AGRICULTURAL INTEGRATION IS AN IMPORTANT FACTOR OF THE INVESTMENT ATTRACTIVENESS OF AGRICULTURE

Abstract

Agriculture is one of the leading sectors of the agro-industrial complex, the efficiency of which determines the economic and food security of Ukraine. The exit of the agricultural industry from the crisis that engulfed it at the end of the last century is seen in the need to create a favorable investment climate. The political instability of the state and the legal insecurity of investor deposits do not contribute to the activation of the investment market. An important condition for increasing the efficiency of investment activities in agriculture is its cooperation and integration with the processing and food industries, powerful domestic and foreign production and processing associations that are able to attract large investment funds, directing them to the implementation of innovative investment projects and programs. Agrarian-industrial integration is one of the main forms of intensification of agriculture and the processing and food industry, a method of improving their investment attractiveness, deepening production ties and economic and financial relations between individual members of the association. Effective functioning of regional and interregional clusters will lead to a rational distribution of labor within individual regions, creation of additional jobs, acceleration of the pace of development of knowledge-intensive technologies in agriculture, rational use of natural resources. To speed up the clustering process, it is necessary to make appropriate adjustments to the state and regional economic policy, develop special national and regional programs, more actively conduct scientific research in different regions of Ukraine with the aim of shortening the time frame for solving this problem. Agricultural and industrial integration is an innovative direction of development of agricultural and processing enterprises. It should cover not only large entities of economic activity, but also individual peasant farms, which will allow more effective use of natural and human potential, common infrastructure, new technologies, will contribute to the improvement of the investment climate in the agricultural sector.