УДК 631.15+631.115.11:338.43](477)

DOI: https://doi.org/10.36887/2415-8453-2019-2-4

Volodymyr LAGODIIENKO
Doctor of Economics, Professor,Head of the department marketing, business and trade, Odessa National Academy of Food Technologies
E-mail: volodymyr@wiktoriya.com
Nataliya LAGODIIENKO
Candidate of Economic Sciences, Associate Professor of the Department of Accounting and Auditing of Mykolaiv National Agrarian University

JEL classification: Q 12; R29

Abstract

Introduction. The lack of consensus among experts on the structure of producers in the agricultural sector necessitates an analysis of the role of rural households in the production.

The purpose of the article is to verify the hypothesis of the rural households’ indispensability as agricultural producers.

Results. The production structure of crop and livestock in the households in the dynamics is analyzed. Trends in the reduction of milk share were determined produced by households’ farms used for processing by the enterprises. On the basis of the dynamics analysis of the individual crops share in production, a critical dependence of their cultivation in rural households was determined: potatoes, vegetables, fruit and berry crops. The key role of rural households in securing domestic demand and food security is identified due to the economic disadvantage of exports, which is caused by high transaction costs. The dynamics analysis of land area and the heads average age of rural households allows us to determine the absence of «young» labor resources, which, combined with the aging of existing ones, is at risk of providing adequate staff in the future. The dynamics of the rural households’ share keeping animals and their number have been analyzed, which revealed a negative trend in the reduction of both the share and the livestock population. An extensive type of livestock in rural households has been identified, which causes low productivity. The level of agricultural production intensification in the rural household sector has been analyzed according to a number of indicators. For some of them (in terms of fertilizer application, use of locally grown varieties, breeding poultry, artificial insemination of animals and sanitary quality control of milk) the obtained values are extremely unsatisfactory.

Conclusions. Meat and dairy farming are currently facing a difficult situation: the reduction in milk production in households is, in absolute terms, greater than the similar increase among farmers, which makes this product deficit. In the domestic deficit market, bans of meat and the primary agricultural products sale will lead to a reduction in supply, price increases and a deterioration in the status of these producers, given the need for such a constraint due to a lack of quality parameters. The solution to this problem lies in the extension of the state program of livestock development directly in rural households.

The ways of solving the problem of unsatisfactory logistical support for the production and stocking of livestock products by small organizational forms are offered: agro leasing and organization of cooperative slaughter shops. It is advisable to support rural development in the form of educational activities based on integrated territorial communities.

Keywords: rural households, agricultural activity, factors of production, food security, livestock products, extensive type, low quality, social infrastructure, small equipment, cooperative movement.

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The article was received 07.02.2019