Agribusiness is the most important component of the domestic economy

In connection with the demographic growth of the population inRussia's demand for quality and affordable food is constantly increasing. The optimal solution is to increase the production of agricultural products. But in this case, agribusiness should develop intensively. This is one of the most important and promising industries of material production, which provides not only the country's food security, but also the social well-being of its citizens. In addition, agriculture plays a major role in shaping the domestic economy.

The concept of agribusiness

Any type of activity in the agriculturalsphere is agribusiness. The scale of the enterprises can be very different, from a small family farm to large agrofirms. The official status of the enterprise is determined by its size and form of management.

Agribusiness is the structure responsible for the production, storage, processing, transportation and delivery of agricultural products to the end user.

Organizational forms of agricultural business

There are several forms of doing business in the sphere ofAgriculture. The choice of a particular option depends on the planned scale and model of enterprise development. The most common forms are:

• Personal subsidiary farming.This form of activity does not involve hiring employees, so registration in the tax structure is not required. Owners of subsidiary farms have the right to sell their products in small amounts without paying taxes.
• Family Farm.As it is clear from the title, the management is conducted by members of the same family, however, outsourcing of employees is possible. One of the owners of a family farm must be registered as an individual entrepreneur. Such enterprises can participate in various targeted programs, receive subsidies, etc.
• Peasant farming. Usually it is a large enterprise that iscollective ownership. The head of such an economy should be registered as an IP or a legal entity. KFH enjoy the support of the state and have good prospects for development.

Choice of the form and direction of activity

Opening your own business is alwayscomplexity and risk. Businessmen who decided to tackle agribusiness are faced with many questions, the most important of which are the choice of the optimal form and direction of management, the amount of necessary start-up investments and monthly expenses, the profitability of the future enterprise, etc.

Of course, all these questions are necessarytry to find answers even at the stage of creating a business. A competent business plan will help in this, in which all possible risks must be taken into account. As for the choice of the direction of activity, then experienced farmers are advised to build on the existing experience in any branch of agriculture, the availability of knowledge and, of course, their own material base.

The need for agribusiness development

Unfortunately, Russian agrarians todayare still experiencing many difficulties due to the low level of state support. Improving the agro-food policy will allow small, medium and large-scale agricultural enterprises to fully realize their potential and achieve competitive advantages in the agricultural production of highly profitable products, which will contribute to strengthening Russia's economic position in the world markets.

In economically developed countries, the statesupport for agribusiness is a different kind of subsidies, subsidies and benefits. At the same time, the amount of financial investments in the agricultural sphere is actually 2 times higher than the market value of the output.

Problems of agribusiness in Russia

In our country, unfortunately, the situation looks quite different. Today, there are a huge number of issues that need to be addressed at the state level. In particular:

• attracting investors through various benefits, lower tax rates, etc .;
• regulation of prices for agricultural products by the state;
• simplification of the crediting system for small and large farmers;
• introduction of land-mortgage loans;
• stimulation of development of medium and small farms;
• control the accuracy of the accrual and timely payment of salaries to workers in the agricultural sector;
• Simplification and reduction in the cost of the procedure for cadastral registration;
• creation of targeted programs aimed at stimulating personnel and attracting young people to agriculture;
• the development of a system of state support for agro-enterprises of all forms of ownership;
• the formation of a comprehensive program to protect Russian farmers.

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