I. Dunin, Academician
International Academy of informatics Moscow. Russian Federation.
The present situation in the agrarian sector of the Russian Federation can be characterized by the following figures:
- the relative number of agricultural employers is about 30 %;
- more than l/3 of the total national product is produced by the agricultural organizations.
The analysis of the agrarian reform and of the socio-economic situation in the agricultural sector of Russia shows that there is a real basis for polyeconomic principles in this area and each enterprise has opportunity to determine the structure and value of its production.
During the agrarian transformations agricultural organizations, cooperatives and farmel-s have got 93 % of the agricultural land. 17 thousand new co-operatives and unions, 10 thousand collective and state farms, 279 thousand private farms were created.
The process of reforming was realized without taking into account the specific features of the Russian agrarian sector and the previous organizational structure was destroyed too quickly. From this point of view, our agrarian sector of economy has lost state regulations of the economic processes, as well as the vertical integration and state guarantee on the realization of the agricultural product.
All this has influenced the effectiveness of agricultural activity. During the previous four years the value of the agrarian output decreased more than 25 %.
One of the most important problems for the small private farms is technical equipment, a lot of farmers just use primitive technology and tools, because the prices for modem technological lines are too high.
After four years of our economic reforms we can realize that at the moment a most dramatic situation exists in animal husbandry. From 1985 up to 1995 our agricultural sector has lost 13.2 million head of cattle, i.e. 2.7 million of dairy cows, 12.5 million of pigs, and 23.4 million of sheep and goats. In 1995 the number of cows has reached the level of 1966; pigs, + that of 1968 sheep, the level of 1950.
At the same time meat production from private farms has increased from 39 % in 1993 to 42 % in 1994; milk production increased from 35 % to 39 %. However, total meat and milk production has dramatically decreased.
For a long period Russian animal husbandry was based on creating large farms. Now they are in the poorest conditions, because their activity depends on the quality and quantity of concentrates sold by specialized plants. According to the calculations of specialists of the Russian Ministry of Agriculture and Food the loses of agriculture amounted to 28700 million rubles in 1994; this negative balance is very high because there are a lot of difficulties in the relations between agricultural producers and enterprises for milk and meat transformation.
Therefore, one of the most important goals of the reform, i.e.: to create conditions for increasing agricultural producers profit has not been reached.
The prices of concentrates has increased so much and many large farms are not supplied a sufficient quantity: The farmers have to buy concentrates for 280-300 thousand rubles per ton (the cost per ton of concentrates was 200 rubles in 1990). Of course, it lead to a situation, such that the concentrates are not in great demand; therefore, the output of the plants specialized in their manufacture decreased from 36.7 million tons in 1990 down to 15 million tons in 1994 year.
The true market economy requires that our politic be changed in respect of the relationship between agricultural producers and meat and milk plants: to date 90 % of these plants are private, but regretfully this process has taken place without the participation of agricultural producers. It has led to a situation such that it is not profitable for milk and meat producers to give their production for transformation by the enterprises. As a result of this situation, agricultural producers get just 20.35 % of total cost of milk and meat production.
It is very important to note that Russian meat and milk production was sufficient to cover the needs of the country, whereas now the food market, hence food production is fully unprotected against imported products, It was one of the main reasons lead to negative results in the Russian agrarian sector. The following figures illustrate the situation as regards the introduction of foreign food products onto Russian market. Last year our country has imported 4.6 times more meat, 5.6 times more poultry products and 2.4 times more butter in comparison with the situation in previous years. At the same time our agricultural production was in poor demand. Import of food products has increased from 10- 15 % up to 80 "0. So it is necessary to create an optimal state system to protect our domestic food market, and to increase the competitiveness of Russian farmers and of agricultural organizations.
World experience shows that state support to agricultural science is fundamental to develop the economy in the whole country. Therefore, the results of agricultural research are the main factors for the overall progress of society. In our country state financial support to agricultural science is necessary, especially because private farms and other non-state organizations are not in a condition to do it today. Today it is very clear to set that in no way can economic problems be solved without introducing modern technologies. At the same time there are problems in working out new ideas in the economic, technological, and engineering fields and in the conditions when state financial support can be expected.
From our point of view, it is necessary to change our agricultural strategy, which is directed towards increasing total production even under very poor environmental conditions. We decided that it would be mom effective to concentrate all resources on solving such problems as:
the technological reconstruction of animal husbandry;
- creating a new infrastructure of the industry for the transformation of the agricultural production;
- organizing a state support system to production export in the field of agriculture and especially of scientific production at high research level.
It is necessary to reach self-sufficiency in respect of food and to ensure its wholesomeness.
We decided that it is very important to elaborate agricultural law to regulate the relationships between farmers, agricultural organizations and enterprises for milk and meat transformation, In this case the clauses of the law will be very important tools for the stimulation of scientific progress in the agrarian sector.
It would be very fruitful for Russia to have a law on safe food. This law would point out the main orientations of the agrarian politic for the next 5-10 years, it would establish a new price structure for agricultural production, enhance competitiveness of our domestic breeding organizations, and increase the efficiency of agricultural industry
