Economics and Business Management

Organisational and economic aspects of production and sale of niche crops

Mykola Ilchuk, L. Berezovska
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Abstract

Despite the significant advantages of producing niche crops, producers often face several challenges, such as imbalances in supply and demand, high resource intensity and a significant share of intangible costs, which complicate large-scale implementation and require in-depth scientific analysis to find effective solutions. The study aimed to develop and substantiate an economic mechanism for the production and sale of niche grain crops. In the course of the research, the following scientific methods were used: data collection and analysis, bibliographic method, method of economic analysis, modelling and logical generalisation. The study provides a comprehensive assessment of the current state of production and sales of niche cereals in Ukraine, namely: buckwheat, rye, oats, millet, sorghum and rice. The analysis included estimates of area, gross harvest, yield, domestic consumption, imports and exports. The study showed a significant reduction in the area under niche grain crops in 2022 caused by military operations in Ukraine. The area under rice decreased by 93.8%, sorghum by 76.7%, millet by 55.8%, rye by 47% and oats by 19.1%. The study calculated the total normative food requirement for the production of niche cereals and concluded that the food requirement for rye bread (20.3%) and rice (12%) produced in Ukraine is insufficiently met. An assessment of imports of niche cereals showed that rice traditionally accounted for the largest share of imports: 81.18% in 2015, 82.39% in 2022 and 98.76% in 2023. Based on the results, an economic mechanism for the production and sale of niche crops, including resource provision, production organisation, logistics, marketing, financial analysis, efficiency control and state regulation, was compiled. The results of the study are of practical value for producers of niche crops seeking to diversify their operations, adapt to market and climate change, and increase the economic efficiency of production and marketing

Keywords

niche crops; innovative diversification strategies; exports; imports; marketing; logistics

Suggested citation
Ilchuk, M., & Berezovska, L. (2025). Organisational and economic aspects of production and sale of niche crops. Economics and Business Management, 16(2), 9-23. https://doi.org/10.31548/economics/2.2025.09
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