ІNVESTMENT AND INNOVATION TO ENSURE INCREASED COMPETITIVENESS OF FARMS

Abstract

The article analyzes the competitive environment of agricultural enterprises and the development of the main ways of its improvement. The analysis of the state of agriculture Cherkassy region shows that industry is one of the leading economy in the region, it accounts for about fifth of gross output, goods and services.In the structure of gross agricultural production leading position (70.2% of total production) traditionally owned plant production.Among the agricultural enterprises of the region take a larger share of private enterprises, whose number varies year to year in both upward and downward. By 2013 their share was 99% to the total. The share of state agricultural enterprises in 2001 tends to decrease in 2013 is less than 1% of the total. The main shares of agricultural enterprises are private enterprises with the highest number in the farming sector. To improve the competitive situation and efficiency of agricultural organizations, in our opinion, you first need to create an effective economic mechanism through government regulation and improvement of economic relations between the partners in agriculture. The main reason for the decrease in the production of certain agricultural products are: crop - reducing acreage and yield of crops, livestock - reducing the number and productivity of livestock and poultry. In the circumstances, this can be achieved only by improving pricing, taxation, credit policy for agricultural producers. State regulation of agricultural production should be based on economic factors: tax and credit benefits, price parity, manufacturers’ direct investment, etc. Public investment in the framework programs primarily should be directed at supporting and implementing innovative projects of individual enterprises and reconstruction of the fallen branches of agriculture.