What is agribusiness? This is a set of industries with economic ties focused on the production of agricultural products, their processing, storage and sale. The complex also includes enterprises that provide the supply of capital goods.
AIC Spheres
- Manufacturers of means of production: tractors, combines, fertilizers, farm equipment, combined feeds, vitamins. Enterprises engaged in the maintenance and repair of the listed equipment.
- Agriculture is a key area of agriculture. This is the central industry of any country, providing the products necessary for humans and the raw materials used in the production of consumer goods.
- Industries that process agricultural products.
Agriculture
The study of the question “What is the agro-industrial complex?” In the fields is better to start with agriculture. This industry occupies a special place in the economy, has significant differences from others. Land is a key means of production, which, when used correctly, over time only increases fertility. This is its main advantage. Because other means of production are gradually being destroyed, losing their effectiveness, they must be replaced. Earth also performs the function of the subject of labor.
The means of production include animals and plants. Seasonality is an important feature of agriculture. The consequence of this factor is unevenness throughout the year:
- Supply of goods.
- The need for fuel and lubricants.
- Use of finances, equipment and materials.
- The use of labor.
Development of the agro-industrial complex
What is agrarian and industrial complex without intensification? It is actively used all over the world. Intensification is a production method in which through cost reduction there is an increase in productivity, quality improvement and cost reduction. Large farms are betting on it.
What conditions are necessary for the agro-industrial complex to develop?
- The transition to modern technology.
- The use of evidence-based techniques.
- Further training of employees and their quality of life.
- Construction and repair of the road network.
- Improving the efficiency of interaction between different sectors of the agricultural sector.
Agro-industrial complex of the Russian Federation
The composition of the agro-industrial complex of the Russian Federation is far from perfect. A significant drawback that affects the natural development of the whole complex is obsolete means of production. The solution to this problem will bring the agricultural market to a qualitatively different level.
In our country, there are almost all conditions for the production of most types of agricultural products. However, against this background, Russia annually imports a large number of items of goods produced by agro-industrial complexes of foreign countries. Low efficiency, a large percentage of losses and insufficient quality of our agricultural products interfere with full-fledged import substitution.
Agricultural policy today is aimed at creating an effective and sustainable system that can provide citizens with food products and factories with raw materials. This is necessary in order to increase the incomes of the population employed in the agro-industrial complex, to ensure the food security of Russia and to improve the quality of life in the countryside.
Natural factors
AIC production depends on some natural factors that affect the volume of production and the territory where it can be grown:
- The quality of the soil cover.
- The duration of the period without frost.
- The amount of heat entering over the summer.
- The number of sunny days in the summer.
- Annual precipitation.
- Relief, altitude.
- Frequency of adverse weather events.
- Adequate water supply.
Crops have different needs for sunlight, heat, water and soil. Based on this, agricultural enterprises are located within the country. The location of livestock farms also depends on natural factors through the need for feed.
Reclamation measures contribute to the improvement of existing conditions for certain types agricultural crops. What is agribusiness, people involved in the production chain are well aware. Some cultures grow only in a narrow range of factors, while others grow in a wider range. The first include grapes, tea, citrus fruits. Potatoes, cereals belong to the second group.
Socio-demographic and economic factors
The population determines the demand for agricultural products. In some regions and countries, consumption patterns may differ significantly from others. Production needs labor resources, which differ in different areas and are determined by the skills of the indigenous population. Among the labor-intensive include vegetable growing, production of industrial crops, some types of animal husbandry. Using qualified employees can reduce costs and increase product output.
The economic factors affecting the agricultural sector are as follows:
- The location of farms in relation to potential consumers.
- The presence of the necessary infrastructure.
- Using the achievements of science and technology.
- The proximity of the manufacturer to other areas of the agricultural sector.
When locating enterprises in the agro-industrial complex, they try to take into account all these factors. This will optimize their work.
