THE DEVELOPMENT STRATEGY OF THE SUGAR INDUSTRY IN THE CONTEXT OF EUROPEAN INTEGRATION OF UKRAINE

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  Yuliya Onyshchuk

Abstract

The main problem of the Ukrainian economy today is the total loss of production potential. Losing production, the country becomes an outsider in the world economy, “falls out” of the system of international division of labour, giving leadership in the production of traditional goods for it to countries with lower benefits, but more civilized approach to production. One of these traditional products, which have always been “calling card” of Ukraine is sugar. Methodology. The basis for the study of the sugar industry, we have chosen a systematic approach, in which the industry is seen as complex, complete system structural elements, united by a common purpose. At the same time, then the sugar industry is food processing subsystem, part of the process and part of agriculture. Research industry as system and component of a higher order corresponds to the need to maximize the efficiency of its development. The development of the sugar industry in Ukraine should not be a simple transition from one system to another as and complex multifactorial process that represents the law of transition of quantitative changes in quality. Implementation of the main goal of the sugar industry in a dynamic environment is possible only if the selection and implementation of effective strategies must be built into the strategy of agricultural development and national economic strategy. Therefore, the subject of our research are theoretical and applied aspects of effective development of the sugar industry of Ukraine and the purpose of research – strategy development sector in terms of European integration. Results. Under the development strategy of the sugar industry, we understand the unique set of actions and decisions on how to achieve development with minimal energy system. We believe that the strategic goal should be a creation of modern, technically perfect, economically efficient and socially important sugar industry, able to produce competitive products, satisfy the full domestic demand for sugar, to ensure the formation of the state reserve and expand the export base. To achieve this, the industry has a number of assumptions that are regarded as its capabilities, as well as a number of restrictions that impede the development process can significantly influence the content of the strategy or the process of implementation and require removal. Together they form the strategic position of the sugar industry, which today we can characterize as extremely weak. Achieving strategic objective involves the development and implementation of a package of measures which we have divided into three areas: restructuring measures, technical and technological modernization of the industry, diversification of production activities and measures of organizational and economic modified sugar production. Value/originality. The implementation of the proposed measures will overcome the crisis on the first phase, on the second – stabilize production and create conditions for increasing it in the future and, finally, ensure economic growth in the long term.

How to Cite

Onyshchuk, Y. (2016). THE DEVELOPMENT STRATEGY OF THE SUGAR INDUSTRY IN THE CONTEXT OF EUROPEAN INTEGRATION OF UKRAINE. Baltic Journal of Economic Studies, 2(1), 88-95. https://doi.org/10.30525/2256-0742/2016-2-1-88-95
Article views: 240 | PDF Downloads: 92

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Keywords

sugar industry, sector, strategy, development, modernization, restructuring.

References

Agricultural development strategy until 2020. (2012). – [Electronic resources]. – Retrieved January 17, 2016 from http://www.auu.org.ua/rynky-ta-ciny/novini-rinkiv

Danylyshyn, B.M. (Ed.), Strashynska L.V. (2008). Strategy of development of food market in Ukraine: monograph – Kiev, Profi, 627 р.

Lyskov, V.V. (2000). The formation of an efficient structure of the sugar industry of Ukraine – Kiev, Institute of Economics national Academy of Sciences of Ukraine, 210 р.