Economic value of agricultural purpose lands

Issue № 5, 2021, article № 6, pages 80-89

Section: Land use and land relations

Language: Russian

Original language title: ЭКОНОМИЧЕСКАЯ ЦЕННОСТЬ ЗЕМЕЛЬ СЕЛЬСКОХОЗЯЙСТВЕННОГО НАЗНАЧЕНИЯ

Keywords: METHOD, FACTOR, INSTITUTION, MICROZONE, CROP ROTATION, COST OF A LAND PLOT, INCREASE IN ECONOMIC VALUE, DISCOUNTING, PROCESS MODEL

Abstract: The study was carried out with the aim of scientifically substantiating the method of creating the economic value of lands; the object was selected agricultural lands of organizations of the Saratov region. The concept of economic value, which contributes to improving the quality of supply of land plots for the formation of consumer demand for them, has been formulated. The economic value of agricultural-purpose land is determined by land legislation, institutional policy, land turnover institutions, transaction costs, export of products, information technologies. The novelty of the research lies in the development of a process model for the formation of the economic value of agricultural land. The model in the institutional environment is aimed at creating competitive advantages arising from the cultivation of crops in accordance with crop rotation requirements. Its effect is confirmed by the results of discounted cash flows. The process of creating economic value is imitated by owners, land users, landowners, tenants, authorities, credit institutions, investors, insurance companies through the registration of land shares, rent, pledge, investment, land insurance. With the help of a quantitative assessment carried out using the discount rate, refinancing rate, inflation index, the increments in the economic value of land and the payback periods for the adopted crop rotations in the Saratov region were established. The highest average cash flow for 2017–2018 years obtained from the cultivation of leguminous crops and sunflower – respectively 7183,73 and 3939,96 rubles/hectare. The economic value of land is decreasing as a result of the production of non-commercial crops, low grain yield, high costs. The best indicators of growth in economic value were noted with 8-field crop rotation – 4592,37 rubles/hectare and 9-field crop rotation – 4250.55 rubles/hectare. The availability of such information will be useful for consumers to perceive the offer of land plots. The practical significance of the development lies in expanding the possibility of calculating the increase in the economic value of agricultural land with different functional land resources management.

Authors: Zavorotin Evgenii Feofanovich, Gordopolova Alla Aleksandrovna, Tiurina Natalia Sergeevna