% to total 0,1 0,1 0,1 0,1 0,1
Medium enterprises, units 623 462 471 538 606
% to total enterprises 7,8 4,9 5,1 5,6 5,9
small enterprises, units 7350 8968 8706 9163 9673
% to the total number of enterprises 92,1 95,0 94,8 94,3 94,0
of which micro-enterprises, units 5933 7653 7329 7758 8189
% to the total number of enterprises 74,3 81,1 79,8 79,9 79,6
A significant share in the total number of operating enterprises are small enterprises in Teplytskiy (97.5%), Pohrebyshche (97%), Shargorod, Khmilny-
Per 10,000 people in 2019, there were 62 small enterprises, according to this indicator, the region ranked 13 th among the regions of Ukraine, ahead of Zhytomyr and Khmelnytsky regions. Among the cities and districts of the region, this indicator is above the average in Teplyk district - 102 enterprises and in Vinnytsia -115. In Yampil (19) and Trostyanets districts there were only 19 and 32 enterprises per 10 thousand people, respectively, which is much lower than the regional average equal.
By types of economic activity, the largest share of small enterprises are enterprises engaged in real estate transactions - 99.4 %, information and telecommunications (98.5 %), 98.4 % - among enterprises of professional, scientific and technical activities, temporary accommodation and food, the provision of other services (98.9 %), as well as small businesses include all enterprises of art, sports, entertainment and recreation. The smallest share is in small enterprises of health care and social assistance (52.8 %), in industry (87.7 %), transport, warehousing, postal and courier activities (87.9 %).
The share of small and large enterprises in sales is 26.2 % and 26.3 %, respectively. During the analyzed period, the share of sold products (goods, services) of small enterprises in total sales decreased by 1.7 percentage points, which negatively affected the rating indicators of the region among the regions of Ukraine - 13 th place in 2019, 10th place - in 2018. The share of inco me from sales of products (goods and services) of medium-sized enterprises in 2019 increased by almost 1 percentage point, which provided the region with 14th place among the regions of Ukraine.
The total income (revenue) received from the sale of products, goods and services during the analyzed period increased from small enterprises by 6.4 percentage points, medium-sized enterprises - by 14.9 percentage points, large enterprises - by 16.3 percentage points,
96%, in Yampilsky, Kalynivsky and Tyvrivsky districts - less than 90%.
which indicates the positive dynamics of business growth in Vinnytsia region.
Among the districts of Vinnytsia region, the predominant share is the income received from the sale of products, goods and services by small enterprises in Pohrebyshche district - 80.7%, more than 75 % - Cher-nivtsi district, a little more than 50 % - in Pishchansky, Shargorod, Orativ, Chechelnytsky, Trostyanetsky and Bershad districts. At the same time, in Tulchyn, Kryzhopil, Haisyn, Illinets districts the share of sales of goods and services by small enterprises in the total sales is less than 15 %. (Main Department of Statistics, 2019).
Despite the fact that more than 80 % of business entities are natural persons-entrepreneurs, the share of employees in sole proprietorships is smaller than their share in enterprises-legal entities (Table 2). Thus, in the reporting year, the enterprises of the region employed 176 thousand people, which is 11 % more than the base period.
A component of the system of social protection is the social guarantees of the state - the realization by the state of the constitutional rights of citizens to receive the most important social goods and services. They receive a profession, income, employment, continuous retraining and professional growth of workers to maintain their competition in the labor market, protection of fundamental human rights. Among the main social guarantees - the right of citizens to choose a place of work and professional activity, the minimum wage and pension. (Samborska O., 2020).
The structure of employment of regional employees in entrepreneurial activities in 2019, about 55 % of employees are involved in the activities of medium-sized enterprises. The share of employees employed in the products created by small enterprises is 30.7 %, which is 1.6 percentage points. lower than in 2010. The share of employees in large enterprises has a positive trend during the analyzed period (+4.4 percentage points) and is equal to 14.5 %.
