Food - the main resource produced in the course of agricultural production. A small proportion of it is produced on its own land participants by residents of villages, cities and suburbs. Despite a small part in the structure of production scale, the value of subsidiary farms is difficult to overestimate. They allow citizens to survive in a rapidly falling economy, against the backdrop of food sanctions and propaganda import substitution. In light of this, the ability to produce at least some of the products for their own needs or sales is becoming increasingly important. There is a way for owners of land plots, how to increase the scale of their production, you can get a subsidy for the development of personal subsidiary farming (LPH) in 2017.

Support for farming and agriculture is carried out at different levels. However, given the role of private farms, the need for its promotion and development is obvious. First, the subsidiary farm is able to take useful productive labor of persons not involved in social production. Secondly, it is able to provide a significant share of food to those who lead it. Thirdly, personal subsidiary farming allows the production of a number of agricultural products that are not produced industrially but are in demand. Fourthly, small volumes of manufactured products allow you to quickly implement perishable food.

The concept and essence of LPH established by law. It refers to non-business activity, the result of which is the production and processing of agricultural products. This means that the product is not made for profit, but to meet its own needs and requirements. A big plus is the possibility of selling products, as well as conducting business without any registration with state fiscal authorities.

The right to conduct personal subsidiary farming arises from the moment of receipt of the land in ownership or use.

Agrarian production is a rather complicated, time consuming and resource intensive business. This is especially felt in private farms, where all activities are carried out by family members, since private farms cannot be an employer, according to the law. Modernization helps to simplify basic operations, which, however, is far from affordable for every rural person.

Subsidiary support

The legislation provides that in 2017, state support for private farms is carried out in the following areas:

• the creation of a modern and developed infrastructure in the immediate vicinity and access of persons leading household farms (in this direction gasification, electrification, communication, transportation and other measures are being implemented);
• introduction and expansion of agricultural cooperation, which allows making the procedures for the production and processing of agricultural products easier and more efficient;
• the formation of organizational conditions, the maintenance of environmental, socio-economic for adequate functioning of private farms;
• organization of access of persons engaged in subsidiary farming to the achievements of scientific and technological progress in the agricultural sector.

In addition to ensuring the conditions and increasing the attractiveness of running an individual farm in 2017, it also provides for monetary incentives:

• on the maintenance of livestock (requires compliance with the minimum number);
• the return of part of the money spent by citizens on the purchase of technical equipment, the modernization of production activities;
• cost recovery for slaughter;
• purchase of fuel, necessary parts for agricultural machinery, herbicides, fertilizers, other agrochemistry and funds needed for tillage, animal husbandry or the processing of raw materials;
• artificial insemination of cattle.

How to get a subsidy

Persons applying for subsidies for the development of subsidiary farms should apply to the local authorities with the appropriate application. The application for the provision of budgetary funds for the above or other needs of the own economy must be accompanied by appropriate documents confirming the right and necessity of allocating such money. Package may include:

• an extract from the household book, which records the operations of the economic activity in the framework of the private sector;
• evidence of spending on the needs of modernization and improvement of private farms (receipts, payment orders and other documents);
• photocopies of technical documents on vehicles and off-road agricultural machinery used in the framework of the subsidiary farm;
• copies of paid contracts on the basis of which the person received funds to improve the business procedure;
• acts of acceptance of work for slaughter;
• livestock registry.

The size of subsidies in 2017 for certain types of cost redemption or development is determined by local authorities within the budget funds allocated for that.

Upon receipt of the subsidy, according to the law, the individual does not have to pay tax on the income of natural persons, provided that:

• funds are used according to their intended purpose and nothing else;
• the total area of ​​land used for maintenance of private farms is no more than half a hectare (regional authorities are authorized to increase the amount of cultivated own land by no more than five times);
• hired workers are not involved in activities on the subsidiary farm, all work is carried out by the owner / user of the land and members of his family.

