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The development of cooperative ties farms in Ukraine

Farming – the newest form of management in modern market conditions on agricultural land that characterizes the agricultural
sector, and through it the economy of Ukraine. The largest share in the total number of the legal form occupies
small farms. In 2015 there were about 31 thousand households or 92% of the total. During 2010-2015 their number decreased
by almost 10% as a result of bankruptcy.
The main reasons that necessitate the development of cooperative relations are: lack of adequate financial resources required
for the implementation of simple and expanded reproduction resource potential of farms; small area of land; low
professional level of farms; lack of developed industrial infrastructure; weak and ineffective government support; disparity
in prices for industrial and agricultural products. These reasons speak a common motif that encourages farmers to join forces
to ensure the steady development of farms and hence maximize profits.
The results of research activities in the farm there is a significant number of problems that hinder their further development.
The problems of farmers in the marketing of products related to their remoteness from markets, lack of points processed
products, low volume production. Small farmers who hold the largest share in the structure of the categories of agricultural
enterprises are not competitive with larger farms in terms of access to market infrastructure.
In the farms in the course of business, there are problems relating to the obtaining bank loans on the one hand, commercial
banks are not interested in working with small borrowers because of high risk of loan default on the other – farmers
seeking loans because of their high cost and complexity design. Existing problems are common for farmers because, in our
opinion, to solve them they should establish cooperation among themselves and with other farms types of business entity
through the development of cooperative-integrative relations. This will maximize the use of their existing production resources,
receive additional benefit from joint operations carried out at various stages of production and become more competitive.
Note that the negative impact on the development of the cooperative movement of farmers affected that among most of
them have not formed a trust relationship that would carry out joint business. Contradictory and inconsistent interests, management of this category of farms, the risk of loss of assets, creates mistrust and suspicion. The negative impact on the
farmers and their cooperatives have poor information provision.
For agricultural producers an important operational and qualitative information, allowing production to adapt to changing
external factors. Joining the cooperative, farmers must assess their competitiveness, to consider a number of factors and
conditions, the time to obtain the necessary information in the most accessible manner. He is learning the basics of laws on
land use, taxation, labor relations. Helps to understand the Agricultural Extension Service, which organizes courses and
creating centers of cooperation. Cooperatives operate in a single system of agricultural enterprises of other types of business
entity as advisory and information services of the cooperative, the only appropriate to carry out teaching and information
and counseling centers.
Improving the efficiency of farms, increase revenue from the production and sale of its products, possibly by bringing
farms, their inclusion in the cooperative movement. Rural cooperatives (production, supply, marketing, consumer, etc.).
Involves improving manufacturing and service sectors, trade, thereby increasing rural employment, improving the social
climate in rural areas.
In this regard, in the world has acquired extensive development cooperation in the areas of providing services to agricultural
producers in the organization of processes such as sales of products i processing, logistics and other service production
through agricultural service cooperatives.
The need for a cooperative farms is determined primarily by the possibilities of cooperation. In the circumstances, in
our view, it is useful to develop simple forms of cooperation farms is important that they solve their problems, worked together,
for example, organized a joint procurement of fertilizer, planting material, seeds, concluded contracts with suppliers.
This will allow them to establish trust, to become economically stronger, and then create large cooperatives.
We believe that cooperative farms should be developed through the creation of consumer cooperatives, types are determined
by the major problems faced by farmers. Therefore, we believe the most promising development of these types of
cooperatives: marketing, credit cooperatives to purchase and use of technology; information and consultation. Problems
associated with marketing difficulties can be resolved marketing cooperatives. Consumer cooperative marketing can perform
the following functions: learning market; providing members of the cooperative information about market conditions
and potential sales partners; coordination realizable prices for products; sale preparation products; storage and transportation
of products; sale of products; settling for products sold. Sales of products through cooperative profitable each of its
members. Thus, agricultural producers do not need to create its own distribution network and marketing services to negotiate
with many resellers or direct consumers and processors receive additional source of raw materials, which allows better
use of production capacity. Cooperation allows producers to sell agricultural products on time, reduce losses at the stage of
transportation and processing, increase the profitability of farms and increase production.
Thus, the promising areas of cooperation farms is an organization of consumer cooperatives. When organizing cooperation
should use the experience of countries with developed economies, it should be tailored to suit the agricultural sector of
Ukraine, which has developed historically.
To speed up development cooperation should be intensified farming processes financial security of rural producers via
the credit cooperatives, and develop a mechanism provided subsidies embedded directly in the contractual purchase price of
agricultural products. Increasing monopolization of the refineries as joint stock companies leads to the need for farmers in
shaping the purchasing and marketing cooperative organization for agricultural products processing. Therefore, cooperation
of farmers in agricultural production, its procurement, storage, transportation, processing and sale has become one of the
important areas of agricultural production, a form of guarantee food security, farmers' exit means competitive on external
food market.
Supporting farmers through their cooperation will not only help restore the production of agricultural products, which
were superseded by large producers, but also contribute to sustainable rural development and revival of the peasantry.
Key words: farms, cooperation, agricultural service cooperatives, marketing, consumer cooperatives, agricultural enterprises.

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