STRATEGY FORMATION FOR REINDEER FARMING DEVELOPMENT IN THE ARCTIC SUB-REGION OF THE RUSSIAN EUROPEAN NORTH-EAST

In the context of market reforms in the reindeer farming, many problems have accumulated, accompanied by a decrease in the reindeer livestock, a reduction in the industry profitability, a narrowing of the product sales market, a fall in the living standards of reindeer farmers. Sustainable development of reindeer farming is based on its strategic management. Strategic management will eliminate the prevailing approach to solving the current tactical problems of the industry. Regulatory framework for the strategy development is the Federal Law “On Strategic Planning in the Russian Federation”. The article discloses methodological approaches to the strategic management of the reindeer farming sustainable development. The industry development trends, its problems and risks are identified. The strategic analysis based on the study of the external and internal environment is carried out, the strengths and weaknesses, opportunities and threats of the reindeer farming development in the Arctic sub-region are evaluated on the example of the Komi Republic and the Nenets Autonomous District. The strategy objectives have been defined, which envisage the sustainable development of reindeer farming as an ethno-forming industry, its modernization, and significant improvement in social and living conditions and living standards of reindeer farmers. To achieve these goals, priority areas of the reindeer farming development have been identified and a scenario forecast of results has been made. It is determined that the most acceptable is the optimistic scenario founded on strengthening the material and technical base, deep processing of reindeer products, active protectionist policy of the state, attracting qualified specialists to the industry. The Strategy mechanism, including the tools for regulatory, organizational and financial support, has been developed. The legal mechanism provides for the development of regulatory documents handling the reindeer farming. The organizational one provides methodological, consulting and information support, the strategy implementation and monitoring, optimization of reindeer pastures, formation of marketing strategy, designing of programs and plans for the reindeer farming development. The financial instruments include federal and regional budget funds, financial resources of resource-producing enterprises, owned funds of reindeer farms, and affordable preferential bank loans. The obtained methodological and practical recommendations can be used by the regional and municipal authorities of the Komi Republic and the NAD when designing strategies and programs for sustainable socio-economic development of reindeer farming.

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