Economic assessment of the production potential of medicinal plants in Ukraine

Abstract

The article is devoted to the study of the production potential of medicinal plant growing in Ukraine. The role and significance of the production of medicinal plants in a pandemic and climate crisis are revealed, attention is focused on the economic feasibility of their production. The profitability, profitability, profitability and cost of their production are analyzed on the example of the most widespread in Ukraine cultivated medicinal plants and the expediency of its development is substantiated. It was found that the main deterrent to the development of medicinal plants is the high production costs in the first year after the start of production. The general and economic advantages, and also features of production of medicinal plants, in comparison with other crops, in particular grain, are defined; a comparison of average sales prices of cereals and legumes, vegetables, fruits and berries and medicinal crops. The economic feasibility of their processing is demonstrated on the example of value chains in the context of individual medicinal plants. Attention is paid to the most common ways of selling medicinal plants, their advantages and disadvantages are identified. Based on the performed economic assessment of the production potential of medicinal crop production in Ukraine, a set of financial and economic instruments has been identified, the introduction of which is necessary for the development of the industry.