Importance The article focuses on the mechanism for the State support to the agricultural sector of the Russian economy and overviews issues of subventions to producers of agricultural goods. Objectives The research analyzes the mechanism for State support at the federal and regional levels, thereby finding the premises and priority areas for modernizing the mechanism. Methods Using general logic methods, we analyzed the existing mechanism for State aid and formulated vital and strategic areas for modifying the mechanism. It should make the agricultural policy more adequate federally and regionally. Results We found problem areas of the existing mechanism for State support to agricultural producers, premises and priority areas. Conclusions and Relevance If the State program for agricultural development stipulates the rate of subsidies per hectare entirely for Russia and introduces a progressive adjustment coefficient for payment of subsidies in line with costs incurred, it will encourage entities to master new production technologies. The results may be used to prepare concepts for strategic development of the Russian Federation and its regions, special-purpose programs, regulatory documents on governance improvement in the agricultural sector and formulate the single agricultural policy that would be competitive as part of the WTO.
Keywords: agricultural policy, State aid, agricultural sector, subsidies, green box subsidies, agricultural producers
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