BusinessIndustry

Efficiency of production in conditions of the most important tendencies of the world grain market

A major role in upholding national economic interests is played by the activity of business associations, their reasoned weighted civil position aimed, on the one hand, to a dialogue with the government, and on the other, to a readiness to firmly defend their legitimate rights. In the sphere of food security, one of the determining factors of these relations is the economic efficiency of grain production .

In terms of the economy of innovation, the current trends of globalization and the internationalization of the economy, the efficiency of grain production, like the problem of nutrition in general, remains unresolved. Moreover, in the conditions of the modern Internet community, the availability of numerous information on international production and consumption processes, including food, the task of information management of production of such an important type of products as food and feed grain remains unsolved.

Our research is aimed at demonstrating to the world of science and practice how clearly the decisive and relevant today is the efficiency of production in the agricultural segment of the economy and the information task of assessing the most important trends in the world grain market. Only after solving problems of this class can you honestly tackle other management tasks in social systems.

In early autumn 2010, experts from FAO (Food and Agriculture Organization of the United Nations) reported that the food crisis is not expected, although the international food markets will be unstable, as the efficiency of food production is declining. However, the worldwide trend of a sharp jump in food prices in late 2010 and early 2011 forced the experts of this organization to talk about a new food crisis. FAO's last report in this sense is disappointing. World prices in the food sector reached a record high in January 2011, when the FAO index rose by 3.4% over the month to 231 points.

Increase the expectation of such a crisis and the current trends in the global grain market and the corresponding production efficiency at agricultural processing enterprises.

This view is based on the obvious influence of the world grain market on the capabilities of most other segments of the world food market in which grain is used as raw material (flour, cereals, etc.) or as feed for livestock and poultry.

If we talk about the most important trends that are shaping the world grain market today, they are, according to the authors, the following.

The main grain producers - China and India - are increasingly becoming importers of wheat and corn. It is caused by the following reasons:

- the recent growth in demand for food in these countries, caused by rising incomes of the population;

- the lag in the production of cereals in these countries from the growth of domestic consumption;

- the deterioration in these countries in recent years of natural conditions in the regions of commodity production of cereals.

True, both countries are intensifying their attention to national grain production:

- China has already invited the largest company in Asia, engaged in the organization of industrial maize cultivation, to the country, it draws international experience in creating modern enterprises for the production of forage harvesting equipment and increasing the production efficiency there.

- India has not yet been able to solve the problem of more efficient use of its acreage, which is about 10% of the world wedge. First and foremost, this is the impossibility of mechanizing agricultural production, when an average of 1.5 hectares of arable land per farm.

The main grain exporting countries, according to the experts of the International Grains Council, will not be able to increase production of the main grain crops of the world market - wheat, maize and rice in the coming years.

The trend already manifested in the exporting countries of grain from the Southern Hemisphere (Australia, Argentina) indicates that the crop yields in the exporting countries in the 2012/2013 crop season may be low for weather reasons.

In a number of exporting countries, grains from the Northern Hemisphere for reasons of last year's unsatisfactory weather and organizational conditions did not manage to create high-quality seed stocks for sowing.

Individual countries exporters raised significantly in late 2011 the price of grain from the reserves of past years and have not yet been able to sell it profitable.

A number of exporting countries (Russia, Ukraine) have banned or restricted the export of their grain, which also leads to higher prices in the grain market.

Summing up the revealed the most important tendencies in the grain market, we can formulate some conclusions:

- the supply of grain on the world market in 2012 will fall, and the demand naturally increases more and more;

- Most grain importers will not be able to weaken the need for grain imports due to domestic production growth by natural and economic conditions, but they will not have currency reserves to increase purchases;

- there will be a situation when the exporting countries will not be able to offer the requested amount of cheap grain, and the importing countries will not be able to buy all the offered grain because of the high price;

- in fact, the problem is that it is impossible to grow and offer grain to developing countries importing at a cost that, in order to achieve a coordinated price on the international market for a significant part of the world grain crop;

- Weather conditions in 2012, as in previous years, will mainly negatively affect the results of grain production.

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