The development of agribusiness logistics as a factor of expansion the food and fiber market

The article deals with the concept of «logistics» and «agribusiness logistics». It marked the role and importance of logistics in agribusiness food security. The basic principles and conditions of the logistics system is indicated. For such agrarian countries as Kazakhstan indepth study of agribusiness logistics and study it at the state level results from social needs is an important issue. The reason is that for local farmers to ensure availability of public services market, reducing intermediation between producers and consumers, the formation of stable prices of agricultural products, creation of direct links between the consumer and the rural entrepreneurs, improving the quality of socio-economic status of the rural population, the saturation of the internal domestic market production, reducing imports, transportation of agricultural products, providing quality products at affordable prices due to the expansion of marketing, services and other aspects are very important for agriculture. The article deals with the role of agricultural logistics in solving the above problems. Modern state agribusiness logistics in Kazakhstan is illuminated. A dynamic analysis of the share of individual groups and types of goods in the food industry of Kazakhstan's total imports and exports was conducted. According to the latest production of the most consumed types of food and their consumption were taken as a basis and their comparative analysis carried out. The level of self-secure on internal market is measured. The share of imports on certain types of food products is defined. On the basis of quantitative and qualitative analysis of food secure logistical problems in the field of agriculture is defined and the systematic proposals for their solution is offered. 

Ever known among the specialists only beforev the «logistics» concept is often applied today in all  areas of production. Later that requires research broad public values, has become the valuable industry. In   the construction of a very rapidly developing field of road construction in the Republic of Kazakhstan logistics and rail transportation, which are considered as the most studied areas. However, further improvement of the transit potential of the country, improved commodity transport, regulation of supply and demand for labor, the gap between domestic and food under the full provision of the domestic market of logistics issues is the question of the day. The role of logistics in reducing the deficit in agrifood is high,  daily in providing the population with quality and affordable products, especially food availability, and domestic food.

In 2014 «Nurly Zhol – path to future» Message of president logistics outlined as the one key directions of development. The role of the state in his address stressed the need to establish persistently logistics [1]. Because recently in the case of the world economic situation, geopolitical crises, falling commodity prices on world markets effective logistics management of material needed for the development to increase of competitiveness of domestic producers, development of rural shareasale, food to reduce imported products, flows to address some issues. Therefore, a priority for the development of the national economy and logistics is regarded as one of the priorities of forced industrial-innovative development of the country.

Although the word logistics  is  familiar  to  our  people,  «logistics» and  «in  agriculture  logistics» in the development of the sectors of the national economy review of public importance, is at  present one of    the questions that require  deep  research.  Logistics,  logistics  professionals  related  to  the  specific  field  of management,  researcher  at   various   references.  However,   most   scientists   believe   that   the   basis of its management of material flows. Flows from other resources, which, in particular, organic material flow [2; 8, 9].

Considering the logistics research, to-date situation with logistics, we can notice the practical significance of management the different processes is increasing. According to the concept of modern logistics clearly can be seen that it is optimizing traffic flows in a variety of resources, including financial, technical, production resources. Thus, «logistics», not only the concept of managing the inventory, control, and but the object of the material flow in the logistics system, can be main. That is, the concept of material flow in logistics is key.

Depending on the type of thread object they can be: material, service, information, financial and other threads in the process. material flows will be the result of transportation and materials, warehousing, loading, unloading. Service flows is a high degree for providing services for material flows [3]. Information flow and logistics operations management, analysis and control are required in the logistics system, between  the logistic system and external environment communications, a rotating set of data. Financial flow will be logistics systems to flow the financial resources depends on the other. Financial flows can become either within the system and outside the system.

In the study of logistics industry «logistics» and the concept of «logistics system» should pay attention to the differences between them. Because the priority of material flows in logistics management mentioned above, the priority relations between participants of the logistics chain exists in the logistics system. In the logistic parties, established to perform the basic tasks of logistics in the supply chain, particularly manufacturers, trade organizations, transportation, warehouses, shops etc. joint action provides. The main aim, to reduce costs and liabilities, in accordance with which the increase of efficiency of activity of production, the logistics system should cover all activities anyany. Material flow logistics shows that the value of the industry in providing a continuous process.

The research of experts on logistics, logistics process used «rule of 8» provided that: 1) the product — necessary product; 2) quality — the  required quality;  3) cost  — a  necessary cost levels;  4)  consumer  — to supply necessary consumer; 5) the dose in the necessary quantity; 6) time — time required; 7) placerequired place; 8) individualization — service system depending on each order [4; 4-16]. The goal of logistics activities complied with these rules, you can assume that the size of the required  expenditure amount of required products of  good quality, while spending on the ground should be timely delivery  of needed.

Logistics of industrial production in all developed countries of the world, widely used in the field of promotion and distribution and the placing, save it, and its scope is growing every year. Therefore, is the driving force behind the development of world merchandise huge movement is a real logistics. Hence the importance of logistics in ensuring the movement of goods, you can see from there.

