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National Interests: Priorities and Security
 

Incentives of the State to promote the retrofitting of the agricultural sector: Regional considerations

Vol. 16, Iss. 6, JUNE 2020

Received: 31 March 2020

Received in revised form: 16 April 2020

Accepted: 30 April 2020

Available online: 16 June 2020

Subject Heading: ECONOMIC POLICY OF THE STATE

JEL Classification: O13, Q14, Q16, Q18, R11, R12

Pages: 1101–1113

https://doi.org/10.24891/ni.16.6.1101

Sharipov Sh.I. Dagestan State University of National Economy (DSUNE), Makhachkala, Republic of Dagestan, Russian Federation
sharips@mail.ru

https://orcid.org/0000-0002-2820-8247

Gutuev M.Sh. Dagestan State University of National Economy (DSUNE), Makhachkala, Republic of Dagestan, Russian Federation
economy@dgunh.ru

ORCID id: not available

Ibragimova B.Sh. All-Russian Institute of Agrarian Problems and Informatics named after A.A. Nikonov (VIAPI n.a. A.A. Nikonov – Branch of FRC AESDRA VNIIESH), Moscow, Russian Federation
Bakhu1991@mail.ru

ORCID id: not available

Subject. The article discusses the availability of technological equipment in the agriculture of the Republic of Dagestan.
Objectives. We analyze the current situation and trends in the development of available technological equipment in the republican agriculture, identify the role and place of machine and tractor fleet in the retrofitting of the regional agriculture.
Methods. The study is based on monographic, abstract logic, statistical, analytical methods.
Results. Dagestan has got a critically few technological equipment, which affects the development of the regional agricultural sector. The availability of technological equipment is found to have dramatically reduced in animal husbandry for the recent 30 years. The availability of technological equipment and land cultivation strongly correlates, thus simplifying applicable agricultural technologies. Most agricultural producers of Dagestan were found to be unable to participate in the program for federal agricultural lease.
Conclusions and Relevance. The deterioration of available technological equipment in agriculture is a key cause undermining the competitiveness of products and efficiency of the regional agriculture. We prove the importance of governmental actions incentivizing the influx of new technological equipment, including a set of measures reinforcing the availability of technological equipment. As long as most agricultural producers are microbusinesses that lack resources to participate in many machine renovation programs, funding should be increased substantially to subsidize a portion of equipment acquisition costs incurred by agricultural producers, and a portion of reimbursed costs as much as at least 50 percent of the value of agricultural machines acquired.

Keywords: technological equipment, agriculture, lease, retrofitting

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