Determinants of formation of agro-food chains in the environment of households of Ukraine

Author:

Paska I.1ORCID,Grinchuk Yu.1ORCID,Artіmonova I.1ORCID

Affiliation:

1. Bila Tserkva National Agrarian University, Bila Tserkva, Ukraine

Abstract

The article is devoted to the study of the determinants of the formation of agri-food chains in the households of Ukraine and the substantiation of the directions of their integration into competitive supply chains. It is argued that the developments in both scientific and practical aspects of creating conditions and prerequisites for the integration of PF in the competitiveness of the supply chain and increasing value added at each level of its participants are relevant. It is highlighted that local supply chains in foreign practice are considered as tools for generating income of the rural population, the implementation of the principles of sustainable development of rural areas, as well as considered as short, local and "smart chains". It is substantiated that it is the promotion of the development of local agricultural chains with the involvement of PF in domestic practice that will contribute to the sustainable development of rural areas, ensuring food security of the country. It is argued that in order to create preconditions and conditions for the development of rural households for crop production, it is necessary to develop measures to streamline sales channels and include them in competitive supply chains. It is established that a significant part of agricultural products grown by households is used for self-sufficiency of the family, feed for farm animals and poultry, and surplus products, especially in remote rural areas, are lost due to spoilage and unclaimed. It is clear that the informal relationship between the distribution and exchange of crop products produced in PF is not a tool to maximize the profits of their members. and, therefore, it is advisable to create favorable economic conditions for their inclusion in the supply chain of agricultural production. The characteristic properties of commodity parties, PF are systematized, namely: small volumes of production, low technological standards, limited production resources, which limits the opportunities to use the potential opportunities to return capital on a scale. It was found that a certain part of the grown crop products is sold by PF through a network of retail food markets, the sale of fruits and vegetables and potatoes is carried out through retail organizations, wholesale markets for agricultural products and trade intermediaries. Measures are proposed to integrate PF into value chains on the basis of creating a network of regional wholesale and distribution centers and organizing units for purchasing surplus agricultural products, deepening the development of agricultural cooperation. Key words: agricultural sector, employment, rural households, small farmers, competitive supply chains.

Publisher

The Bila Tserkva National Agrarian University

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