Innovation and Investment Direction of the Development of the Material and Technical Base of Agricultural Enterprises

Topicality. The implementation of an innovative way of development of the agricultural sector will increase the competitiveness of Ukrainian agriculture. Using the experience of developed countries and adapting certain models of innovative development of agricultural enterprises and the national economy as a whole, agricultural producers of the country can effectively manage production and economic processes, grow high-yield, high-quality and competitive products, increase the efficiency and profitability of production, reduce the consumption of material, energy, and labor and natural resources, reduce the negative impact on the environment.Aim and tasks. The purpose of this scientific paper is to study different views on the definition of the conceptual approach of innovation and investment development of the material and technical base of enterprises of Ukraine. This purpose made it possible to form the following tasks: to deepen the theoretical aspects of the economic essence of the material and technical base for the agricultural market, to reveal the conditions and regularities of its functioning; to assess the current state of innovations implemented by agricultural enterprises of Ukraine and to identify the main trends in their development.Materials and Methods. In the process of working on the article, materials of own research, analysis of statistical data, publications of domestic scientists were used. The research was carried out using the following methods: historical, induction and deduction, analysis and synthesis - to outline the evolutionary, process-historical provisions of the formation of the theory and methodology of the development of the material and technical base.Research results. The transition to the innovation-investment model of economic development is impossible without attracting investments. In accordance with the legislation, investments are made in the form of capital investments for the purpose of reproduction of fixed assets and increase of reserves. Investment is a cumulative process of investing capital, during which successive changes in various forms of value take place; there is a dynamic relationship between interdependent elements of investment activity - resources - expenses - income. Innovation is the use of new forms of business organization and management, as well as intellectual work and technological developments aimed at improving social and economic activity. Investment and innovation processes should not be considered separately, but together. Therefore, it is necessary to develop a model of innovation-investment activity that combines the principles of investment and innovation, methods and mechanisms of implementation, criteria for making innovation-investment decisions. (knau.kharkov.ua) The goal of the innovation and investment process is to increase the economic potential of the enterprise's material and technical base.Conclusion. The development of agriculture requires material and technical support that meets the standards of the EU and developed countries of the world. However, the problem of capital equipment of agricultural production in Ukraine has not been solved due to the narrowing of the reproduction of the main capital of the industry and the insufficient rate of accumulation in recent years. Increasing the productivity of agricultural enterprises is practically impossible without the introduction of innovations and investments in the material and technical base. Positive results can be achieved through the introduction of new production technologies, optimization of the machine and tractor fleet, rational use of land resources and soil cultivation, rational sowing and crop rotation, introduction of new varieties and hybrids that are more productive in terms of zoning, as well as the use of environmentally friendly and resource-saving technologies. Technological innovations and investments, optimization of the production complex and adaptation to modern trends in the agricultural market increase the economic efficiency and profitability of enterprises.