Improving the Mechanism of State Support of Agricultural Producers

Abstract

The purpose of this paper is to define and propose the mechanism of state support of agricultural producers as an element of subsystem of agricultural development in modern conditions of digital transformation of agricultural and industrial industry. The research was based on the works of both domestic and foreign scientists on theoretical and practical aspects of state support, as well as normative documents revealing state and target agricultural development programs. General scientific methods and techniques as scientific abstraction, analysis and synthesis, methods of grouping and comparison were used in the process of writing of this paper. The main directions and measures of state support for both medium and small agricultural producers in Russia and foreign countries were considered in this research paper, as well as analyze of systems for allocating state support in foreign countries from methodological point of view was performed. The authors also consider the possibility of digital technologies in the context of post-pandemic transformation of economy in agricultural sectors of Russia.There is an urgent need to solve the current problems of the country's agriculture, as the most vulnerable sector in the current situation on the Russian agricultural market, in order to strengthen the positive dynamics of the development of the agricultural sector. In the context of pandemic, the inability of agricultural sector to digital transformation is most acutely felt, which creates threats and challenges in ensuring the country's food security and undermining the country's social sphere. The analysis of measures and programs of state support in Russia and foreign countries leads to the conclusion that there is an increasing need to change the approach to the mechanism of state support, because to obtain a positive lever for the development of agriculture in the country, it must be targeted and systematic. It is important to note that today the issue of providing state support to agricultural and industrial industry doesn't lose its urgency, as the food security of the country remains the key point in determining not only the financial component of the economy as a whole, but also the social aspect in modern economic conditions. The authors presented the mechanism of state support for agriculture at the regional level, highlighted the main aspects that need to be paid attention to in the distribution of state support in the regions of Russia.