Efficiency of sugar beet production in Russia under sanctions
Journal: INTERNATIONAL AGRICULTURAL JOURNAL
Type:
Article
Pages:
from 218
to 222
Status:
Received:
13.04.2026
Accepted:
13.04.2026
Published:
15.04.2026
Language:
Russian
Keywords:
agro-industrial complex, agriculture, food safety, beet sugar subcomplex, sugar factories, efficiency
Abstract:
The article discusses the issues of ensuring the effectiveness of sugar beet production in Russia under sanctions. Sugar beet production is of great importance for the food industry and food supply, since in the natural and climatic conditions of the country, sugar production from sugar beet is practically the only available source of sweeteners. The sustainability of sugar beet production depends on the domestic market situation, which was clearly demonstrated in 2019-2020, when sugar prices fell due to an oversaturation of the sugar market, making its production unprofitable for farmers. Agrarian-oriented regions play a primary role in the development of the country's sugar beet subcomplex, since sugar beet as a crop is an important element of crop rotation and makes a significant contribution to the development of agriculture. The study examines the main trends in the development of the sugar market in Russia using the example of 5 market-leading sugar producers in 2022-2024. It has been established that the beet sugar industry has been fairly stable over the past three years since the beginning of the expansion of sanctions, as the volume of beet sugar production in the country is growing. But at the same time, in conditions of high inflation rates, there is also a dynamic increase in prices for sugar producers due to an increase in production costs in the new operating conditions. The current state of affairs, combined with a decrease in the level of real incomes of the population, brings to the fore the efficiency of sugar beet production, taking into account the need to balance the interests of producers and the consumer market. In 2023-2024, sugar beet enterprises experienced a noticeable decrease in operational efficiency compared to 2022. Also, the general trend is a low share of own funds in the structure of sources of property formation and a high credit burden, which, with a further decrease in business efficiency, can lead to a loss of financial stability and the risk of bankruptcy.
The article discusses the issues of ensuring the effectiveness of sugar beet production in Russia under sanctions. Sugar beet production is of great importance for the food industry and food supply, since in the natural and climatic conditions of the country, sugar production from sugar beet is practically the only available source of sweeteners. The sustainability of sugar beet production depends on the domestic market situation, which was clearly demonstrated in 2019-2020, when sugar prices fell due to an oversaturation of the sugar market, making its production unprofitable for farmers. Agrarian-oriented regions play a primary role in the development of the country's sugar beet subcomplex, since sugar beet as a crop is an important element of crop rotation and makes a significant contribution to the development of agriculture. The study examines the main trends in the development of the sugar market in Russia using the example of 5 market-leading sugar producers in 2022-2024. It has been established that the beet sugar industry has been fairly stable over the past three years since the beginning of the expansion of sanctions, as the volume of beet sugar production in the country is growing. But at the same time, in conditions of high inflation rates, there is also a dynamic increase in prices for sugar producers due to an increase in production costs in the new operating conditions. The current state of affairs, combined with a decrease in the level of real incomes of the population, brings to the fore the efficiency of sugar beet production, taking into account the need to balance the interests of producers and the consumer market. In 2023-2024, sugar beet enterprises experienced a noticeable decrease in operational efficiency compared to 2022. Also, the general trend is a low share of own funds in the structure of sources of property formation and a high credit burden, which, with a further decrease in business efficiency, can lead to a loss of financial stability and the risk of bankruptcy.
Keywords:
agro-industrial complex, agriculture, food safety, beet sugar subcomplex, sugar factories, efficiency
agro-industrial complex, agriculture, food safety, beet sugar subcomplex, sugar factories, efficiency