tsky, Kryzhopilskiy, Zhmerynsky districts - more than
5,90% 1,00%
'.''.''.'■V'W
10%
□ Small businesses
Medium enterprises
« Large enterprises
Figure 1. The structure of enterprises of Vinnytsia region in 2019, (%)
Table 2
Number of employees at the enterprises of the region
Number of employees, persons Years Deviation +,-
2010 2015 2017 2018 2019
large enterprises 16951 23689 19076 24312 25482 8531
% to the total 9,9 16,1 13,3 15,3 14,5
medium-sized enterprises 99040 72532 72967 82454 96421 -26190
% to the total number of enterprises 57,8 49,2 50,9 52,0 54,8
Small businesses 55371 51193 51375 51775 54116 1255
% to the total number of enterprises 32,3 34,7 35,8 32,7 30,7
Of these micro enterprises 19911 20157 19878 20428 25388 5477
% to the total number of enterprises 11,6 13,7 13,9 12,9 14,4
Total 171362 147414 143418 158541 176019 46570
The positive trend of increasing sales from business activities of enterprises of various sizes and forms of management contributed to the growth of the region's share in the overall rating of Ukraine's economy (Table 3). The volume of sold industrial products in the
The share of Vinnytsia region in
reporting year reached a little more than 3 %, which is 1 percentage point. above the base year. A significant place in the structure of the country's economy, Vinnytsia region occupies agricultural products - 8.5 % in 2019.
Table 3
Indicators Area share, %
2014 2015 2016 2017 2018 2019
Gross regional product (in actual prices) 2,8 3,0 3,1 3,1 3,19 3,2
Volume of industrial products sold 2,2 3,0 3,0 3,1 3,1 3,1
Production of agricultural products 7,9 7,6 8,4 8,2 8,4 8,5
Scope of construction work performed 2,3 2,7 3,4 3,0 4,1 4,2
Capital investment 2,6 2,7 2,3 2,6 3,0 3,8
Volume of exports of goods and services 1,4 2,2 2,7 2,8 3,0 3,0
Volume of imports of goods and services 0,8 0,7 0,8 0,8 1,0 1,1
Volume of retail turnover 2,3 2,4 2,2 2,1 2,2 2,9
The share of the volume of construction work performed increased by almost 2 percentage points and was equal to 4.1 %, the share of capital investment in the reporting year reached 3.4 %, which is 1.2 percentage points exceeds the value of the base period. The amount of revenues from exports and imports of goods and services in the Vinnytsia region also increased and provided a share in the structure of the country's economy in 2019 of 3.0 and 1.0 %, respectively.
In general, the gross regional product in the general structure of revenues of the country's economy during the analyzed period increased by 0.3 percentage points. and amounted to 3.1 %.
Among the regions of Ukraine, the agricultural sector of the region in 2019 ranks first in terms of gross agricultural output per capita, in terms of production of cereals and legumes, sugar beets, potatoes, meat and milk, the number of cows and poultry (Tabl. 4). The average yield of grain crops at the enterprises of Vinnytsia region is 47 hundredweight/hectare. The highest yield in 2020 was obtained at the enterprises of Zhmerynsky, Kalynivsky, Litynsky, Nemyrivsky, Tulchynsky, Tyvrivsky and Barsky districts - 57.5-63.7 centner / ha.
Table 4
Production of grain and leguminous crops at enterprises of the Vinnytsia region as of 01. 12. 2020
Cities of regional significance Harvested hectares Production volume (gross fee) in the initially credited mass, hectares Yield, from 1 ha of the collected area, hectares
Vinnytsia region 585482,6 29402683,2 50,2
Vinnytsia - - -
Zhmerinka 1634,0 79240,0 48,5
Kazatin - - -
Ladyzhin - - -
Mogilev-Podilsky - - -
Khmelnik - - -
districts
Barsky 20545,8 1181173,3 57,5
Bershadsky 31408,3 1226197,2 39,0
Vinnytsia region 16715,8 1195263,9 71,5
Gaisinsky district 25561,6 1103215,5 43,2
Zhmerinsky 25386,9 1549373,3 61,0
Ilinetsky 21640,9 1038439,0 48,0
Kalinovsky 25459,7 1581323,6 62,1
Kazatinsky district 28994,8 1646478,9 56,8
Kryzhopolsky 19337,0 759590,6 39,3
Lipovetsky 28186,0 1485061,7 52,7
Litinsky district 17452.4 1111013,3 63,7
Mogilev-Podilsky 19140,7 727787,7 38,0
Murovanokurilovets 17524,9 742048,2 42,3
