The Modern State Agricultural Policy of Ukrainia: problems of countries with transition economy

Abstract

This article analyzes the changes in macroeconomic indicators, the role and significance of agriculture in the Ukrainian economy. A political economic analysis of the preconditions of turning the Ukrainian agriculture into agricultural holdings was carried out. The article estimated hypothetical losses of added value and jobs from the export of grain crops in comparison with the production of pork and milk, an unfavorable conjuncture in the world markets of agricultural goods. The revealed structural distortions in the distribution of newly created value among key contractors of land relations in the form of: profit and depreciation charges for land users are as follows: rent regarding owners of land plots; wages regarding employees; taxes and deductions regarding state and local budgets. The scientific generalized idea about the forthcoming challenges to the principles of balanced rural development in implementing the EU-Ukraine Association Agreement due to the conflict between the interests of society and large capital. Conceptual proposals have been made on improving the organizational and economic mechanism to encourage agricultural holdings to take social responsibility for the development of human and social capital of local communities and the level of global competitiveness of the country‘s agricultural sector.