DEVELOPMENT OF PERSONAL PEASANT FARMS UNDER CONDITIONS OF INSTITUTIONAL CHANGES

Abstract

Peculiarities of development of personal peasant farms under conditions of the institutional changes are grounded. Status and place of personal peasant farms in agricultural production are analyzed; their advantages and disadvantages, along with other organizational and legal forms of business are identified. The influence of the European integration processes on the development of personal peasant farms is examined. Product quality requirements may lead to a decrease in production volumes of personal peasant farms; reduction of import duties – to an increased competition in domestic market, which may lead to the cessation of activity of many farms; and failure to meet the EU standards will limit the access of domestic producers on European market.
Further directions of the development of personal peasant farms are identified, among them are: their acquisition of legal status of the agricultural producers through transformation into new organizational and legal structures, legal recognition of commodity personal peasant farms and improvement of their production and economic activity. It is noted that the improvement of production and economic activity of personal peasant farms will contribute to diversification and rationalization of their activities, co-operation, as well as their use of innovations.
Based on the results of our sociological survey, prospects of transformation of personal peasant farms into family farms are determined. Factors that inhibit the transformation processes, as well as encourage this transformation of personal peasant farms, were studied. It has been ascertained that improvement of regulatory environment, the balanced state policy, financial and informational support will help personal peasant farms to adapt to modern times and to become equal participants in the agricultural market.