Thus, subject to the simple rules provided by law, the person conducting the personal subsidiary farm can apply for a subsidy. State aid is envisaged in various areas of activity and for various needs of small-scale agriculture. Specific rules for receiving funds, the procedure and the amount of cash payments can be found directly at the regional government agencies and local governments.

At the same time, it is worth remembering that despite the emergence of the right to receive a refund from states or local authorities or money to modernize the procedure for the production and processing of agricultural products, such programs are financed within the framework of budget revenues to the regions. Given the recent trends in the distribution of the cost part of the state budget, there are no big prospects in government support for the agricultural production sector in 2017. However, one should not neglect his right to receive a subsidy, because some funds for them are provided and will be allocated to virtually every subject of the federation, so you should take the chance to get them.

Attention! Due to recent changes in legislation, legal information in this article could be outdated!

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The prospect of the development of personal subsidiary farms - cooperation

A complex approach.   Today, in economic circles, more and more attention is paid to personal subsidiary farms (LPH), due to their large number and high share in the production of agricultural products. In this regard, there are discussions about the future prospects of private farms, their role and place in the country's agriculture, the state strategy for their regulation, promotion and reform.

The development strategy for private farms must be linked to the general strategy for the development of agriculture, with the strategy for the development of rural territories, which, in turn, must be consistent with the strategy for the development of the national economy. With a separate consideration of the LPH, an outcome is likely, as in Krylov's fable, "The Swan, Pike, and Cancer."

How do we see agriculture in the future, what place will it take in a diversified economy? What structure of agriculture do we strive for? What decisions will we take to settle the country's territory? Answers to these and many other questions should directly influence the development of the development strategy for private farms. In the majority of modern studies on private farms, these aspects are not considered, which makes the conclusions obtained in them difficult to apply in practice.

Base or relic.   When making a strategic decision on the development of private farms, it is necessary to build on the objective shortcomings and advantages of this form of management.

The main disadvantages of LPH are low factor productivity; lack of material and technical resources; low cost recovery; low awareness (according to the legislation, state programs, technologies, etc.). All of the listed disadvantages of subsidiary management are mainly due to the limited individual, small-scale, use of resources (production, marketing, procurement, etc.).

Actually the term "subsidiary farm" indicates the secondary, auxiliary character of private household farms. Historically, subsidiary farms appeared as a supplement in relation to larger forms of farming (collective and state farms). Often, according to many collective farm managers, private farms hindered collective work, which reduced its productivity.

Despite the objective shortcomings, private farms have several advantages. First, there is a large potential in the LPH for expanding agricultural products of domestic production (food security, affordable and high-quality food). Secondly, private farms - the basis of the endangered rural population, in fact, the main source of its survival. Not to promote the development of private farms today means to abandon to a large number of rural residents. Thirdly, private farms have a great social value as an additional source of benefits (food, health, recreation and tourism, raising children, cultural transformation, etc.) for the poor, which are liberal in the majority of Russia. Fourthly, developing private farms has a huge potential as an integral unit for the development of large forms of business based on cooperation or integration.

The apparent predominance of the advantages of private farms over the disadvantages should not be misleading as to the prospects of the subsidiary form as an independent business unit. The majority of public benefits from private farms, provided that the income is fairly distributed, can more than be achieved within large business forms that can take full advantage of economies of scale.

However, when deciding on the future of private farms cannot be guided only by the criteria of economic efficiency. To abandon the fate of workers of private farms and engage exclusively in support of "major players" means to repeat the mistake of the 90s, when many decisions were made without taking into account the transition period, with its difficulties, victims, imbalances, etc.

LPH, of course, can not be the base, the basis for agriculture, but at the same time it is now an integral part of it. Therefore, it is necessary to provide conditions for the involvement of private farms in larger organizational and economic complexes. Expansion at the expense of LPH of the still weak cooperative sector of agriculture seems promising.

Development Perspective - Cooperation. More than a century of world experience indicates that the development of small forms of economic management in agriculture, which include private farms, is associated with the development of cooperatives serving them. So it was in pre-revolutionary Russia, and so it is now in Western countries. In France and the USA, for example, almost 80% of farmers are covered by cooperation. In Sweden, farmers are credited almost entirely through credit cooperatives.

