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Digital transformation in agriculture in Russia

Author

Listed:
  • Arif G. Ibragimov

    (Russian State Agrarian University – Moscow Timiryazev Agricultural Academy)

Abstract

Introduction. The relevance of the research topic stems from the introduction of digital technologies which enable the optimization of production processes, reduce costs, and improve product quality. Digital solutions contribute to a more rational use of natural resources, reducing the negative impact on the environment and the development of environmentally sustainable agricultural models. The paper aims to analyze the state of digitalization of agricultural production and to identify reserves for its improvement in Russia. Materials and methods. The material consisted of research and analytical reports on digital transformation in agriculture, published in scientific journals and reports from international and Russian organizations. The studies were conducted based on data from statistical reports of the Russian Federation, its constituent entities, and the Ministry of Agriculture of the Russian Federation over the past decade. Results. In terms of the use of digital technologies in agricultural production, Russia lags far behind the United States and many European and Asian countries. Along with other factors, and for the same reason, crop yields and the productivity of farm animals in Russia are significantly lower than in these countries. To improve the situation, the Government of the Russian Federation launched two programs: 1) The national project “Digital Economy of the Russian Federation” (in 2018); 2) Digital Agriculture Program (in 2019). The total budget financing under these two documents for the 7 years (from 2018 to 2024) amounts to 1,934.9 billion rubles. In 2019-2024, 300 billion rubles of this amount will be directed to the Russian agro-industrial complex. Due to such financing, the government intends to achieve an increase in agricultural production of 16.3% by 2025 compared to 2017. Exports of farm products are expected to reach 45 billion dollars. Additionally, investments in the Russian agro-industrial complex for the project period are projected to grow by 22%. Conclusion. Digital technologies, including process automation, drones, and IoT devices, can significantly enhance the productivity and efficiency of agricultural enterprises.

Suggested Citation

  • Arif G. Ibragimov, 2024. "Digital transformation in agriculture in Russia," Economic Consultant, Scientific and Educational Initiative LLC, issue 1, pages 17-29, June.
  • Handle: RePEc:ris:statec:021450
    DOI: 10.46224/ecoc.2024.2.2
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    JEL classification:

    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns
    • B12 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925 - - - Classical (includes Adam Smith)

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