Karen Brooks

Food Prices and Market Integration in Russia: 1992–93

constituted genuine price liberalization, i.e., food prices that respond to supply and demand conditions. Two reasons for skepticism are, first, food marketing enterprises were not privatized or significantly restructured, and second, regulation and subsidization of food continued in sub-national jurisdictions. Nonetheless, it is possible that local monopolies and policy makers permitted market forces to operate sufficiently to achieve improvements in market and pricing efficiency. We test for such improvements by means of econometric investigation of geographical price differences.

Restructuring of traditional farms and new land relations in Ukraine

This paper reports the results of a 1993/1994 survey of 2500 farm managers, farm employees, and private farmers in Ukraine, highlighting changes at the farm level in response to programs of land reform and farm restructuring. As of early 1994, Ukrainian reform had moved to the first stage, which involves privatization of much of the agricultural land and creation of shareholding farms. Over 60% of agricultural land in Ukraine has been transferred from state to collective ownership; among the collective and state farms surveyed, nearly 75% have reorganized and most of them have allocated land and asset shares to members. The number of independent private farmers in Ukraine exceeds 30 000, but with an average farm size of 20 ha they cultivate less than 2% of farmland. Reform at the farm level in Ukraine has thus begun, but at present is at a very early stage.

Land Reform and Farm Restructuring in Russia: 1992 Status

The present study reports on the implementation of the land reform and restructuring process at the farm level and examines its implications for the performance of the agricultural sector. It is based on a survey conducted by the Agrarian Institute of the Russian Agricultural Academy of Sciences in five provinces during November-December, 1992. Three groups of economically active agents were surveyed: managers of collective farm enterprises (260 interviews), heads of households among employees of collective enterprises (1,487), and private farmers (984). In total, 2,731 interviews were conducted. The information from the surveys was supplemented by information from land committees, statistical organs, and district and village councils.

Challenges of trade and agricultural development for East/Central Europe and states of the former USSR

The agricultural transition in Central and Eastern Europe and the former USSR reflects a fundamental change in development strategy, and will have a profound impact on agricultural trade. The greatest impact will be indirect, through agricultures contribution to general economic reform and acceleration of regional and global growth. The direct impact on trade in food and fiber will in aggregate consist of a fall in net imports. Most of the decline in net imports will derive from reduction in demand and improved utilization. Potential for productivity increase is substantial, but not all of the increased productivity will be reflected in the traditional supply response of increased production. Instead marginal resources will shift out of farming, and producers will restructure and adopt new technologies in pursuit of lower costs. Shifts in the commodity composition of trade will occur, and the changes in grain and livestock markets will be greatest. If the reform is successful, the former Soviet Union could become a modest net grain exporter instead of a large importer. Wheat would be the leading export grain, and levels of wheat exports and corn imports could become quite sensitive to relative prices on world markets.