Issue 3, 2017

Efremov S. A. Government Support of Agriculture: the Case of the Novgorod Region.

Agriculture providing population with food is one of the most important industries. The article analyzes the current state of the system of budgetary support for agriculture in the Russian Federation. On the example of the Novgorod region, the main shortcomings of the current budget support system for the industry are demonstrated: an insufficient level of budget support; a large number of types of subsidies; instability of the amount of support for types of subsidies; untimely delivery of federal funds to regional budgets; weak linkage of the target indicators of the effectiveness of the use of subsidies with subsidy directions. In general, it can be said that the current budget support system for the sector could not overcome the main negative trends: low profitability of agricultural production, unsatisfactory material and technical security and relatively low wages. It is necessary to improve budgetary support for agriculture in the following areas: to formulate a budget for the development of agriculture, taking into account the balance of production and use of basic types of food; distribute federal budget funds among the constituent entities of the Russian Federation no later than January of the current fiscal year; unify the types of subsidies at the regional and federal levels; to adjust the system of indicators of the effectiveness of the use of subsidies from the federal budget. This will improve the efficiency of budget support for the industry, create prerequisites for the growth of agricultural production and ensure food security. Keywords: agriculture, budget support, subsidies, Novgorod region.

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