Modern approaches to stimulate the development of the livestock sector and its processing

Abstract

The article explores the aspects of stimulating the development of the livestock sector and its processing in the context of forming effective value-added chains in Ukraine's agricultural sector. The relevance of the study is driven by the need to find practical solutions for the comprehensive modernization of the industry, the production of competitive goods with high added value, and ensuring Ukraine's food sovereignty amid persistent threats and instability. The purpose of the article is to justify approaches to stimulating the development of the livestock sector and its processing by forming an effective system of economic, institutional, innovative, ecological, and regulatory mechanisms that will contribute to the creation of sustainable value-added chains and the integration of Ukraine’s agrarian sector into global markets.

The research presents the theoretical and methodological foundations of stimulating the development of the livestock industry and its processing, and systematizes its primary forms – financial, institutional, educational-informational, regulatory, and marketing. The study substantiates that under martial law, economic instability, and the urgent need for agricultural recovery, an effective stimulation system for the livestock sector not only increases production volumes but also ensures sustainable development of processing infrastructure, rural employment, and the competitiveness of products on foreign markets. Examples of international experience in forming effective value-added chains are analyzed, with a focus on ecological motivation, digitalization, cooperation, and public-private partnerships, which can be adapted to the Ukrainian context. It is revealed that the key barriers to stimulating value-added chain development in livestock remain fragmented state policy, institutional shortcomings, and underdeveloped infrastructure. The study of the livestock sector’s stimulation system allowed the identification of the need to shift from fragmented support measures to a comprehensive policy with long-term priorities, aimed at sustainable growth, environmental responsibility, and economic inclusion. It is determined that realizing the livestock sector’s potential as a source of added value requires the active involvement of the private sector, international donors, agricultural science, and local communities.