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Transformation of Domestic Agricultural Support System of Ukraine in WTO Conditions

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  • Dibrova, Anatolii
  • Dibrova, Larysa
  • Krylov, Yaroslav

Abstract

Last years Ukraine allocated considerably finance resources for agriculture support according to their loading on the budget. However, amount increase of domestic support does not substantionally influence on the effectiveness indices of agricultural yields. Such information testifies about imperfect nature of the internal support mechanism of Ukrainian agriculture. As the result, domestic support did not become effective stimulus for production quality increase and rise amount of stock - breeding production. In 2008 Ukraine gathered the biggest grain harvest. Increase production did not improve finance results of agriculture and did not reduce stable and dynamic branch development because of negative influence of world finance crises. Unbalanced supply and demand of agricultural production, low buying ability of inhabitants, lack of branch effective mechanism of domestic support caused to complication of price situation in the domestic food market. Also there have been grounded possible economic consequences of influence of duty-tariff protection of agroindustrial market change on the prosperity of such economic agents as agricultural producers, consumers and state on the basis of the Agricultural Trade Policy Simulation Model (ATPSM).

Suggested Citation

Handle: RePEc:ags:iamo10:90798
DOI: 10.22004/ag.econ.90798
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