IMPACT OF ECONOMIC SANCTIONS ON THE FOOD PRODUCTION AND CONSUMPTION IN RUSSIA
DOI:
https://doi.org/10.32461/2226-3209.1.2018.178355Abstract
Abstract. At the present stage, the study of the impact of sanctions on the economy of various countries is becoming more and more relevant. A retrospective analysis of Russia's international relations with other countries suggests that the first sanctions date back to 1930. Therefore, for Russia, the conditions created are not something new. Modern sanctions are more personalized and have a sectoral focus. In Russia, the introduction of a food embargo has contradictory results. There are both positive and negative sides. By calculating the growth of the minimum food basket cost index and the physiological needs satisfaction rating for the population of the Russian Federation in food and other
indicators, it was determined that the sanctions had a negative impact on the economic availability of food for the population, while the volume of domestic production could not fully compensate for the temporarily created deficit. The position of the agrarian sector in the Russian economy remains unimportant, as evidenced by the indicators of the share of agriculture in GDP and its share in total investments. The extensive development path does not allow attracting sufficient investments for technical and technological modernization of the agro-industrial production. As a result, there
was a rise in food prices, replacement of major food importers, food quality reduction. The use of decile groups of the population in terms of income has led to the conclusion that the consumption of agricultural and food products has decreased by the first group with the lowest income level, which is approximately 29.4 million people. There is a lack of protein and carbohydrate intake. The turnover of substandard and falsified food products is growing. In such circumstances, the continuation of the food embargo by Russia requires careful study. Attention should be paid to the mechanisms of food distribution and monetary compensation within the framework of domestic food aid to low-income
categories of the Russian population.
Keywords: consumption, production, food, embargo, sanctions.
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