ORGANIZATIONAL AND ECONOMIC PRINCIPLES OF FUNCTIONING OF THE COOPERATIVE STRUCTURE IN AGRICULTURE

Abstract

The article examines the organizational and economic principles of the functioning of the cooperative structure in agriculture, which are key to ensuring the sustainable development of the agricultural sector. Special attention is paid to the analysis of models of cooperatives, their organizational structure, as well as economic mechanisms that ensure the effective functioning of cooperatives in rural areas. The main factors affecting the success of cooperative activities, including financial stability, organizational efficiency, the level of integration of production and marketing processes, as well as the influence of state support, were studied. It was determined that for the successful development of cooperatives in agriculture, clear organizational and economic mechanisms are needed, which include systems of financial planning, risk management, and the creation of conditions for attracting investments. In addition, cooperatives should ensure effective coordination between producers, which will help reduce production costs and increase product quality. The article also emphasizes the role of cooperatives in increasing the competitiveness of agricultural enterprises and ensuring food security. Examples of successful functioning of cooperative structures in different countries were analyzed, which allows to determine the best practices for their implementation in Ukraine. It was concluded that the effectiveness of the cooperative structure largely depends on the adaptation of organizational and economic principles to modern market conditions and needs of agriculture. Further research should be aimed at improving these principles, taking into account global trends and challenges facing the agricultural sector. The basis of the successful functioning of agricultural production cooperatives is effective intra-farm production relations and, first of all, they allow realizing the economic interests of the co-owners of the members of the cooperative. The crisis state of the cooperative economy in the countryside is manifested in the fact that the motivation of workers remains low, the property relations of owners of land shares and property shares are not realized, the potential of the cooperative form of entrepreneurship is not used. These circumstances indicate the need to search for reserves and ways to improve the organization and increase the efficiency of agricultural production cooperatives as the predominant form of management on the land.