The value added chain in the mechanism of public-private partnership for the development of the land use economy of rural territories

Source: author's calculation based on the results of search and analysis of forest and forest products statistics.

Taking these results of the PPP project in the production of pellets into account, in order to the development of the land use economy of rural territories, it is important to create conditions for the formation of communal ownership of forest lands and forest plantations. The latter can be created with the active participation of territorial communities on the allocated land areas. Such development of forest use will contribute to the concentration of resources in a certain area, especially in regions that do not have the necessary funds and material support for such activities.

The development of PPP on land use in forestry will be essential for the development of the country as a whole, individual region, as well as territorial communities - both rural and large cities and towns. The conceptual principle of participation of territorial communities in this process is the rational use and reproduction of forest resources (as a raw material base and provider of ecosystem services). Another principle is a clear territorial and legal delimitation of the land fund of local territorial communities and the state forest fund.

Conclusions

The use of a comprehensive programme approach and investment in added value chains to ensure sustainable development of rural land use in Ukraine, through the application of the PPP mechanism will contribute to public welfare, food security, rural development, and rational use of natural, and first of all land resources. This is ensured by the fact that PPP projects use market-oriented economic relations of ownership of land and other natural resources, the best available technologies and innovations that meet global standards and priorities of sustainable development.

The authors' calculations show that the role of small agricultural producers, including households, should be taken into account for stimulating PPP projects in Ukraine, and developing measures to improve the investment climate and justifying new investment opportunities and recommendations for foreign investors. Whereas in Ukraine a significant part of households is involved in agricultural activities and a large part of the rural population works in the family farm. In particular, according to 2018, in the structure of agricultural crop production 98.1 % of potatoes, 85.6 % of vegetables, 78.4 % of fruits and berries are grown by households. In the structure of livestock production 72.6 % of milk, 87.6 % of wool, 98.8 % of honey is produced by households. At the same time, in the production of agricultural crop there are trends in the ratio of production by types of agricultural holdings in 2000, while in the production of livestock products there was a shift in the concentration of meat and egg production from households to agricultural enterprises.

Successful implementation, in particular, of the agri-food value chain in the PPP, will help reducing governmental spendings by attracting private and other capitals, while equitably sharing risks between all parties involved, and effective management of land and other natural resources and ensuring land security in the interests of local rural land users, and on a more global scale, given the versatility of land.

The author's project PPP in the production of pellets a private investor in lumber logging waste provided by some state-owned enterprise both subject to the extension of the moratorium and without its effect is developed. The results of the calculations indicate the investment attractiveness of this project under the established restrictions.

Prospects for further research are the development of proposals for improving institutional support PPP projects on land management and land use and providing security of land use (including the use of land in forestry) in terms of taking into account the land use of farmers.

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