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Financial Analytics: Science and Experience
 

Risks of the import substitution strategy in the Russian agricultural industrial complex

Vol. 9, Iss. 3, JANUARY 2016

PDF  Article PDF Version

Received: 26 November 2015

Accepted: 13 January 2016

Available online: 27 January 2016

Subject Heading: RISK, ANALYSIS AND EVALUATION

JEL Classification: C53, C54, G18, R58

Pages: 28-38

Fedotova G.V. Volgograd State Technical University, Volgograd, Russian Federation
g_evgeeva@mail.ru

Dubinina E.D. Volgograd State Technical University, Volgograd, Russian Federation
kdubinina95@mail.ru

Importance Being an insufficiently studied process, import substitution should be clarified and promoted, especially considering the current situation in domestic agriculture. It is reasonable to optimize food import, study theoretical and applied aspects, understand causes and effects of the crisis in agriculture on the Russian economy, as well as all possible risks in domestic agriculture.
     Objectives The article reveals the substance and specifics of import substitution risks as part of the Russian agriculture, outlines import substitution issues and identifies relevant risks in terms of the systems approach. The research represents comprehensive analysis of risks, and suggests their mitigation measures.
     Methods The research relies upon methods of comparative analysis, systematization, classification, SWOT analysis, analogy, and comparison.
     Results We provide a comprehensive overview of the main import substitution risks. We identified possibilities to implement the import substitution strategy in the Russian animal husbandry, classified agricultural risks and estimated possible losses. We determined measures to mitigate risks and possible adjustments to the State agricultural development program.
     Conclusions and Relevance Setting up the mechanism for curbing raw material and food import in the Russian agriculture is a timely step to improve food security.

Keywords: agricultural sector, import substitution risk, import substitution

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