Nemirovsky 25340,7 1509988,2 59,6
Oratovsky 24012,0 1120673,3 46,7
Peschansky 12136,6 393070,0 32,4
Pogrebishchensky 35160,4 1390588,7 39,6
Teplitsky 20237,8 848201,0 41,9
Tyvrovsky 16447,8 964740,8 58,7
Tomashpolsky 18806,2 972525,7 51,7
Trostyanetsky 15756,9 813913,9 51,7
Tulchinsky district 20806,1 1193180,5 57,3
Khmelnitsky 22067,4 1577083,9 71,5
Chernivtsi 17144,1 613169,0 35,8
Chechelnitsky 14935,7 625199,3 41,9
Shargorodsky 24183,0 1236294,0 51,1
Yampolsky 19459,0 717848,7 36,9
The livestock industry at the enterprises of the re- 653 thousand tons of animal meat, 728.4 thousand tons gion during the analyzed period also has a positive of milk and 868.5 million eggs. trend (Table 5). In 2020, the farms received a total of
Table 5
Production of main types of livestock products by categories^ of farms in January-December 2020
Products January -December 2020 % by January -December 2019
Farms of all categories
Meat (sold for slaughter of farm animals in live weight), thousand tons 653,0 102,9
Milk, thousand tons 728,4 95,4
Eggs, millions 868,5 93,0
Enterprise
Meat (sold for slaughter of farm animals in live weight), thousand tons 606,5 103,6
Milk, thousand tons 212,3 104,8
Eggs, millions 369,7 91,9
Farms
Meat (sold for slaughter of farm animals in live weight), thousand tons 46,5 94,9
Milk, thousand tons 516,1 92,0
Eggs, millions 498,8 93,9
In the context of individual categories of enterprises, we note that the share of volume of animal meat production in 2020 increased by 3.6 %, milk - almost 5 % and equaled 606.5 and 212.3 thousand tons.
Vinnytsia region uses an innovative-investment model of development. In 2017, 24 enterprises in the region have implemented innovative activities and provided an innovative product worth more than UAH 454.7 million.
An important indicator characterizing the level of development of the region's economy is the gross re-
gional product (GRP), the size of which during the analyzed period increased more than 2.5 times and amounted to 111 498 million UAH. (Figure 2).
The growth of the indicated indicator is due to an increase in it in the gross domestic product of Ukraine. At the end of the reporting year, the gross domestic product was 3.1 %, which is 0.3 percentage points above the basic period.
Such changes contributed to an increase in the amount of gross regionally product of Vinnytsia region per person (Figure 3).
2019 piK 2018 piK 2017 piK 2016 piK 2015 piK 2014 piK
■t— 111500 111498
92427
74411
59871
20000
40000
43990 60000
80000
100000
120000
Figure 2. Gross regional product of Vinnytsia region 2014-2019, UAH million.
For the period of 2014-2018, the gross regional product based on one person increased more than 2.5 times and amounted to 71 104 hryvnias. After 2018, we observe a sharp decrease in the volume of the gross regional product (the rate of change of 190 %). Thus, at the end of 2020, per person received 37569 hryvnia of the gross regional product of the region.
80000
60000
40000
20000
The main factors that influenced the growth of gross value added are an increase in the volume of industrial production, the production of consumer goods, providing various types of services and the production of gross agricultural products.
71104
37569
0
2014 2015 2016 2017 2018 2019 2020
Fig. 3. Gross regional product of the Vinnytsia region per person in 2014 -2020, (UAH.)
The growth of the share of industrial products in the total volume of aircraft is 3.2 percentage points. Influence was to increase the volumes of the processing industry (from 13.3 % to 16.6 %). At the same time, it should be noted the decline in 2017 by the share of agriculture, forestry and fisheries (by 0.6. Compared to 2014 and 3.7 - from 2016).
The share of transport services, information and telecommunication services increased by 1.3 percentage points and 0.8 percentage points. Accordingly, when reducing the share of all services by 2.6 percentage points. The volume of realized industrial products by type of activity in 2014-2020 in Table 6.
