ISSN: 1204-5357

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Research Article Open Access

INVESTING IN INNOVATION PROJECTS IN RUSSIA′S AGRIFOOD COMPLEX

Abstract

This paper examines the major aspects of the present-day operation of Russia’s agrifood complex, the state of its agricultural markets, the legal and regulatory framework underlying the sector’s operation, and the nation’s existing interregional trade barriers. The authors bring to light some of the issues related to filling the gaps in the funding of small and medium-sized businesses to ensure boosts in the innovation component and competitiveness of Russia’s agro-industrial complex. Small and medium-sized enterprises within the agro-industrial complex naturally have a pronounced regional orientation. There is a need to activate innovation processes in order to help remediate the sub-par technical and technological condition of the nation’s agricultural sector and food processing industry, insignificant levels of innovation-related activity at science and research institutions, lack of long-term strategy for adapting to changing client demands, and low competitiveness levels within the agrarian sector. A crucial element of policy respecting small and medium-sized enterprises within the agrifood complex is government support for programs financed through budgetary funds. RF legislation has set out specific forms and terms of financial government support for small innovation companies, a key element whereof is a system of funds that are intended to help support innovation and will be employed to finance small-business projects on concessionary terms. In recent years, there has been a continual increase in the number of venture funds with a clear-cut sectoral approach, mainly owing to brisk technological development in the real sector. A great many of these funds have been set up with the participation of state capital.

TATIANA IVANOVNA GULYAYEVA, TATIANA MIKHAILOVNA KUZNETSOVA, JULIA VLADIMIROVNA GNEZDOVA, MIKHAIL YAKOVLEVICH VESELOVSKY, NABI DALGATOVICH AVARSKII

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