Uman NUH | today: 07/08/2024

Risks of social sustainability of agricultural production of Ukraine

Author(s) Mudrak R.P., Doctor of Economics, , Uman National University of Horticulture
Андрусяк Н. О., , ,
Category Economics
year 2024 issue Issue number 104. Part 2
pages 116-131 index UDK 330.131.7:316.422.42:338.43(477)
DOI 10.32782/2415-8240-2024-104-2-116-131 (Link)
Abstract The social sustainability of agricultural production should be understood as the sustainable development of rural areas and ensuring reliable physical access to food for the country's citizens. The number of the rural population of Ukraine is decreasing with steady dynamics. There is an increase in the average annual rate of rural population reduction in ten-year time periods: for 1991–2000. -0.53 %; for 2001–2010 -1.08 %; for 2011–2020 -1.23 %. The depopulation of rural areas of Ukraine occurs due to the natural reduction of their inhabitants and migration. This trend was significantly strengthened in connection with the resumption of large-scale russian military aggression on February 24, 2022. The continuation of the trend of reducing the number of the rural population carries the following risks: - Reduction of the labor potential of agricultural production and the emergence of a shortage of labor resources; - Reduction in the production of certain types of agricultural products, which are completely or to a large extent produced in households. This will lead to their shortage in the domestic market and increase the potential for food insecurity. The reasons for the decrease in the number of residents of rural areas of Ukraine can be divided into two groups - objective and subjective: - Objective: urbanization, decrease in labor demand as a result of the increase in labor productivity in agriculture; - Subjective: the decline of the social infrastructure of rural areas, the low level of wages in agriculture. Most of the problems related to the development of agricultural production and rural areas can be solved only within the framework of agrarian policy, the main instruments of which are budget and tax increases. However, in the conditions of russia's large-scale military aggression, most of the human, technical, organizational and financial resources are aimed at ensuring the survival of the Ukrainian nation and its state. This means that until the end of the Russian-Ukrainian war, we should not expect special changes in solving the problem of social sustainability of agricultural production. The key problem of the functioning of small forms of agribusiness and the support of the social infrastructure of rural areas is the lack of financial resources. In this context, grant funds from Ukraine's international partners are an extremely important source of money. For a wider involvement of rural communities in participation in grant competitions, it is necessary to carry out appropriate popularization, clarification, organizational and methodical assistance in the development and submission of applications for the competition, reporting in the event of victory and utilization of grant funds, etc.
Key words sustainable development, social component, agricultural production, rural areas, depopulation, risks, labor resources, deficit, food security, grants
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