IMPLEMENTATION OF THE INNOVATION-DRIVEN DEVELOPMENT MODEL OF THE MEDICINAL HERB CULTIVATION INDUSTRY (ON THE EXAMPLE OF THE CPMS «BOL’SHOE MOZHEIKOVO STATE FARM»)

  • Karachevskaya E.V. Belarusian State Agricultural Academy
Keywords: modeling, innovation, medicinal herb cultivation, economic efficiency, development strategy, production processes

Abstract

In the conditions of innovative economy development, effective management of medicinal herb cultivation is impossible without the introduction of modern technical means, as well as, what is no less important, without an efficient utilization of the biological potential, the use of new plant varieties, regulation of planting and harvesting time, the achievability of efficient density of seedlings planting, ensuring compliance of the soil cover with this type of plants, the use of predecessors, the implementation of biologically active means of protection, etc., in other words – without the use of natural factors to the maximum practical extend. The innovation-driven development model of medicinal herb cultivation industry assumes the increase in its competitiveness without the use of expensive anthropogenic resources, but on the contrary, by means of implementation of natural resources that will allow to ensure the expanded production without additional expenditure of financial resources. This model is implemented through a step-by-step prioritization procedure. At the first stage the main components of modeling are defined, at the second stage the statistical processing of available information and the analysis of strategic alternatives are carried out; at the third stage preliminary calculations are made and the required model is built; at the final stage the decision is developed and its quality is estimated. This scientific study analyzed the cultivation of medicinal herbs in a specialized enterprise of the Grodno region of the Republic of Belarus – CPMS «Bol’shoe Mozheikovo State Farm» – where four species of medicinal herbs are grown on the area of 420 hectares. The company’s example was used to work out the optimization model of the long-term development of the medicinal herb cultivation industry, implementation of which resulted in the optimization of medicinal herbs planting; weather conditions and the current state were taken into account, the calculation of the promising yield was made. The analysis of the obtained results showed the possibility of increasing profits from the sale of medicinal herbs. The use of economic and mathematical modeling methods allowed to design an expanded production in the CPMS «Bol’shoe Mozheikovo State Farm» without additional expenses; moreover, mixing of the available varieties of medicinal herbs ensured efficient utilization of the natural potential. Mathematical modeling methods became the main tool of innovation-driven development model of the medicinal herb cultivation industry.

Author Biography

Karachevskaya E.V., Belarusian State Agricultural Academy

PhD in Economics, Docent, Associate Professor at the Department of Mathematical Modeling of Economic Systems of Agroindustrial Complex, Belarusian State Agricultural Academy (Gorki, the Republic of Belarus). E-mail: karachevskaya-e@mail.ru

Published
2019-10-20
Section
REGIONAL ECONOMICS