Pilot project for the transformation of reindeer husbandry in the Arctic zone of the Russian Federation

Abstract

Reindeer husbandry is the main activity of the indigenous peoples of the North, which largely determines the way of life of the local population in the Arctic zone of Russia. For several decades, the industry has been permanently degrading due to technological backwardness. The purpose of the study is to assess the feasibility and effectiveness of transferring reindeer husbandry from traditional grazing technologies to fence keeping technology, as well as organizing the slaughter and processing of reindeer products directly in the places where reindeer are kept. The object of the study was a pilot project implemented by a farmer’s cooperative in the “Omolon Tundra” of the Chukotka Autonomous District. The project consists of several closely interconnected components: the transfer of reindeer husbandry to fence keeping, the introduction of slaughter technologies, primary and deep processing of products. Since the components can be implemented all together within a single project or separately from each other, the study was conducted for three options. Option No. 1 (only switching to fence keeping) does not allow the projected investment and operating costs to be recouped within the project’s estimated period and has an overall negative effect. Option No. 2, which involves not only rearing reindeer, but also primary processing of products, ensures that all costs incurred are covered by the end of the calculation period and even generates a positive net effect. The highest efficiency is achieved when implementing option No. 3, which, in addition to the first two, includes deep processing of reindeer meat. Thus, the effect increases as processing deepens and reindeer herders receive higher added value. The results of the pilot project may become the subject of widespread dissemination in the Arctic zone of Russia.