Cooperative formations allow disparate small farms to combine their resources (labor, technical, land, monetary, transport, sales, etc.) for more efficient use. In today's prevailing conditions, small agricultural producers face monopolists or oligopolists (banks, leasing companies, suppliers of electricity and technology, resellers, transport companies, retail chains, etc.) at almost all stages of their business. To operate a profitable economy in such a situation is possible only with joint efforts, expansion, consolidation, diversification, etc. This can be achieved through production and consumer (supply, marketing, credit, processing, etc.) cooperation.

The cooperative legal form is more preferable among other large economic forms, since it is devoid of many negative features inherent in them. For example, an alternative combination of small forms and super-large, corporate ones that is being implemented today in Russia is less productive for several reasons: an increase in price disparities, an increase in the share of wage labor, a deterioration in the socio-economic condition of rural areas, a concentration of land resources of large companies, etc. .

The cooperative form of management has long been recognized worldwide as an effective tool for solving social and economic problems. In many countries with a so-called market economy, farmers' cooperatives play a significant, and sometimes a leading role in the interaction of agriculture with other sectors of the economy and the development of the agricultural industry as a whole.

In Northern Europe, the Netherlands, Ireland and Japan, almost all primary agricultural producers are covered by the cooperative movement. Far less participation of farmers in agricultural cooperation is observed in continental Europe (80%) and the USA, Canada, Australia (from 60 to 80%).

In the countries of the European Union, agricultural cooperatives produce up to 60% of food products, in the USA, the share of cooperatives accounts for 30% of all marketable agricultural products. Japanese cooperatives sell about 90% of all agricultural products and supply about 80% of the necessary means of production to farmers. Scandinavian cooperatives supply up to 85% of all agricultural products, and cooperative enterprises produce up to half of food industry products.

Support measures. Government support for private farms should be associated with state support for all agriculture and should be consistent with the strategy for the development of agriculture. Now there are many private strategies, programs, concepts for the development of agriculture (for example, the sectoral target programs “Development of peasant (farmer) farms and other small farms in the agroindustrial complex for 2009-2011”, “Development of pilot family dairy livestock farms based on peasant farms (farmer) farms for 2009-2011 ", the concept of development of agricultural consumer cooperatives). All of them are individual, little connected with each other. There is no comprehensive, common, connecting concept.

The effectiveness of modern state support for agriculture and private households in particular is very low. Among other things, this is explained precisely by a private, non-integrated approach to agriculture. The national economy is a system of industries that influence each other. Regulation and support of one industry affects other industries (through profitability, relative prices, demand, etc.). Therefore, it is impossible to manage the industry with uncoordinated macroeconomic (economic) and industry (in our case, agricultural) policy.

Tariffs of natural monopolies, interest rates of banks, the trade sector, etc. directly affect agriculture, now more often negatively. Therefore, you can endlessly help agriculture, but the growth of tariffs, the high rate of the Central Bank, the monopoly of commercial capital will bring to naught all this help.

For example, in the state program, the development of agriculture and regulation of markets for agricultural products, raw materials and food for 2008-2011. Approximately 38% (38 billion rubles in 2009) of the annual total amount of pledged financing is the cost of subsidizing interest payments. That is, 38% of state agricultural support funds go annually to the banking sector (according to expert estimates, in fact, even more).

Necessary support for private farms, as well as all agricultural enterprises, is provision of conditions for the sale of products at reasonable prices (corresponding to prices for products of sectors I and III of the agro-industrial complex), which can be achieved by providing trading places on preferential terms, government procurement, stimulating the development of consumer cooperation the development of a network of information and consulting centers, etc.

The main result of such support for private farms for all agriculture is even more indirect, strategic rather than direct, as a favorable environment will be created for living on the land, farming, working in the countryside, etc. As far as involvement in the business processes, private farms will expand, create artels, unions, cooperatives, will unite with other enterprises.

