Tulegenova ZH.T.

A.Baitursynov Kostanai State University

MODERN FORMS AND DIRECTIONS STATE REGULATION OF INVESTMENT IN AGRICULTURE (ÀÏÊ)

 

"Agrarian sector of Kazakhstan has large expert opportunities and high potential for implementation of investment. The need for food each year in the world will be to increase. This opportunity we should not miss"

(N. Nazarbaev of the annual address of the President RK, the Leader of the Nation to the people of Kazakhstan "Social-economic modernization - the main vector of development of Kazakhstan"

 

The regulation of the agrarian sector is a complex and multifaceted problem. His condition does not meet the real needs of the Republic. Long experience of developed countries and the practice of Kazakhstan for the last decade show that in the conditions of the market, without participation of the state economy will not be able to successfully develop. To ensure sustainable development of agriculture need an effective economic mechanism based on a combination of state regulation and market self-regulation, the implementation of a balanced price and financial-credit policy. At insufficiency of financial resources there is a need to find additional sources of financing, which in the practical activity of the agricultural organizations are represented, mainly, by a system of credits. However, in conditions of higher interest rates, credit as a source of support for their economic activity is not economically viable, even profitable businesses. In this regard, the special urgency is got with a problem of formation of a more effective system of regulation of agro-industrial production, which in turn implies further systematization and concretization of used and emerging sources of regulation, revealing of new possibilities of increasing the flow of funds in the agricultural sector. Currently, the investment could help the national economy to overcome the impact and consequences of the global economic crisis; investments are intended for lifting and production development, increase its capacity, technological level. The development of the agricultural sector is an important factor of sustainable economic growth of Kazakhstan. Currently, there is a positive tendency in the development of agricultural production, food industry. In agriculture of Kazakhstan, in particular, in agricultural production in recent years, an increase in the underlying performance, while under the influence of the global food market changes are outlined and qualitative character. For their fastening and development, it is necessary to take measures on the further development of agricultural production, improvement of quality of production and improvement of the system of management of development of the industry, formation of favorable investment climate. Recalling that the investment can be expected results only in case the competent organization of production, therefore it is necessary to analyze in detail the existing schemes of purchasing, processing and marketing of agricultural products from the point of view of their economic efficiency. State investment policy is one of the main elements of the system of state support of agrarian sector and must meet the criteria of efficiency from the point of view of the justification of the needs of all sectors of agrarian and industrial complex in financial resources for creation of necessary from the point of view of achieving food security of added value.  For Kazakhstan to improve investment policy in agriculture is an important task, taking into account the conditions and quality of the natural potential of agricultural production and rural development and achieve the goals of food security for internal and external markets. Globally among perspective directions of investment policy in agriculture are increasing investment in the sustainable development of land and water resources and improvement of the biology of crops to improve yields and water saving. The modern state of investment potential of agriculture of the Republic is characterized by the following data. The volume of investments in the fixed capital of the industry as a whole is growing steadily, and dynamics in the regions reflects the structure of agricultural production with a predominance traditionally grain-producing areas. The dynamics of investments in the regions in annual terms unstable, especially the sharp fluctuations in the volume of investments was observed in Akmola, Kostanai, North-Kazakhstan regions, and Astana, including another decrease occurred in 2010 fluctuations in the volume of capex affect the stability of production in the industry. In the structure of sources of financing own funds of investors have maintained a significant advantage, while in 2010. increased share of borrowings, including due to increase of volumes of financing of NUH KazAgro and its subsidiaries, simultaneously decreased share of budgetary funds and foreign investments. The biggest growth was shown borrowed funds and funds of local budgets. In order to further expand funding sources, measures to attract foreign direct and portfolio investments. From the point of view of diversification of sources of financing it is necessary to consolidate the trend of increase in the share of borrowed funds. Also the use of returnable funds will have a disciplining effect on potential borrowers, the quality of management of economic activities. Quite steadily growing volumes of crediting by banks of the second level of economic entities in the sector of agriculture, although these volumes, and is not comparable with the volumes of lending to other industries. The growth rate of lending in 2011 slowed down, and this year there has been a slight increase. In the structure of Bank loans to the economy, the share of agriculture does not exceed 3-4%because of the risk of the qualitative evaluation of collateral and unstable dynamics of profitability of agricultural production. Structure of investments in fixed capital in rural