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Problems and prospects of cooperative structures development in agricultural production

Author(s) Sakovska E.N., , , Uman National University of Horticulture
Category Economics
year 2014 issue Issue #84
pages 193-197 index UDK 338.436
Abstract The problems of small farms cooperation in the countryside in conditions of property relations and land property reform, effective programs implementation of population self-employment development, especially in rural areas, through cooperation, are considered. Cooperation in the agricultural sector of Ukraine has always been one of the most important ways to increase organizational productivity, return on fixed and current assets, employment and reduce of production cost. Development of agricultural cooperation promotes free entrepreneurship, stable production efficiency, protection of producers from market pressures of monopoly intermediary structures, which should be provided through the creation of joint efforts of agricultural service cooperatives. At the same time characteristic feature of the present state of agricultural sector development of the economy is the inadequate development of service cooperatives. Service cooperatives around the world have brought their effectiveness with respect to problem-solving, namely to carry out the sale of products on favorable terms and at affordable prices, to store together and remodel products, to provide material and technical resources at affordable prices and the possibility of buying on credit, to use effectively modern technology and to receive services at cost. Agricultural cooperatives are a new legal and institutional structure in the village, which has emerged as a natural reaction of rural producers to market environment realities. The increased interest of peasants to a new type of corporate structures requires proper information support, broad coverage, analysis of their activities and assessment of their effectiveness and foreign experience coverage. Consequently, the creation of cooperatives for agricultural producers gives the opportunity to specialize production and increase its concentration, to reduce material costs and as a result to ensure the growth of agricultural production.
Key words cooperation, organizational and legal forms of farm maintaining, employment, entrepreneurship
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