There is a lot of talk about small business today. Its share in GDP is an indicator of the social orientation of the economy. This applies to all sectors, including agriculture, where peasant (farmer) farms are a significant component of small business. For the village, farmers are also the most important factor in the preservation of rural society and its employment, as well as rural infrastructure.
The decrease in the number of peasant farms from 308,000 to 168,000 over the past 9 years confirms the conclusion that it has not yet been possible to create conditions for mass family farming, for its sustainable development. The existing system of inspections and controls, distribution channels, the mercury system, labeling, lending and state support – all this has not developed in favor of small farms. Therefore, the strongest survive if they were able to gain a foothold, enlarge and integrate into the system of economic relations. Land-poor and unstable farms are forced to either go out of business, going bankrupt, or switch to the format of personal subsidiary farms.
This, of course, should be paid serious attention by the state in order to preserve the population of the territories, produce healthy products by a mass of dispersed producers, and ensure the stability of the ecosystem as a whole. If these goals are recognized as significant, then it is necessary to jointly develop and approve a long-term strategy for the development of small businesses, which provides for the setting of tasks for departments, regional administrations, existing financial and other involved institutions. In each region, it is necessary to develop regional programs for the development of small farms, adopt regional laws and launch appropriate priority projects that provide for the coordinated interaction of all structures in order to create family farms with their simultaneous inclusion in inter-farm, including cooperative, interaction. We know that these tasks are being effectively addressed in the Krasnodar Territory, the Republic of Tatarstan and the Ulyanovsk Region. There is an interesting experience in the development of farms in Belogorye in the Belgorod region and a number of other regions.
It was gratifying to hear about the formation of a regional program for the development of small farms, namely cooperation, at the farmers’ conference in Tambov. This was stated by Governor Alexander Nikitin. Today, such a program is being developed in the Orenburg region, based on the experience of their colleagues from Tatarstan. In the Novosibirsk Region, it was possible to concentrate state support on small and medium-sized agricultural producers, thereby increasing the access of SMEs, including farmers, to subsidies. This was stated by the head of the region, Andrey Travnikov, at a conference of farmers, timed to coincide with the 30th anniversary of the farmer movement. However, we cannot say that serious systemic steps are being taken throughout the country in all regions of the Russian Federation to create and develop family farms and improve their access to resources.
For each particular family, the choice in favor of independent farming on land or agricultural specialty depends on specific simple factors – living conditions, profitability, stability, the presence of barriers, markets, vision of prospects. And this motivation system needs to be created. This is the popularization of the experience of successful family farms through special programs on television, video channels and social networks. These are “lifting” and “grants”. This is the availability of land resources, loans, subsidies, sales markets, and consulting. These are supportive measures in the system of specialized agricultural education.
Who is ready to become a farmer today
Who becomes a farmer today?
Children of farmers who shared farm work with their parents and saw interest in it. Unfortunately, this is not 100% the choice of children who grew up in farm families.
Farmers can be residents of rural areas who have a backyard farm in the presence of incentive programs for private household plots.
The choice in favor of farming can be formed by graduates of higher and secondary specialized institutions. After training as a veterinarian for farm animals, children can decide to create a family farm, as this will allow them to more fully realize their knowledge and their own potential in practice.
Middle-aged people who prefer to change their lifestyle from urban to rural with a simultaneous desire to engage in agricultural activities can also organize their own farm.
There are many cases when urban youth decide to move to the countryside, having initial resources, invest them in business and earn money within the framework of their own farm.
And for all novice farmers, the conditions for sustainability are mainly associated with the inclusion of mutually beneficial inter-farm interaction, including cooperative, in various models.
Therefore, it is advisable to support grantees based on the principle of clustering. Several farms with the same product, working on a common technology, are sufficient in a close location and are able to create inter-farm interaction through a cooperative or by integrating with each other or with a larger business. At the very least, it increases the stability of the system.
In this regard, the support measure implemented within the framework of the federal project Creation of a support system for farming and cooperation, associated with the simultaneous receipt of a grant for an agricultural startup and a grant for a contribution in a consumer cooperative, is incredibly progressive. And AKKOR actively supported this measure at the decision-making stage of the relevant departments. Unfortunately, today it is not actively implemented in the regions. On the one hand, there is not enough popularization and explanatory work, on the other hand, farmers see risks in starting both their own project and a cooperative one at the same time. In this regard, it is also important to help farmer self-government organizations and competence centers, which should also function at the district level and conduct explanatory and organizational work with people of both municipalities and rural settlements.
Of course, there are successful young people who have studied their specific field in depth and built the necessary connections and logistics on their own. And thank goodness! But we understand that not everyone is like that.
Knowledge and Competencies
To a large extent, the reason for the instability of farms lies in the lack of competencies and knowledge that would make it possible to mitigate risks as much as possible, reducing costs and increasing productivity, creating or integrating into economic models.
Young people who see farming as a way to realize their potential and a profitable business, when approaching the practical implementation of projects, need systematic knowledge and specific industry information. And to do this, you need to learn the specifics of technological production processes and accounting, to be aware of the gaps in the production and financial cycles.
In order to prepare the generation of farmers with the necessary competencies in the creation and organization of peasant farms, the most important project “Farmer’s School” is being implemented today with the direct participation of JSC “Russian Agricultural Bank” with the support of the Ministry of Agriculture of the Russian Federation and regional executive authorities, as well as higher educational agricultural institutions. Currently, the Farmer’s School is already opening in 40 regions of the Russian Federation. And in many of them, regional AKKOR actively participate in the work of the school – they select “students”, give lectures, find farms for practice, and participate in the development of the training program. AKKOR also supported the project at the federal level at its very start at the opening of the first four schools, which took place on September 1, 2020.
However, despite the active work on the implementation of this training project, there is a great need for the training of future farmers to be carried out within the framework of professional standards and educational programs of secondary specialized or even higher education. And here’s what’s important. Many novice farmers, after completing their studies at the farmer’s school, are aware of the need for further education. After graduating from school, many participants are going to enter the full-time and part-time department in their specialties. For example, realizing that there is a shortage of a veterinarian on the farm, and today in this direction, there is, perhaps, the most acute shortage of personnel, farmers are going to enter this faculty themselves. This is the most significant strategic result of the school.
Of course, it is expedient to introduce higher and secondary specialized education in the specialty of “farmer”. This was stated by the rector of the Ulyanovsk State Agrarian University named after P.A. Stolypin Vitaly Isaichev at a farmer’s conference in Ulyanovsk. In our opinion, this is one of the most powerful factors in the popularization of farming as such and obtaining the necessary qualifications to start your own business on agricultural land.
There will be much more choices on the part of rural youth on the farm path if it is preceded by vocational guidance in rural schools, and then there will be an opportunity to acquire the specialty of “farmer” within the framework of secondary specialized education. Obtaining such education within the quota for free places would be of great importance. And further, the importance of grant support cannot be overestimated.
Education of farmers in Germany
In Germany, citizens who choose the path of farming receive a three-year education on a farm in combination with a vocational school after basic school. This is the so-called dual system, in which there is both theory and practice. After three years, they pass the qualification exam and become “farmers”. Farming in Germany is a profession recognized by the state!
During his professional career, he can get a more specialized education in special subjects or also apply for a master’s exam.
With this qualification, they can apply for admission to an agricultural college or even a university.
This education is paid, however, in case of financial difficulties, there are opportunities to receive grants and targeted loans.
More than 80% of German full-time farmers have a good vocational education, with more than 50% having a university degree in agriculture. It makes sense for us to move in this direction.
Vice-President of AKKOR
Olga Bashmachnikova