CONCEPTUAL PRINCIPLES FOR THE FUNCTIONING OF THE MARKET FOR PIG PRODUCTS

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CONCEPTUAL PRINCIPLES FOR THE FUNCTIONING OF THE MARKET FOR PIG PRODUCTS

Journal Title: Інноваційна економіка - Year 2017, Vol 72, Issue 11

Abstract

Purpose. The aim of the article is the development of theoretical positions and practical recommendations for the development and implementation of the conceptual principles of the functioning of the pig market. Methodology of research. The following methods and techniques are used to achieve this goal: monographic, statistical groupings, questionnaires, comparisons, abstract and logical – when determining the priority directions of increasing the volume of production of pig production and increasing the efficiency. Findings. It is proved that the development of the market for pig products will be aimed at increasing the level of population security in relation to affordable products, achieving the necessary level of profitability of pig farms, increasing budget revenues, the number of jobs, increasing incomes, and improving social living conditions of rural residents. It is determined that the priority directions of increasing the volume of production of pig products and increasing the efficiency are intensification of technological processes and fodder production, improvement of economic relations between commodity producers and consumers of pork, development of effective organizational and economic mechanism of regulation of the market for pig products. Originality. It is substantiated that state financial support should be provided both to highly specialized and small producers of pig products based on: the provision of preferential loans for the construction of new and modernization and technical re-equipment of existing complexes, the purchase of domestic breeding stock and technological equipment; financing the development of project documentation on the implementation of targeted programs and pilot projects on the basis of innovations with the participation of NAAS institutions or using the scheme of partnership of business and the state in financing innovation and investment projects (the share of the state not less than 30%); development of animal insurance programs involving the state; development of technical regulations and standards for pig production processes adapted to international requirements (HACCP); provision of financial support to newly established farms and production cooperatives, provided that they contain at least 10 sows; development of the activity of credit unions for short-term preferential lending. Practical value. The obtained results of the research confirm that the stable operation of the pig market is possible provided that the system of economic instruments is used, taking into account the experience of the leading countries, which include price and tax policy, financial and credit support of production, stimulation of investment activity, formation of favorable export and import policy for domestic commodity producers and organizations of effective insurance in the field of pig breeding, which will promote the motivation of market subjects to innovate development of the industry and improvement of the infrastructural provision of their activities.

Authors and Affiliations

Marat Ibatullin

Keywords

market state pigs demand supply price.

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EP ID EP325156
DOI -
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