The essence of competition: microeconomic aspects

Abstract

Microeconomic analysis of exports and imports of agricultural organic products in Ukraine. Organic agriculture is a way of conducting agricultural production on the conditions of sustainability, which with the help of natural, technologically unprocessed means allows to produce agricultural products - organic food. In recent years, Ukraine has seen a rapid change in the structure of the market for organic agricultural products. The progressive increase in demand for organic food is a consequence of a healthy lifestyle. Demand for organic products is the result of consumer demand for certified agricultural products using organic technology, producers' demand for organic raw materials for further processing and export volumes. The market supply for organic agricultural products is defined as the sum of the supply of organic products, which is formed by agricultural enterprises and the volume of products through imports. Demand and supply of organic consumer products in the world and in the European Union in recent decades have shown exceptional growth dynamics. In Ukraine, the market for organic products is small, but is growing systematically. In 2020, the domestic market for organic agricultural products was estimated at approximately 24.3 million euros. Domestic organic products are exported to more than 40 countries. Recently, domestic organic products are exported mainly to the Netherlands, USA, Switzerland, Germany, Great Britain, Lithuania, Austria and Poland. The main organic products exported from Ukraine over the past five years are corn, wheat, soybeans and sunflowers. The growth of the organic market for agricultural products is changing the role of exports and imports. However, in today's conditions, the volume of exports of organic agricultural products significantly exceeds the volume of imports.