Table 6
Volume of realized industrial products by type of activity
Indicators Volume of industrial products sold (goods, services) without VAT and excise duty
thousands of hryvnias in % of all products sold
Industry 78081297,6 100
Mining and processing industry 65952594,2 84,5
Mining and quarrying 1813716,9 2,3
Processing industry 64138877,3 82,2
Production of food, beverages, tobacco 49819782,5 63,8
Production of clothing, leather, and leather goods 284504,2 0,4
Production of wood products, paper production and printing activities 3402549,8 4,4
Chemical production 2078490,7 2,7
Production of pharmaceutical products and pharmaceutical preparations 1119770,1 1,4
Production of rubber and plastic products 1738133,4 2,2
Metallurgical production, production of finished metal products 2123204,7 2,7
Mechanical engineering, except for the repair and installation of machines 2552866,2 3,3
Supply of electricity, gas, and air conditioning 11513180,8 14,7
Water supply, sewerage, waste management 615522,6 0,8
0
Vinnytsia region has a multi-sectoral industrial Among the industrial production branches, the
complex (Figure 4), more than 1.3 thousand enterprises main place is occupied by the food industry (61.9 %) of different forms of ownership, which produce and and supplying electricity, gas, steam and air condi-
process industrial products operate in the region. tioned air (17.1 %).
» Other industries -■ Mining industry ■■ Engineering
Pharmaceutical industry ■ Woodworking industry Food Industry
c Chemical industry ■ Metallurgical industry
Source: [1]
Figure 4. Structure of industrial production of Vinnytsia region, (%)
Other industries occupy 0.4 % (light industry) to 3.8 % (woodworking industry, production of finished metal products) from the total volume of sales. The share of the chemical and pharmaceutical industry in the overall structure is only 2 %, indicating a low level of development in the region.
The development of the region's industrial sector is confirmed by the index of industrial production (Table 7), which by the end of 2019 was 113.5 %, which is almost 10 percentage points higher than in 2015.
Table 7
Industrial Product Index of Vinnytsia Oblast 2015-2019, % _
Years Deviation in %
2015 2016 2017 2018 2019
Ukraine 95,7 102,8 100,4 101,6 98,2 0,97
Vinnytsia region 104,0 105,3 108,2 99,2 113,5 0,91
Place of the region among the regions of Ukraine 2 13 7 15 1 -
The national rating in terms of sales of products indicates the intensification of the work of industrial enterprises in the Vinnytsia region. Thus, due to the creation of new industries, the share of Vinnytsia in the national volume of sales in recent years has a positive tendency to change. In 2019, the Vinnytsia region became a leader in the volumes of sales of industrial enterprises.
In December 2020, compared to the previous month and December 2019, index of industrial products amounted to 101.0 % and 118.9 %, respectively. Industrial production in 2020 increased compared to the previous year by 5.4 percentage points, due to the growth of sales volumes in the extractive industry and the development of quarries (the rate of change is + 20 percentage points).
Negative is a decrease in the volume of industrial production in the processing industry (4.9 percentage points), due to the fall in textile production, the production of clothing, leather, leather products and other materials, in the manufacture of wood products, paper production and printing activity - by 4.7, in the production of food products, beverages and tobacco products - by 1.0 percentage points.
In the structure of sales of industrial products, the largest share - 83.0 % accounted for processing indus-
try from which: 64.6 % - is the production of food products, drinks, 4.4 % - manufacturing of wood products, paper production and printing activity, 3,3 %-machine building, except for repair and mounting machines and equipment, 2.8 % - metallurgical production, production of finished metal products, except machines and equipment, 2.7 % - production of chemicals and chemical products, 2,3% - production Rubber and plastic products, other non-metallic mineral products, 1.4% -for the production of basic pharmaceutical products and pharmaceuticals, 0.4% - on textile production, production of clothing, leather, leather products and other materials. Enterprises for the production and supply of electricity, gas, steam and air conditioned air are sold 13.9% of products.
Positive dynamics is observed in the implementation of industrial products per person. So in 2019, excluding inflationary processes, this figure increased by 1.3 times compared to 2015 (Table 8).
Table 8
The volume of realized industrial products in 2015-2019 per person, UAH.
Indicators Years Deflection %, +,-
2015 2016 2011 2018 2019
Volume of industrial products sold per person 28113,9 33550,1 42344,0 49110,4 35251,1 +1,3
Thus, the turnover of retail trade, which includes data on retail trade of enterprises (legal entities and in-
dividual entrepreneurs), the main type of economic activity of which is retail, in 2020 amounted to UAH 33702.2 million, which is 4.4 % more than in 2019.
120 100 80 60 40 20 0
V106,2
""81,9 85,4
■93,2 91,5-90,8 91,5 91,5 91,1-91
92
61 2020
8
2021
10
11
12
Figure 5. Index of industrial products of Vinnytsia region, %
Retail trade turnover of retail (legal entities) in 2020 amounted to 19835.6 million UAH, which is 6.8 percentage points exceeds the scope of 2019 (Main statistics management in Vinnytsia region, 2019).
