INDICATIVE PLANNING OF REGIONAL AGRICULTURE

Abstract

The article declares that planning is basic for production and financial activity in any enterprise. Nowadays the necessity of planning business at the enterprise and in the region is evident, but it should be scientific and apply market indicative mechanism. Indicative planning assumes making decisions, which is aimed at getting the long-term results, changing the environment, preventing from deviations, applying of investment processes and identifying the funding necessary for achieving the expected results and indexes. The international experience reviews indicative planning in two directions; they are “bottom-up” and “top-down”. The bottom-up direction implies state federal level and the top-down direction assumes the economic entity. This process takes place in Russia as top-down process; the other direction is being developed slowly and depends on many terms and conditions. The regions apply data and indexes from the “top” when developing programs, plans and strategies and forward the target indexes “down” taking into account the peculiarities and development of local entities. It means our economy goes back to planning-obligatory indicators of the soviet time. Studying the international experience and experience of the regions in Russia, the authors make conclusion that local authorities, district authorities and the regional ones should participate in strategic and indicative management. All the parts should participate in the market and indicative mechanism of regional management.