From the point of view of public administration, it is much more effective to maintain and develop not a lot of separate subsidiary farms, but their organized cooperatives. The state is interested in the sustainable functioning of a multi-level system of agricultural consumer cooperation. With the help of such a structure, it is possible to implement agricultural state programs and solve strategic tasks, in particular food security, financing agricultural producers, government purchases, education, information support, etc. The system of regional representations of the Ministry of Agriculture, as experience shows, is not able to solve this kind of problem. This is largely due to the fact that the ministerial hierarchy is built on the principle of “top down”, and the cooperative, on the contrary, “bottom up”.

The modern world and domestic experience of the early 20th century suggests that the task of cooperating small and medium-sized farms can be successfully solved. For example, the pre-revolutionary breeding cooperation in Russia was the brilliant page of the entire cooperative movement. In 1895, the first cooperative dairy was opened in Tobolsk Governorate, and after a few years dairy artels covered almost all of Siberia. In 1907, the dairy artels created the Union of Siberian Butter Artels, which opened its offices in Moscow, St. Petersburg, Omsk, Barnaul, Vladivostok and other Russian cities. In 1912 he established contacts with British trade organizations and established a joint-stock Russian-English oil export company. By this year, the union had already united 382 artels, and by 1918 - almost 2000. In addition, 628 artel consumer societies functioned. The Union organized dozens of its offices, increased the fleet of refrigerated wagons, equipped berths in the Baltic ports and created the Union partnership in London. Members of butter artels were supplied with goods on credit. Incomes of butter-making artels were distributed in proportion to the milk supplied. During its heyday, up to 30% of all Siberian oil passed through the Union of Artels.

This material was prepared in 2012. Since then, this article is still relevant. All ideas concerning personal subsidiary farms are applicable also for eco-settlements, small farms, individual entrepreneurs. A balance between the efficiency and the initiative of small systems and the resources and scale of large systems can be found in cooperative associations of small business forms.

If you need to develop your personal subsidiary farm, but there is no free money for this, then it would be wise to use borrowed funds. Today we will discuss in detail how to get a loan for the development of private farms in Rosselkhozbank.

This type of lending  is the most popular and priority for this banking institution. For issuing loans, citizens can take advantage of a special state subsidy that covers part of the costs, due to which the borrower draws up a contract at a reduced interest rate.

Can give up to 300 thousand rubles  under the subsidy program for a period of up to 2 years in an amount for the following purposes:

• purchase of fuel and lubricants;
• purchase of fertilizers, plant protection products;
• purchase of young farm animals. animals;
• payment of electricity used for irrigation;
• pay rent of land, premises, warehouses and warehouses for the duration of the loan transaction;
• purchase of planting material (seeds);
• purchase of materials for construction, reconstruction and repair of fences and fences;
• other seasonal costs.

It can also be allocated up to 700 thousand.  for up to 5 years with state support, the goals are as follows:

• the purchase of farm animals;
• purchase of equipment for animal husbandry and processing of agricultural products;
• repair, reconstruction and construction of livestock buildings;
• purchase of gas equipment and connection to gas networks;
• obtaining land plots for agricultural purposes in property and other areas of capital investments;
• the purchase of general-purpose automobiles, chassis, vans and dump trucks with a total mass of 3.5 tons or less;
• trailers and tractor semi trailers;
• tractors with power up to 100 hp;
• equipment for livestock and agricultural processing;
• irrigation equipment, etc.

Today there are three programs.which are aimed at the development of farms. Next we look at each of them in more detail:

• “With collateral”, where in his capacity may be a surety of a natural or legal person, or pledge of liquid assets  . If the purpose of a loan is to purchase equipment or equipment, they also become pledged items. Term - from 3 months, can give up to 1 million, to "reliable" clients - up to 1.5 million rubles. Interest rate from 14.9 to 31% per annum. It is possible to establish a grace period for debt repayment, payments annuity  and differentiated ,
• "Without security" - issued strictly up to 700 thousand rubles. for the period from 48 to 60 months, there is no grace period. The percentage starts from 21.5% per year, varies up to 36.5%;
• « Refinancing  »Existing debt is carried out in the amount of from 100 to 700 thousand for a period of up to 5 years inclusive, with a guarantee or pledge. Payments are differentiated, without a grace period. Rate of 19.5% per annum.