The volume of foreign trade in goods in January-November 2020 amounted to $ 1777.2 million. At the same time, exports and imports were, respectively,
Structure of foreign trade
1273.3 and 503.9 million dollars, indicating a positive tendency in the development of trading operations. The balance of foreign trade in goods of enterprises of the Vinnytsia region with foreign partners is 769.4 million dollars. During 2020, foreign trade operations Vinnytsia region was carried out with partners from 145 countries (Tab. 9).
Table 9
City Export Import Balance
Total thousand US dollars in % by January 2020 in % of total volume thousand US dollars in % by January 2020 in % of total volume
Austria 192,6 12 0,3 1091,1 16,1 2,8 -905,1
Azerbaijan 211,5 31,1 0,3 - - - 211,5
Belgium 191,5 129,4 1,3 201,2 155,4 0,5 590,2
Belarus 2463,1 31 3,9 1658,3 130,9 4,2 804,8
Denmark 186,0 521,1 0,3 201,6 319,1 0,5 -15,6
Palestine 441,0 113,9 0,1 - - - 441,0
Egypt 818,8 10,5 1,3 402,3 151,5 1,0 416,5
Israel 1311,1 10,9 2,1 109,0 431,8 0,3 1208,0
India 222,2 1,1 0,4 101,4 103,1 0,3 114,8
Spain 2658,9 23,0 4,2 619,9 95,3 1,6 2039,0
Italy 1183,1 14,2 1,9 681,4 61,9 1,1 501,1
Kazakhstan 452,4 61,6 0,1 191,8 45 0,5 254,6
Cambodia - - - 513,0 232,2 1,3 -513,0
Canada 233,9 132,3 0,4 106,1 66,9 0,3 121,8
China 10095,4 59,6 16,0 1205,6 124,1 18,4 2889,8
Kenya 340,5 - 0,5 - - - 340,5
Kuwait 411,3 492,6 0,8 - - - 411,3
Lithuania 2994,3 341,4 4,8 166,1 62,1 0,4 2828,2
Netherlands 519,1 5,2 0,8 352,6 54,4 0,9 161,1
Germany 3230,6 141,0 5,1 5315,4 138,1 13,1 -2144,8
Poland 8000,4 61,1 12,1 4653,3 125,0 11,9 3341,0
USA 1518,3 42,1 2,5 3991,2 163,0 10,2 -2418,9
Turkey 3331,4 28,2 5,3 851,0 131,5 2,2 2480,4
Source: Constructed by the authors according to the Main Department of Statistics in Vinnytsia region
1
2
3
4
5
9
The main export articles are fats and oils of animal or vegetable origin (29.7 % of the total regional export volume), vegetable products (27.7 %), ready-made food products (14.5 %), wood and wood products (8,0 %), machinery, equipment and mechanisms, electrical equipment (5.9 %) and living animals, animal products (5.4 %).
In total imports of goods are dominated by machines, equipment and mechanisms, electrical equipment, chemical products and related industries, ground
200 -
Positive balance amounted to 23851.8 thousand dollars (in January 2020 it is also positive - 140 848.8 thousand dollars). The coefficient of coverage of imports was 1.61 (in January 2020 - 5,06).
Foreign trade operations were held with partners from 90 countries, the balance to the European Union countries in January 2021 - 9899.6 thousand US dollars, exports for the amount of $ 29,788.7 thousand, and imports - 19889.2 thousand US dollars (Table 9).
The largest consumers of goods in January 2021 amounting to 2658.9 thousand US dollars was Spain, which reaches 4.2 % to the total volume. No less exports received from the export of goods to Belarus, namely, in the amount of 2463.1 thousand dollars. Among the leaders of the countries with which exports of goods in January 2021 are: China (10095.4 thousand US dollars), Poland (8000.4 thousand dollars), Turkey (3331.4 thousand US dollars).
In 2020, the transport complex of the region was transported 20.5 million tons. Cargo, which is significantly less than 5.3 % against 2019. The cargo turnover decreased by 11.2 % and amounted to 23.0 billion tons, among reasons forbidden to import certain goods to the territory of the European Union.
