Priority directions of the development of circular transformations in the agricultural sector of Ukraine

Abstract

Achieving the goals of sustainable, inclusive development of society requires searching for new models and mechanisms capable of ensuring the population's well-being. The agricultural sector of the national economy is vital to such positions. Its further development in the context of leading European practice should consider the organizational and economic principles of constructing and using closed agricultural production cycles. The essence, content, and basic principles of the development of the circular agrarian economy are discussed in the article. The key directions for the further development of circular processes, which correspond to the specifics of the agricultural sector of the national economy and are priorities in the immediate and strategic perspective, are defined here. Among them, the following are outlined: organic production and use of waste, production of biofuel, priority of ecosystem restoration, use of products of new water purification systems, and logistic and marketing products for agro-production based on closed cycles. It was determined that implementing circular principles in global practice has a clearly expressed positive socio-economic effect. The complex of the main advantages of the circular economy in the agricultural sector of Ukraine is justified. It is proposed to include three primary cycles in the system of agro-circular economy, which is based on R-principles: technical-technological, biological, and financial. Based on the research results, several factors and obstacles were identified that are currently holding back the intensification of the development of circular transformations in the agricultural sector of the national economy. Overcoming them requires a systematic approach to motivating the spread of agro-circular processes based on improving organizational and management mechanisms, increasing the social responsibility of rural businesses, and the general level of the corporate culture of agricultural companies and society. Keywords: agro-circular economy, closed-type economy, R-principles, agrarian business, management models, sustainable development.