| Barrier |
Contents |
Ways to overcome |
| The predominance of subsidiary farms and small farms in the structure of agricultural production |
Inaccessibility of modern means of mechanization and automation of labour, and also fertilizers and chemicals for such farms. As a result-low labour productivity, wages and high unit costs per unit of production; low level of management automation of enterprise resources |
Improve the level of mechanization and automation to the global average, it becomes possible in the transition to the consumption of automation cloud model; introduce elements of automated resource management and reduce the impact of the human factor at all the stages of production and marketing of agricultural products. |
| Debt burden of large farms |
In 2016, agricultural producers were given loans in the total volume of more than 1.5 trln rub. In this regard, even when an embedded system of subsidization of interest rates is used, the entrepreneurs repay their debt by the greater part of their profit, not directing it to the implementation of modern technologies. |
Significantly reduce the risks of crediting the agricultural manufacturers and, as a result, significantly reduce the rates on bank loans, which, in turn, have a strong impact on the cost of final products. |
| Prevalence of cheap and low-quality food in the structure of consumption |
The share of expenses on food in Russia is 50% of household expenses. Thus, the consumption of meat and meat products in Russia in 2016, according to Rosstat, was 73.5 kg per person, the consumption of milk and dairy products per person amounted to 239 kg (at norm of 325 kg), the consumption of vegetables and melons amounted to 111 kg , fruits and berries – 64 kg per person (at norm of 120-140 kg of vegetables and 90-100 kg of fruits and berries). |
The opportunity to provide customers with the products that contain information about the used seeds, preservatives and fertilizers brought into the product at all stages of production and marketing. This will allow to sell the products, produced according to special requirements, at special prices, for example, products for infant or dietary food, or environmentally friendly products. |
| Limited ability of the Russian agricultural producers to buy modern equipment |
There are no optimally equipped and staffed with qualified staff dealer and service centers for the sale and maintenance of agricultural machinery, precision farming technologies are not sufficiently developed and implemented. |
The development and implementation of the contract model of the equipment life cycle will fundamentally reduce the risks of agricultural manufacturers, as well as it will considerably increase the availability of small farms automation and mechanization Development and administration of the business model for the rental of equipment instead of its purchase with the possibility of payment upon consumption or by the collective use of equipment. |
| Long chain of intermediaries-wholesale and retail companies |
Small agricultural manufacturers have to hand over manufactured goods to wholesale networks often below their cost due to lack of access to the store shelves directly. It should be noted that up to 90% of the margin from the sale of such goods remains in wholesale and retail networks and banks. The selling price of such products in case of low quality is quite high concerning the level of real available income. |
The implementation of advanced digital technologies at agricultural enterprises can significantly reduce transaction costs in the case of purchase or sale of goods, as well as to minimize the supply chain. This will allow the resellers to maintain the same margin level of 5% while reducing the trade margin from 85% to 25-35%. At the same time, due to the increase in sales and consumption, the absolute values of the margin can theoretically reach an indicator exceeding the above mentioned in 1.5-2 times. |
| Low level of communication and IT infrastructure development |
At the moment, the territory of the agricultural lands in Russia is covered by the communication networks to an insufficient extent, because of this sometimes it is impossible to provide data transmission by various digital devices in real time. |
Reducing or subsidizing of the cost of the land for the possibility to place objects of communication on the part of the state, on the part of entrepreneurs – the development and investment in the appropriate infrastructure, for example, the laying of the new communication lines or the construction of antenna and mast structures. |
| Localized IT- solutions |
Developed localized IT solutions for the implementation at the enterprises in the agricultural sector are not currently available on the Russian market. Therefore, enterprises faces a situation when the market can provide a variety of separate proposals, but without the possibility of adaptation of such solutions to their needs or without the possibility of integrating such solutions among themselves at the enterprise. |
The widespread implementation and distribution of various kinds of modern digital technologies, such as cloud applications, Internet of things technology, services for managing the large amounts of data, modernization of communications used in rural areas, and finally, the development and implementation of the model of agricultural machinery rent. |