Railway transported 15.1 million tons of cargo, which is 7.5 % less than 2019. Motor Transport of the region (taking into account transportation executed by individual entrepreneurs) in 2020 carried 5428.9 thousand tons, which is 1.3 % more than the previous year.
transport, polymeric materials, plastics and articles of them, wood and products from it, non-precious metals and products from them, textile materials and textile products, vegetable products, ready-made foods occupy 86.8%.
In January 2021, the export of goods amounted to 63016.7 thousand dollars, or 35.9 % compared to January 2020, imports - 39164.9 thousand dollars (113.0 %). The export index of goods to the European Union countries in the month of 2020 is filed in Figure 6.
94,7
In 2020, passenger transport was transported by 104.9 million passengers, which is 50% less than the 2019 indicator and passenger work with a volume of 2718.8 million passes. km, which has decreased by 59.7 % compared to 2019. Railway transported 3.9 million passengers in 2020, which is 60.3 % less than the 2019 figure.
Automobile transport services (taking into account transportation performed by individual entrepreneurs) in 2020 took 49.3 million passengers, which is 35.7 % less than 2019.
The electric transport area was transported by 51.8 million passengers, the total number of transports compared to 2019 decreased by 42 %. All types of transportation and their indicators are less than previous years for one reason, through the pandemic of the viral disease COVID - 19.
Another important indicators of the region's development indicating the prospects for economic growth is the index of agricultural production. According to preliminary calculations in 2020, the agricultural index compared to 2019 amounted to 83.9 %, including 81.4 % in enterprises, in households - 91.2 %, Figure 7.
In the farms of all categories in 2020, 653.0 thousand tons of meat were produced (realization of farm animals in a living mass), which is 2.9 % more than 2019, of which enterprises produced 606.5 thousand tons (more 3.6 %), Table 10.
150 100 50 0
S y S / * ✓ * / / y / /
2020 2021
Figure 6. Exports of goods to countries of the world, (thousand dollars) Source: Constructed by the authors according to the Main Department of Statistics in Vinnytsia region
140 120 100 80 60 40 20 0
132,5
103,8
120
94,4
94,8 94,7 93,5
101,1
Enterprises
'/A
Households
94,5
Farms of all categories
. Agricultural products
% Crop products
^ Livestock products
Figure 7. Index of agricultural products of Vinnytsia region in 2019, Source: Constructed by the authors according to the Main Department of Statistics in Vinnytsia region [1]
As of January 1, 2021, the total number of cattle was 200.5 thousand (by 9.2% less, against January 2020), including cows - 120.8 thousand (4% less), pigs
- 239.8 thousand (decrease by 2.4%), sheep and goats -28.2 thousand (by 8.1% less), poultry of all kinds - 33.6 million (on 10.4% less).
Table 10
Number of farm animals in 2020
Animal category Thousands of heads In % by 2019
Farms of all categories
Cattle 218,6 95,8
Including cows 125,1 95,7
Pigs 241,2 100,1
Sheep and goats 30,5 93,6
Domestic bird 37764,2 101,1
Enterprises
Cattle 79,6 98,5
Including cows 30,5 100,7
Pigs 101,3 104,2
Sheep and goats 3,4 109,7
Domestic bird 29447,6 103
Population farms
Cattle 139 94,3
Including cows 94,6 94,2
Pigs 139,9 97,3
Sheep and goats 27,1 91,9
Domestic bird 8316,6 94,7
Assessment of the results of animal husbandry indicates a positive trend in the development of the region in this area. Farms of all forms of ownership raised 218.6 thousand heads of cattle in 2020, which is 95.8% compared to 2019. No less volumes of poultry cultivation in households of the region's population - 8316.6 thousand, which is 94.7% more than in 2019.
The average selling price of milk in Ukraine in 2018 was 7602.4 UAH / ton, which is 368.4 UAH / ton more than in 2014. According to the regions, as of 04.01.2019, the purchase price of class 1 milk without VAT increased by 2% and amounted to UAH 8.71 / kg, the wholesale and sale price of milk with a fat content of 2.5% increased by 8% and amounted to UAH 6.08 / kg., butter - 9 % - UAH 129.76 / kg.
However, purchase prices for Class II milk excluding VAT decreased and amounted to UAH 6.93 / kg, for Class II milk from households - UAH 5.06 / kg. According to the Ministry of Finance of Ukraine, the consumer price index of milk in January 2019 was 100.20 %. (Pronko et.al. 2020).
