Utenkova Karina, Doctor of Economics, Professor of the Department of Accounting and Audit of Kharkiv National Agrarian University named after V.V. Dokuchaiev, Kharkiv, Ukraine

ORCID ID: 0000-0001-9097-5431
e-mail: karinautenkova@gmail.com

State Support for the Agricultural Sector in Terms of Strengthening its Economic Security

Abstract. Introduction. The article is devoted to the problems of ensuring the appropriate level of state support for the agricultural sector in the context of strengthening its economic security.

The purpose of the article is to reveal the organizational principles of state support for the agricultural sector, analysis of its effectiveness.

Results. The importance of ensuring the appropriate level of state support for the agricultural sector in terms of strengthening and economic security further development has been substantiated. The forms of state support for the agricultural sector have been considered in the article. The programs with the help of which the state support for the agricultural sector is carried out today have been analyzed. The dynamics of state funding of individual programs to support domestic farmers has been studied. The period 2010-2019 there was a constant underfunding of the planned amounts of state support for the agricultural sector. The negative dynamics of activity indicators of the agricultural sector enterprises since 2015 has been revealed, which was caused by the imperfect mechanism of state industry support. The results of the program implementation of financial support of agricultural producers in partial compensation of machinery and equipment cost of domestic production have been studied, as well as the analysis of the programs of cheaper loans in the agricultural sector of Ukraine.

Conclusions. It has substantiated that one of the main tasks for today is to develop a normative document that will determine the key aspects for further strengthening the economic security of the agricultural sector and will be a part of Ukraine’s agricultural policy. Thus, the development of the Strategy for the economic security development of the agricultural sector will determine the main directions for further industry development and create an effective mechanism for managing the economic security of the agricultural sector. One of the key areas of strategy implementation should be: ensuring sufficient state support for the agricultural sector, its permanent implementation and affordable conditions, further expansion of state support, as well as increasing its volume to the necessary limits; as well as the formation of financial and credit support for the agricultural sector development on an institutional basis. 

Keywords: economic security; enterprise; agricultural sector; forms of state support; volumes of state support.

References:

1. Utenkova, K. O. (2020). Theoretical basis for the study of the mechanism of economic security of the agricultural sector. Ukrajinsjkyj zhurnal prykladnoji ekonomiky, 5(2), 327-335 [in Ukrainian].
2. Lupenko, Yu.O. & Mesel-Veseliak, V.Ya. (2012). Stratehichni napriamy rozvytku silskoho hospodarstva Ukraina na period do 2020 roku. Kyiv: Institute of Agrarian Economics [in Ukrainian].
3. Vakulenko, V. L. (2018). Ways to improve state regulation of agricultural production. Ekonomika i suspilstvo, 19, 110-115 [in Ukrainian].
4. Vasilieva, L. M. (2019). State support of the agricultural sector of the country’s economy in terms of functioning within the WTO as a basis for food security. Modern Economics, 17, 55–60 [in Ukrainian].
5. Verkhovna Rada of Ukraine (2019). About the State Budget of Ukraine for 2020 (Order No. 294-IX, November 14). Retrieved from http: https://zakon.rada.gov.ua/laws/show/294-IX [in Ukrainian].
6. Verkhovna Rada of Ukraine (2004). About the state support of agriculture of Ukraine. (Order No. 1877-IV, June 24). Retrieved from https://zakon.rada.gov.ua/laws/show/1877-15 [in Ukrainian].
7. Cabinet of Ministers of Ukraine (2015). The concept of the State target program for the development of the agricultural sector of the economy for the period up to 2022. (Decree No. 1437-р., December 30). Retrieved from https://zakon.rada.gov.ua/laws/show/1437-2015-%D1%80 [in Ukrainian].
8. Panuhnik, O. V. (2017). Directions and ways of transformation of state support of subjects of agrarian sphere of Ukraine. Aktualjni problemy innovacijnoji ekonomiky, 1, 5-10 [in Ukrainian].
9. Status of financing of agro-industrial complex support programs in 2019. Information and analytical portal of the AIC of Ukraine. Retrieved from https://agro.me.gov.ua/ua/pidtrimka/stan-finansuvannya-program-pidtrimki-apk-u-2019-roci [in Ukrainian].
10. State Statistics Service of Ukraine. Retrieved from http://www.ukrstat.gov.ua/ [in Ukrainian].
11. Government program to reduce the cost of agricultural machinery and equipment of domestic production in 2020. Information and analytical portal of the AIC of Ukraine. Retrieved from: https://agro.me.gov.ua/en/pidtrimka/kompensaciya-sg-tehniki [in Ukrainian].
12. Reports on the review of state budget expenditures in the field of agro-industrial complex in terms of financial support for measures in the agro-industrial complex by reducing loans. Information and analytical portal of the AIC of Ukraine. Retrieved from https://agro.me.gov.ua/en/pidtrimka/zviti-pro-oglyad-vitrat-derzhavnogo-byudzhetu-u-sferi-agropromislovogo-kompleksu-v-chastini-finansovoyi-pidtrimki-zahodiv-v-apk-shlyahom-zdeshevlennya-credit [in Ukrainian].