areas by form of ownership was changed in the three years in the direction of increase in the individual branches of government ownership, in particular, in Akmola, Zhambyl, South-Kazakhstan, East Kazakhstan. The ownership share of other countries decreased in Mangistau  and Kyzylorda region. In total investment prevail own expense, in the livestock sector is steadily growing volume of investments of the borrowed funds, which are connected with the realization of the state program of development of large-scale farming and livestock raising funds through "KazAgro". In General, the existing fluctuations of volumes of investment, especially private investors ' funds, require an assessment of opportunities of attraction of other sources, including in the framework of subsidized programs and analysis of the impact of such periodic breaks to the level of reproduction of fixed assets upon receipt of relevant information. Created with the purposes of optimization of state support and improvement of state regulation of AIC, a holding company "KazAgro" are operators in the reallocation of funds of Republican and local budgets, funds allocated from the National Fund, loans, international credit lines and leasing programs, own funds. Procedure for lending to these companies agreed to the extent of the interest rates, terms of delivery, repayment guarantee. Such structure of sources allows companies to engage in investment and, accordingly, structural policies in agriculture taking into account the specifics of agricultural production, to form and realize the export potential of the industry, develop rural areas. The structure KazAgro is the presence of huge amount of financial resources allocated from the state budget and the national Fund for the development of agriculture. Volume of financing of the program of development of agriculture in Kazakhstan, founded in the next three-year budget exceeds that are already ongoing investments in the fixed capital of agriculture, which creates the opportunity to significantly improve the situation in the sphere of technological and infrastructural support of AIC. In order to further develop the agricultural production structure and efficiency of investment policy in agriculture seems advisable to foster competition between these companies due to the existing intersections of directions of their activity, as the management holding one of the objectives of the development of corporate governance in the industry, including at the level of organization and regulation. . Including in the process of implementation of policy and strategy of territorial development of the company data in parallel to participate in the assessment, information-analytical support and development of agricultural investment potential of the territories, forming inside and interregional systems of processing, storage and delivery of agricultural products, which will have a stabilizing effect on pricing. In General, investment policy in agriculture of Kazakhstan needs in forming the optimal structure of investments in the sector and the creation of factors favorable investment climate. The impact of investment institutions on capital inflows in agriculture remains insufficient to ensure the competitiveness of domestic producers of agricultural products. Requires attention to the research of questions of development of the investment system, aimed at ensuring extended reproduction of fixed assets of agriculture. This issue is of an urgent matter, because of the fact that a significant share of production is concentrated in households that determines the necessity of the formation of an adequate system of regulation of capital movements, allowing considerably to ensure the economic interests of this group of producers. Fixed assets reproduction of agriculture currently is very important given that in the result of the reforms, the agricultural economy have practically stopped the processes of updating of material-technical base and first of all its active part - tractor fleet, which was unable to meet production processes in full in crop and livestock production in the country. Currently, one of the factors hindering the development of food production in Kazakhstan remains the low level of industrial processing of agricultural raw materials caused by the level of technological security of the food industry, and the quality of raw materials supply. Investment policy in agriculture taking into account the specifics of agricultural production should be more diversified, assume comprehensively informed of the opportunities of developing the potentially competitive sectors of agriculture, oriented to the domestic market and export in the regional and international scale. In addition, a chronic problem is the system of distribution, redistribution and absorptive state budget, including through the system of agricultural crediting. The solution of these problems is connected with strengthening of responsibility of the authorized body, institutes of development of agriculture for development and improving transparency of the system of financing and crediting, assessed the effectiveness of subsidizing specific types of agricultural production; development of economic balances, forecasting needs of the market and the accelerated creation of necessary production and logistics infrastructure in view of the continuing demand for food, climatic fluctuations, competition level. Investment attractiveness of AIC is also defined as a price policy, including in branches of production of means of production for agro-industrial complex, which has no particular concept, which is very important for the development of competitive agricultural producers and market competition in General. As a result, the need for making prompt decisions on curbing the growth of prices for food products.

 

1.                Yunaeva R. R. State regulation of credit system in agriculture // agrarian and industrial complex: Economy and management. 2009. ¹ 11. 1. C. 27-35.