Multifunctional agriculture and its effect on rural territories development

Abstract

The paper deals with the main conceptual approaches to the definition of agriculture multifunctionality, indicates positive changes towards multifunctionality of rural territories in Ukraine and substantiates the main restraining factors such as low level of innovation activity of economic entities operating in this sphere, related sectors of economy, moral ageing of social and communal infrastructure of the village, lack of relations with universities which are the main generators of knowledge. The paper proposes to establish the Regional Coordination Centers for Rural Development in the structure of the Agro-industrial Development Departments. The main function of the centers should be obtaining multifunctional agriculture due to interaction of enterprises and the state shifting the emphasis from production to rural development. It is noted that the establishment of such centers in the conditions of decentralization will allow ensuring interaction of enterprises, state and population and implementing properly multifunctionality of agriculture. It is proved that forming the conceptual foundations of rural development, it should be borne in mind that sustainable multifunctional development should be based on effective rural economy, extended reproduction of human capital and productive employment of rural population, on improvement of people’s quality of life, rational use of natural resources and their reproduction.