Requirements:

• Age from 23 to 75 years,
• Russian citizenship, permanent registration,
• Work experience of 6 months for citizens not related to private households,
• For the leading farm, the presence of records in the business book of the local government body on the management of LPH for at least 12 months,
• All types of income are accepted - from combination jobs, individual entrepreneurs, pension payments, income from other sources permitted by law,
• You can attract co-borrowers.

Requirements for the LPH itself, as well as a list of the necessary documents, can be found on the official website of the Agricultural Bank at rshb.ru/natural/loans/lph_all/.

With the introduction of Western sanctions for agricultural production, additional incentives have emerged.

The government has set a goal to fill outlets with Russian products, and today farmers are offered solid support programs.

What is their essence and how to use state aid to a farmer?

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Objectives of these programs

These are the realities of the agrarian sector of the economy: without the support of the farmer, and even large representatives, it is difficult to achieve serious and stable results. Therefore, at the government level there are systemic financial injections - subsidies to the industry in all areas.

These include:

The legislative framework

The main regulator of the agro-industrial sector is the Federal Law "On the Development of Agriculture".

Support Strategy for the Russian AIC presented State Program for the Development of Agriculture and Regulation  for 2013-2020. It is in it that all the state initiatives and plans for the upcoming seven-year plan are collected. The document includes subprogrammes in all areas of agriculture.

Changes and additions to the legislative base are made by government regulations and explanations.

Priority areas of activity

For the effective development of the agricultural sector, subsidies are intended to main areas:

Expectations from the implementation of the conceived larger:

• expand the commodity market;
• increase salaries in the industry;
• create new jobs and areas of activity;
• master the abandoned lands.

By 2020, the agricultural sector will be fully updated and ready for independent progressive development. But all these are only perspectives. Now the industry is going through hard times.

According to analysts, it will take 7 years to fully replace imported meat and milk; to obtain consistently high yields of crop crops, it will take at least 5 years. The modernization requires tremendous efforts and costs, which must be supported by systemic assistance from the state.

Types, conditions and order of participation in programs

The subsidy support measures applied in the past year have migrated to the coming year. Note that in the autumn of 2016, the government started talking about fundamental changes in the state financing of agriculture.

But, as often happens at the dawn of reform, the new is only planned, and the old continues to be applied.

Tell about common types of existing subsidies:

• Grants for the development of KFH. They are provided on a competitive basis with a purpose for the purchase of agricultural land, the development and supply of communication systems, and the construction of economic objects. involves strict reporting by the recipient on the intended use of funds.
• Loan funds for reimbursement of interest costs. Provided exclusively for the modernization of the economy.
• Subsidizing leasing taken for the purchase of agricultural equipment and machinery.
• Compensation of expenses for the construction of family farm facilities.
• Lump sum subsidy. Provided for the improvement of the farm: the purchase or construction of housing, the purchase of passenger-and-freight transport, communications.

A farmer can apply for all types of assistance, but only if the selection requirements are met. Applications are reviewed by competition commissions.

Terms of service:

1. Professional qualities of the applicant. The farmer’s work experience should be from 10 years. The advantage of workers with \\ h sphere with higher education.
2. At least 10 years, the future farmer must maintain a personal subsidiary farm.
3. Need letters of recommendation from municipalities or membership in cooperatives.
4. The business plan is submitted to the object of receiving subsidies.
5. If a grant application is submitted, the potential beneficiary is obliged to provide up to 30% of the grant amount with his own finances or means of production. The livestock population, economic structures and other property used in the activity will be counted.
6. Product sales schemes. The advantage for the applicants are already operating farms with streamlined ways to implement the produced. This is confirmed by contracts with retail outlets, purchasing lines, and other documents.