Studies of domestic specialists accounts for over 80 % of all goods produced in the Republic of Kazakhstan is agrifood, including daily necessary products of the population that is 100 percent is from agriculture. Hence agriculture logistics is important for promotion of these products [5].

Logistics of agriculture – branch of science with important practical value to provide  necessary  material resources to fully meet the needs of the population and national economy in the sustainable management of material flows to production industry [6; 23].

In addition, agrifood logistics ensure population with quality goods by efficient prices and carries important functions and placement in distribution and exchange agriculture, food security agricultural products, raw materials and consumer products. Especially for countries such as Kazakhstan we believe that an important issue on the agenda to research agrifood logistics deeper to consider the value of the level of the state, public needs appearance.

It is crucial for agrifood to ensure the availability of the domestic market for farmers with government procurement; middlemen between the consumer and the manufacturer, reducing the formation of prices for agricultural products; the establishment of direct relations between consumers and agricultural entrepreneurs; support rural entrepreneurship, rural population, socio-economic conditions; increasing domestic food products the domestic market, reducing imported products; transportation of agricultural products,  marketing, services, to provide consumers with quality products.

The value of logistics in the field of agriculture, as you know, is incresungly important.

In agriculture with the given importance of logistics, that in the present state of its development, it can be noted that it has a number of complex issues. In particular, because of the high logistics costs associated with transportation of different areas of the country of lighting products of agriculture, of agriculture, are in the development of their business, many entrepreneurs obstacles. Domestic production as the result of increased prices, low competitiveness of manufacturers of products, saturation of internal market with domestic production, the inability to provide complete, timely t, due to the loss of quality of agricultural products, etc. affect the development of the food market. 

Fugure. Export and import share in food manufacture for 2010-2015, % ([7])

Comparative analysis of food imports and exports share in the framework of the analysis of economic indicators according to 2010-2015 can be seen as following [7]. The main food as meat and meat products  for food industry, butter; vegetable oil; sugar; a few, wheat or rye flour, foodstuff and analysis of export and imports share in Figure.

Total food imports in 2015 is $ 30.2 billion (6.7 trillion. tenge) according to the Statistics Committee of Kazakhstan. $196.6 million (43,6 billion tenge) for import of meat and meat products in various forms and equals 0,651 % of total import; import of fats and oils is 146,4 million US Dollars (32.5 billion tenge) or 0.485 % of total imports; sugar is $ 181.8 million (40.3 billion tenge) or 0,602 % of total imports [8]. 20132015 wheat and wheat-rye were not   imported. Because in recent years its production and increasing the share of flour exports   was not set by Kazakhstan as the goal. Since 2010, the s are of export flour was reached 1,073 % and increased by 0.78 %. The share of imported vegetable oils and fats in an average of 0.45 %; sugar 0.86 %; meat products was 0.63 %.

The Committee for regulation of natural monopolies and protection of competition of RK and according the Ministry of National economy data , domestic sugar market depends on imported raw sugar on 90 %. In addition, in Kazakhstan, food transportation, shipping markets, and issues such as the presence of leads to a significant increase in the value of products produced due to the high cost of raw materials.

T a b l e 1

Ttop ten consumed food in the Republic of Kazakhstan, ton (2015) 

T a b l e   c o n t i n u a t  i o n 

Note. Sourse [7]. 

Flour cosumed in 2015 was 1662,5 thousand tons by (Table 1). Next in line meat products (poultry  meat including by-products) included in the period under review, the volume is 1104,7 thousand tons.  Bakery and confectionery products by maximum consumption on the 3rd place. Dairy products was 866,6 thousand tons – 4-th place and 5 446,7 thousand tons and sugar finished top 5 most consumed food list.

As you can see from the table all food is types of  agricultural products and given the fact that the  export of products at fair value and the price of the acquisition, its storage and networking creating an effective computerized system, creates new jobs in agriculture and has great importance to the establishment and development of logistics. Table 2 exibits top 14 consumable food products, the volume of production  and consumption, the balance between them.

T a b l e   2

Volume of production of different types of food, use per inhabitants, thousand tons 

Note. Sourse [7, 8]. 

The data observed in the country shows domestic producers and import shares of consumption, can provide sight what kind of products has  high deficit and its volume.

Table 2 presents volume of production by types of use in the Republic of Kazakhstan. By 2015 data fully provided by domestic producers was flour and rice.

Flour considered as special production of the Republic of Kazakhstan. This provides not only domestic market but also has the highest share of export products. Nation exports flour to Afghanistan (47 % of total exports), Tajikistan (39 %), the CIS and other countries of the world.

Other types of products show the larger share of imported products. In 2015 the consumption of meat and meat products including poultry meat was total 1104,7 thousand tons, and total production was 930,3 thousand tons. 

The shortfall of meat products that is 174,4 thousand tons was imported from US (46 %) and CIS countries (37 %). Proficit of those products exported to Russia (total meat export 90 %).

Processed and preserved fish consumption due to the absence of domestic production   is more than 2 times higher the volume of production.

Fruit and nuts processed and preserved is only 1.3 % was produces in the Republic of Kazakhstan. They are mostly imported from Uzbekistan, Tajikistan and other CIS countries. Most interesting is that its export  8 times higher then volume of production. Chocolate and sugar confectionery imported from CIS countries. At the end of 2015  the amount of  them was 30.6 thousand tons, or  $ 55.6 million ($12.3 billion. tenge).

The volume of sugar consumption 2 times more than its production volume. Most imported sugar components are from Brazil and CIS countries, particularly 39 % from Brazil, 34 % from CIS countries.

The volume of production food salt is almost equal to its production, as nation’s deficit is the only 6.5 thousand tons of salt. As dairy products, bakery and confectionery products consumption is a bit more than its production. Deficit of those products is 138,1 thousand tons and 78,9 thousand tons respectively.

155.2 thousand tons of dairy products was imported in 2015. Basically, this products is imported from Russia and Belarus and other CIS countries. Bakery and confectionery products imports amounted to 85.6 thousand tons, where CIS is the the main country-importer.

Current research, quantitative and qualitative analyses conducted in the issues identified logistics systems of food products shows that it is necessary to radically develop logistic conditions. Studies, the conclusions of experts, complementing the first, in agriculture thefollowing proposals for the development of logistics can be offered.

First, through the creation of clustered cooperatives of agribusiness producers in a one  system to  storage and sales of agricultural products. This leads to cost reduction at all stages of movement of goods, elimination of intermediaries and local food in retail outlets-increasing the volume of production of  producers of the food belt, to fully provide internal market with domestic agricultural  products,  price stability, will allow to provide consumers with quality products.

Second, increase the intensity of information flows in the sphere of production and circulation of commodity products of agriculture. Her we consider only material flow inventory-related logistics information.

The issuance of orders for the purchase of goods that, knowledge of goods movement in warehouses, on vehicles needed to be provided by documented information. Providing by information agrobusiness logistics related to equipment, inventory, warehouse, and transportation plays particular importance.

The importance of supply to increase the intensity of information flows explained by following reasons. The automation of information technologies in the procurement of agricultural products, negotiation and conclusion of agreements with enterprises, ranging from ordering of goods before arrival, goods at the warehouse used to reduce cycle time of the logistics. Currently, between suppliers and customers interaction in a global computer network, used to improve the process, as the electronic business-to-business. There are following main advantages of e-business: a provider anywhere in the world, located the availability of  buyers; consumers products at an affordable price easily achieve the desired quality; in accordance with the requirements of the market, public, non-clean products; standardized procurement procedures by automated process; saving of time required for procurement; reduced acquisition costs.

Thus, information technology ensures the delivery the necessary products, in the quantity required by high quality, on requested place.

Thirdly, the need for effective management of agriculture reserves. They occurs at all levels of material flow. The aim of reserves management is optimizate reserves volume, chose their location, analysis. As a result, by planning the volume of inventories determined the necessary conditions of their placement and replenishment of products.

Fourth, the provision of modern equipment for warehouses. Warehouses are important element of creating any trading system. Storage and handling of goods with the required size is the most important activity of industrial enterprises . Company storage costs according to research vary from 12 to 40 % of of all material flows organization cost.

Composition of goods in the warehouse and storage them is determined by time of their departure and transformations. In addition the days of reception and dispatch of cargo are recorded.

Controlling the shelf life of products starting from their use to storage parameters with information technologies is very essential tool.

Fifth, the training of specialists in the field of agriculture logistics. This necessity was reviewed by  many researchers and it is important for everyday food consuming and it is foundation for food supply.  Role of specialist –logists is significant with promotion of agricultural products and the manufacture, storage and transportation, food safety, the formation of the trade deficit, the decline in affordable price, providing customers with quality products.

Sixth, technical and service supply for producers of agricultural products. Distribution, technical service plays an important role for producers of agricultural products to delivery their products to the market.

By strengthening the material-resource support and technical supply for rural entrepreneurs agriculture producers can reach it in several ways: through the establishment of offices for direct deliveries of the equipment; increase the number of supply agricultural cooperatives; establishing the system of state procurement of agricultural products; provision of agricultural producers for independently purchase parts and machines; the appoint activities of commercial agents selling agricultural products in rural areas to oblige the supply of equipment, service from their side, creating the conditions necessary for rural entrepreneurs.

Recommendations given for logistics development are helpful and their implementation will allow to shape relations between consumers and entrepreneurs for direct agriculture trade; forcing out from the  market mediators of products and getting constantly products by affordable prices; acessable government procurement for local entrepreneurs; support rural entrepreneurship; socio-economic improvement of rural population; supply internal market with domestic food products by reducing imports; opportunities for sustainable growth of the national economy will be ensured.

References

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