Digitalization of Agriculture in Russia: Government Policy and Practice

Abstract:

In recent years, Russian agriculture has received a new impetus for development through the implementation of the import substitution policy and the improvement of state support tools as part of the implementation of the State Program for the Development of Agriculture and regulation of the market for agricultural products, raw materials and food. At the same time, unresolved problems remain in the industry, and the degree of development of digital technologies is quite low. The need for digitalization in agriculture is determined by a large number of factors affecting the efficiency and productivity of production processes including high labor intensity of production processes and staff shortages, high risks caused by climatic conditions, relatively low level of industrial engineering, increase in environmental pressure on ecosystems and others. These aspects determine the purpose of the study - to identify problems and factors hindering the transition of rural Russian economy to a digital model and the formation of a digital business. To achieve the goal regulatory legal acts of the Russian Federation, empirical studies of specialized organizations, experts in the field of digitalization of agriculture were studied. As a result it was found that the digital transformation of the industry depends, firstly, on the basic conditions, the formation of which is associated with the implementation of the economic, scientific and technical policy of the state; secondly, on the degree of activity and willingness of business and the population to use digital technologies to solve their problems. The limitations of business digitalization are: lack of own funds and, as a result, low level of financing for innovations and digital technologies, insufficient maturity of business processes, lack of specialists in the field of IT technologies and insufficient development of digital competencies among other specialists, low involvement of management and staff in the transformation, immature digital culture. The solution to these problems depends on both incentives and tools for supporting digital enterprises by the state and a change in the management paradigm at the corporate level.