The volume of attracted direct investment (share capital) from the world's countries in the regional economy as of December 31, 2019 amounted to 236.7 million dollars this is 6.4 % more than the volume of investments at the beginning of the year, and per person of the population amounted to 153.2 dollars.
A 54 countries of the world invested capital, the vast majority of investments (83.7% of the total) came from the European Union - 198.2 million dollars, from other countries - 38.5 million dollars (16.3 %). The five main investor countries, which account for 74.2 % of total direct investment, include: Poland - 68.9 million dollars, Austria - 32.0 million dollars, Cyprus - 31.7 million dollars, France - 27.4 million dollars, Germany - 15.7 million dollars.
The top five investor countries, which account for 74.2% of total direct investment, include: Poland - 68.9 million dollars, Austria - 32.0 million dollars, Cyprus -31.7 million dollars., France-27.4 million dollars, Germany - 15.7 million dollars.
Industrial enterprises remain the most attractive for foreign investors, with 1 186.1 million concentrated dollars (78.6%) of the total volume of direct investment
in the region, including processing - 167.8 million dollars mining and quarrying - 16.7 million dollars. On the enterprises of forest and fish agriculture the 19 million dollars of the USA (to the 8,0 total value) of direct investments are accumulated, in organizations that car-
ryout operations with the real estate is 9,3 million dollars (3,9 that operate in the field of administrative and auxiliary service is 8,5 million dollars (3,6 wholesale and retail trade; to repair of vehicles and motor cycles is 4,0 million dollars (1,7 %).
Table 11
SWOT - analysis of Vinnytsia region
Strengths Weaknesses
Favorable transport and geographical position and high transitivity of the territory In the structure of gross regional product, industries with low added value have the largest share
Leadership of the region in the agricultural sector and processing of agricultural products Low level of capacity of communities to effectively and properly manage communal property, provide services to the population and ensure the availability of households and social institutions to the Internet
Developed infrastructure for business support and investment attraction High level of depreciation of fixed assets in the economy of the region
Active positioning of the region in the field of international interregional and cross-border cooperation Insufficiently realized potential for attracting investments from all sources of financing
High development of entrepreneurial traditions and competence There are territorial disparities in the settlement of the territory
High potential for development of the extractive industry. Imperfection of transport provision of the population and road infrastructure
High potential for the development of recreational services. High level of plowing, degradation of agricultural lands
Opportunities Threats
Stimulation of export and innovation activities at the national level Population migration to more urbanized settlements and abroad
Increasing the investment attractiveness of the country, increasing opportunities to attract investment resources. The growing global economic crisis, declining demand for some export-oriented goods
Raising funds for regional development projects Constant changes in the legal framework due to the implementation of structural reforms and political changes at the national level
Increasing the financial capacity of communities, Increasing the responsibility of communities and expenditures on socio-economic development as a result of the implementation of administrative-territorial reform
Development of information technologies, introduction of e-government, informatization of public authorities. Low level of environmental awareness and responsibility of the population and businesses
Source: (Samborska O., 2020)
A significant share (60.5%) of foreign capital is concentrated in the city of Vinnytsia - 143.2 million US dollars. Also, significant amounts of foreign investment came to Kozyatyn district - 21.9 million dollars (9.3%), Vinnytsia - 9.4 million dollars (4.0%), Barsky - 8.7 million dollars (3.7%), Tulchinsky - 7.6 million dollars (3.2%), Tyvrivsky - 6.7 million dollars (2.8 %), Kali-novsky - 5.8 million dollars (2.4 %). Among other districts of Vinnytsia region where the most direct investments in terms of volume are the cities of Ladyzhyn, Kozyatyn and Lypovets district.
To develop the economic development of the region, it is necessary to consider the strengths and weaknesses that in the future will accelerate or have a negative impact on the implementation of the optimal scenario of economic growth in Vinnytsia.
Selective structural and technological policies can be the most important tool in this process. Prospects for dynamic growth of industrial production and increased exports of high-level goods directly depend on the pace of technological modernization of the economy. Only the transition to higher standards of world experience
can lead to progress in accelerating the competitiveness of the national economy (Kaletnik G., et. al.2020).
Conclusion.
The future scenario of Vinnytsia oblast development should be the implementation of the development program (Development Strategy) through full use of the existing potential, support of the oblast's strengths by internal and external opportunities.
