The Effectiveness of Developing Branches of the Agricultural Sector in Peasant (Farm) Enterprises

Abstract

The role of the farming sector in the production of agricultural products and food saw a gradual and steady increase in the modern development of the agricultural economy. According to the All-Russian Agricultural Census 2016, the number of peasant (farm) enterprises and individual entrepreneurs [P(F)E] amounted to174.6 thousand, while the area of land in their use amounted to 42 million hectares [4]. In 2003–2016, the volume of manufactured products increased 13.4 times, while its share among all agricultural products increased from 4.9% in 2003 to 12.5% in 2016. The share of farm products in total grain production in 2017 amounted to 29.1%, sugar beet—11.6%, and sunflower—31.5%. The production volume of these products increased by 3–4 times compared to 2003. However, as practice shows, a large volume of production does not always act as the primary condition for farm activity effectiveness. Thus, the authors tried to analyze the system of indicators characterizing the production efficiency of the main types of agricultural products in the P(F)E under economic conditions of a particular Russian region. During the study, the authors used analytical methods, statistical analysis, and expert assessment. The research structure includes several stages. The initial stage aims to identify the most demanded agricultural branches among farmers. The research proceeds to evaluate the efficiency of the production of the corresponding products. It analyzes the effective use of the primary production resources of P(F)Es within this combination of branches and assesses the financial and economic activities of P(F)Es. Except for a few regions, Russian P(F)Es specialize in crop production [13, 14]. The profitability of farms still needs to be increased even if the production resources are used efficiently. This development proves the high dependence of modern P(F)Es on the external economic conditions of their existence (the possibility of lending, sales of products, and relations with the state).