In granting subsidies, especially grants, the social significance of the project for the region is taken into account. For example, the creation of a farmer additional jobs, equipment access roads, etc.

Preparation of documents

In general, these are:

Depending on the type of assistance, other documents may be needed.

Novice Farmer Program

It is always difficult to start, so in 2017 the state still supports newly created farms.

Size and conditions of participation

Financing format  - a development grant or a one-time subsidy for home improvement.

In the first case, the applicant claims for 1.5 million rubles, in the second - up to 300 thousand.

Grant is spent  for the purchase of planting materials, fertilizers, feed, the expansion of livestock and poultry, land allotments and for other agricultural needs. The subsidy helps a novice entrepreneur to create decent living conditions.

How to make

To get grant support, you need apply to the Ministry of Agriculture of your region, collect documents and protect your.

Do not be afraid: public hearings will not hold. Under the protection refers to an expert assessment of the business of the applicant and his business skills on the basis of the package provided.

The decision is made 15 days after the submission of the questionnaire.

"Family Animal Farm"

This program aims to develop  social structure of the village, increasing the livestock population, supporting the family agrarian business.

A family farm is considered if all employees involved are relatives (not necessarily close).

Form of subsidy  - grant financing.

Transfer amount and terms

Under the action of the program are farmers engaged in the cultivation of dairy and beef cattle.

Requirements  to applicants:

• the number of employees - at least three people;
• before applying the farm must work a year;
• family has not previously received, the creation and development of farms.

Application Form sent to the agricultural department  subject of registration of the farm.

Maximum Grant  equivalent to 60 percent of the cost of the economy, reflected in the business plan and cost plan. The maximum in cash equivalent is set for all regions of the country - 10 million rubles. The farm must confirm the presence of 40% of its own security of the grant amount. Do not use the loan.

The distribution of federal subsidies is carried out by regions that receive tranches from the state budget. In addition, local authorities are entitled to provide support to farmers from the local budget.

Old help in a new way

In 2017, the government allocates more than 216 billion rubles for the development of the agro-industrial sector.

The money will be distributed according to a different scheme.

If earlier tranches were sent for specific programs, then in 2017 in the subject full amount transferred on the development of agriculture Here are insurance preferences, subsidized loans, farmers and peasant farms, horticulture and livestock breeding. In a word, all the areas of the agro-industrial complex represented in a specific subject.

The scheme is called “Single regional subsidy”.

Providing loans

From 01/01/17, a program of concessional lending to business entities of the AIC system has been launched. Loans for the modernization and development of households banks will issue at 5% per annum.

In this regard the addressee of interest subsidies is changing: now it is credit institutions. The state will refund 100% of the key rate to banks issuing loans to agricultural producers on preferential terms.

New conditions are convenient, above all, to farmers. Now it is not necessary to divert substantial amounts from the turnover to pay interest, which the state then reimbursed to the borrower through a subsidy.

Banks for participation in the program according to the Ministry of Agriculture. The criterion is the availability of own credit products on attractive terms for farmers.

Requirements for borrowers  quite loyal:

• the absence of a valid delay in the applicant for other loans;
• stability in economic development;
• incomes that allow you to make current payments.

The bank will explicitly refuse to farmers who are in bankruptcy or reorganization.

Existing problems

The almost complete transfer of the distribution of subsidies to the regions is alarming. It will not bring anything good to agricultural enterprise and production as a whole.

But the main problem of supporting Russian agrarians is unstable financing. According to the Ministry of Finance, the amount of aid will be reduced in 2017 to 204 billion, which is 1.4 times less than it was originally pledged in the Program passport for 2013-2020, and 20 billion less than real funding in the past period. Without proper financial support, the loud intentions of the Government to reform the agro-industrial complex will slide to the level of projecting.

The state support to the agrarians of the Karachay-Cherkess Republic is described in the following video: