ECONOMIC FEASIBILITY OF ORGANIC AGRICULTURE IN THE BELGOROD REGION

Abstract

The problem under study is due to the need to increase cereals production in the Belgorod Region and Russian Federation. The article aims to substantiate the scale of organic farming of grain crops to fulfill the Food Safety Doctrine, produce organic foods and expand the area under autumn wheat cultivated organically. The problem is studied using statistical economic methods, selective detailed analysis and expert evaluation. In the Belgorod Region, cereals are grown by approximately one hundred agricultural enterprises. The share of these crops in the Region is the greatest making about 60% of the cultivated area. The sustainable and efficient development of grain growing needs support of the federal and regional governments. To fulfil it, the Belgorod Region Government approved the program of development of the cultural sector (Resolution No. 331pp(пп) of 8 October 2007). Under the present tough economic conditions, more attention is paid in Russia to a broader implementation of power-saving technologies in crop raising and harvesting their goal being to ensure a competitive production through regulated factors. Such technologies are based on concentration of all the factors including new breeds and varieties, fertilisers, growth regulators, new devices and other production resources ensuring the highest possible payback with quality grain. The article explores the matters of feasibility of grain farming with the organic or biological farming system. The article may be useful to agricultural entities transiting to the organic farming as well as to public authorities planning cereals farming and the measures of governmental support of the agricultural sector.