CHAPTER 1.9. SMALL BUSINESS IN THE AGRICULTURAL SECTOR OF THE ECONOMY OF UKRAINE: PROBLEMS AND PROSPECTS OF DEVELOPMENT IN THE CONDITIONS OF WAR

Анотація

Small business, incl. and agrarian, plays an important role in solving current socio-economic issues of the development of the economy of Ukraine. The essence and importance of small business is that it is a socially significant sector of the market economy; forms the basis of small-scale production; ensures freedom of market choice, saturation of the market with consumer goods and services of everyday demand, introduction of innovations, additional jobs; has high mobility. Activity of households plays an important role in the process of agricultural production. It is the resistance of individual farm to unfavorable changes in the environment, its flexibility and adaptability, focus on meeting own needs, makes it an integral part of the agricultural market. Its activity partially contributes to solving village social problems, establishing sustainable development of rural areas and supporting the income of rural population. The main products, which are produced in households, are sold in small batches as raw materials at extremely low prices to intermediaries or directly to processors of agricultural products on the domestic market. This is due to the fragmentation of small farms and, accordingly, the inability to compete with large forms of farming. After the invasion of Russian troops on the territory of Ukraine, households demonstrated their key role in the preservation and development of local markets and food supply chains, thus proving the sustainability and possibility of ensuring the existence of small producers.

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