Analysis And Control Of Government Subsidies For Investments In Agriculture Of The Russian Federation Cover Image

Analiza I Kontrola Rządowych Subwencji Inwestycjnych W Rolnictwie W Federacji Rosyjskiej
Analysis And Control Of Government Subsidies For Investments In Agriculture Of The Russian Federation

Author(s): Stanislava Kontsevaya
Subject(s): National Economy, Agriculture, Governance, Economic development
Published by: Szkoła Główna Gospodarstwa Wiejskiego w Warszawie
Keywords: Russian agriculture; government support; efficiency of support for agriculture; cluster analysis;

Summary/Abstract: Subsidies are an important part of development of agriculture in Russia. The vast majority of agricultural holdings have negative profit margin without government support. Comparing an amount of government support in Poland and in Russia, it was equal to 76.21 m PLN for 1,000 km2 of agricultural land in Poland versus 6.35 m PLN in Russia in 2014. Such situation leads to low productiveness of agriculture in Russia. As Russian agriculture is extensive, the Government has made a decision to assign about 40% of the support amount to recover rate of investment loans intended for development of material and technical facilities of agriculture. This program is not popular and it involves 3.55% of the total number of agricultural holdings only. In order to estimate efficiency of utilization of subsidies a cluster analysis was made by means of K-mean method. It revealed 3 clusters depending on efficiency of subsidies utilization. Some control procedures are suggested to manage efficiency of utilization of government support.

  • Issue Year: 16/2017
  • Issue No: 3
  • Page Range: 25-33
  • Page Count: 9
  • Language: English