ECONOMIC MECHANISMS OF FOOD PRODUCTION MODERNIZATION AND ITS CHARACTERISTICS

The article provides a detailed analysis of the key role food production plays in meeting the population’s food needs, based on the use of agricultural raw materials. Increasing economic efficiency in this sector largely depends on economic modernization and improving product quality. An important aspect is not only the quality of food products but also their price affordability for consumers, which affects competitiveness. The primary goal of food production modernization is to enhance product competitiveness and reduce production costs, ensuring affordability for the population. The modernization process relies on various mechanisms, including economic, organizational, and institutional ones. Economic mechanisms are the most crucial element, as efficient production must generate returns on investment. Ultimately, food industry modernization contributes to improving product quality and the sector’s economic sustainability.