Necessary state directions of realization of development of area are:
- increasing public confidence in state and local authorities;
- intensification of foreign trade cooperation, namely medium-sized businesses with countries, which will increase access of local goods to European and world markets;
- reduction of long-term loan rates, which will promote the development of small and medium-sized businesses and improve the financial capacity of enterprises.
One of the priorities of the region's development will be the rapid completion of administrative-territorial reform and regional development, including human resources development, creation of new high-tech knowledge-intensive and innovative enterprises in both industrial and agricultural sectors of the economy. Successful decentralization reform will contribute to the optimization of state and local authorities, the formation of financially viable territorial communities, the improvement of their social infrastructure, and the creation of new jobs in rural areas.
By developing the infrastructure of medical services, including through SMART - specialization, implementation of e-government, local communities are expanding the range of medical services on-line, thus creating a comfortable environment for the population. An important area of intensification of investment flows in the region is the development, promotion and implementation of investment and investment innovation projects.
One of the main tasks of the authorities was, is and will continue to support business development and production policy aimed at creating new innovative industries, increasing the competitiveness of enterprises, which will create new jobs.
Thus, in 2014-2019, 139 investment projects were implemented in the region, thanks to which 7,635 new jobs were created. In order to help the community and business to realize their innovative potential in the city of Vinnytsia created a municipal innovation and technology park "Crystal".
Investment and innovation infrastructure will be concentrated mainly in the city of Vinnytsia, where there is already an existing base: "Vinnytsia Industrial Park", Industrial Park "Vinnytsia Refrigeration Cluster" and Industrial Park "Winter Sport". Realization of the potential of the transport-geographical position of Vinnytsia region will take place through the development of infrastructure (transport, warehousing, logistics) within the international transport corridors: Go Highway - Odessa-Gdansk highway; Cretan №3; Europe-Asia and the transformation of Vinnytsia International Airport into the main transport hub of Podillya.
Given the strong resource base, favorable climatic conditions and a large number of productive agricultural lands, the region has every opportunity to take a dominant position in the development of priority for enterprises in the agricultural sector - organic production. The products of the enterprises of the organic sector of the region have potential and real opportunities to meet the growing public demand for environmentally friendly products.
Carrying out active educational work, introduction of the mechanism of stimulation of measures on energy
saving, creation of necessary conditions for introduction of energy efficient technologies, and also modernization of existing capacities with use of alternative energy and maintenance of transition to 100 % of renewable energy sources promotes increase of energy efficiency and reduction of energy consumption.
Growing interest of the population of Ukraine in domestic tourism (resort-recreational, ecological, rural green tourism) at a favorable geographical and logistical location with the available transport connection for freight and passenger transportation with the countries of the world, and also in the presence of the developed network of medical and sanatorium-resort institutions, including at the national level, helped open new opportunities for the development of resort areas and ethnic tourism in the region, creating conditions for the transformation of this area into a highly profitable industry, which was a significant factor in accelerating economic growth, employment, filling budgets at all levels.
Thus, the use of most opportunities and all the strengths of Vinnytsia region, provided the leveling or neutralization of the threats identified in the SWOT -analysis.
References
1. Hvesuk M.A. Socio-economic potential of sustainable development of Ukraine and its regions. National Report. Kiev. DU APSR NAS of Ukraine. 2014. 776 p.
2. Kaletnik G., Lutkovska S. Innovative Environmental Strategy for Sustainable Development. European Journal of Sustainable Development. 2020. Volume 9. № 2. P. 89-98.
3. Main Department of Statistics in Vinnytsia region. Official site. Access Mode: https://www.vn.ukr-stat.gov.ua/index.php/statistic-infor-mation/arhiv2019. html#
4. Pronko L., Kolesnik T., Samborska O. Essence and Concept of capitalization of enterprises its types and methods of evaluation. European Journal of Sustainable Development. 2021. Volume 10. № 1. P. 551-560.
5. Pronko L., Kolesnik T., Samborska O. Ukraine Dairy Market: State and Prospects of Development. Considering World Experience. European Journal of Sustainable Development. 2020. Volume 9. № 1. P. 243 - 252.
6. Samborska O. Efficiency of Social Protection of the Rural Population in the United Territorial Community. European Journal of Sustainable Development. 2020. Volume 9. № 3. P. 343 - 348.
7. Strategy of balanced regional development of the Vinnytsia region for the period up to 2027. Access Mode: File: /// C: /Users/User/Desktop/phd/istrat-egy%202027%20Vinno.pdf.
