The current state and trends in the formation of intersectoral relations in the agri-food complex of Ukraine

• Main Author: Varchenko O.O.
• Format: Article
• Language: English
• Published: BilaTserkva National Agrarian University 2020-12-01
• Series: Економіка та управління АПК
• Subjects: intersectoral relations; agri-food chain; value added; agriculture; food industry
• Online Access: http://econommeneg.btsau.edu.ua/sites/default/files/visnyky/economika/varchenko_o.pdf

The article considers the peculiarities of the formation of intersectoral relations in the agro-food complex of the country, taking into account their impact on the creation of value added by type of economic activity. The need to ensure the principle of equivalent intersectoral exchange and components that contribute to the increase of value added has been proved. It is established that during 2010-2018 the value of gross agricultural output in the prices of the reporting year increased 4.6 times, but in comparative prices in 2016 there was an increase of only 1.41 times, which is evidence of the impact of inflation. It is determined that the share of the processing industry in 2010-2018 in the structure of gross domestic product decreased by 5.8%, which is an unfavorable factor in terms of opportunities for value added. There was an increase in the share of agri-food exports in the structure of total exports compared to 2018 by 5 percentage points, the largest increase in supplies of crop products, which occurred due to the imbalance of relations between producers and processors of agricultural products. It is estimated that during 2010-2018 in agricultural enterprises gross value added increased 6 times, in households - 3.4 times. It is substantiated that there is an increase in the volume of unearned gross value added of business entities in the field of agriculture during the study period from the violation of the equivalence of intersectoral relations, which exacerbates the crisis in the industry. It is established that in basic prices the volumes of production of gross value added of the food industry increased for the period of 2000-2018 almost in 1,7 times, and with use of a deflator only by 50%. The growth of the share of GVA in trade in the overall structure of gross value added is proved, which indicates the strengthening of its role in the formation of value added of agri-food. The calculation of the change in the value of airborne forces using the deflator proves a slight increase, which suggests the effect of inflation on the value of the indicator. It is generalized that unfavorable conditions for the formation of gross value added due to inequality of exchange with the food industry and trade have been created for agriculture, which requires the introduction of the process of regulating the formation of gross value added of the agricultural sector.