Vertically integrated structures in agriculture regarded as a way to overcome the crisis phenomena

E. Aunapu

Journal "Region: Economics and Sociology", 2006, vol. 3

Abstract: The agricultural reforms in Siberian regions have had consequences such as a drop in production and sale, a decrease in tillage quality, sown areas, crops productivity and etc. This is a result of the disintegration taking place in an agricultural complex and, first of all, a result of a law marketability of the producers. To change the situation is required to concentrate resources and to build large vertically integrated structures which include all stages of production from building a resource base to selling final goods. For example, in the Altai Krai 7,1% of the agricultural enterprises, which till 9,5% agricultural land, are included in the integration processes. These enterprises provide 9% of jobs in the regional agricultural sector and sell 11% of the agricultural product in the krai. More than 70% of enterprises have become profitable.

Date: 2006
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Persistent link: https://EconPapers.repec.org/RePEc:nos:regioe:2006-3_12

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