Економіка АПК (Apr 2024)
Organisational and economic support for the development of business enterprises in agriculture under martial law
Abstract
Entrepreneurs in agriculture ensure the potential of the country's food security and environmental protection. The study aims to substantiate the social, economic and conceptual foundations of the activities of business entities in agriculture under martial law. The research methodology is based on the provisions of system-functional analysis and institutional economic theory. Graphical, and abstract methods of systematisation of results were used. The study found that in 2023, more than 50 thousand business entities (92% of them were farms) produced products. 1.6 thousand agricultural businesses received loans worth 60.1 billion UAH. The author substantiates the need to keep the preferential financing of agricultural entrepreneurs under the “Affordable Loans 5-7-9%” programme as “survival loans” with the expansion of the limits to 130-140 million UAH and a reduction of the interest rate to 5%. The study determined that small business and family farming are the primary guarantors of employment. It is proved that in the period 2017-2022, 84.64% of the variation in net profit is explained by the variation in the level of agricultural products sold by business entities. The article substantiates the expediency of applying the organisational and economic principles of business development in wartime, developing comprehensive indicators for assessing the state of development of business structures in the agricultural sector of the economy and the impact of entrepreneurship on the development of rural areas. The indicators of development and efficiency of agricultural enterprises are characterised. The information and analytical material can be considered when developing regional programmes for the development of agrarian entrepreneurship
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