Science and Education in Karakalpakstan issn 2181-9203 Science Magazine chief editor

 
 
 
 
 
 
 
 
 

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Science and Education in Karakalpakstan. 2023 №2/1 ISSN 2181-9203 
97 
ECONOMETRIC MODELING ROLE OF AGRIBUSINESS IN INCREASING ADDED 
VALUE IN AGRICULTURE 
 
Ataev J.E. 
Urgench State University
 
Summary:
in this paper estimated role of number of operating enterprises and 
organizations by sectors of the economy to real value of added value of agriculture, forestry and 
fishing by correlation and regression analysis. Based on the analysis developed scientific and 
practical proposal to develop agriculture sector in Uzbekistan.
Keywords:
 agriculture, agribusiness, added value, correlation analysis, regression analysis, 
model, coefficient of elasticity. 
Agriculture has a significant role in economy of developing countries and plays a key role 
food security, employment and increasing wellbeing of rural population. [2, 3, 4, 5]. The food 
security of the country depends on the level of its state and development, the quality of food 
determines the population health, the life quality of the population, the realization of human 
potential [6]. Several researchers concluded that growth in the agricultural sector has a very 
powerful poverty reduction impact
[7]
. 
In development of agriculture and increasing added value manufacturing has a significant 
role in the economic success of advanced and emerging countries such as China, the United States 
of America (USA), Japan, Germany, South Korea, India, Italy, France, United Kingdom, Brazil, 
Indonesia, Mexico, Russia, and Canada [8]. Several pointers appear to show that agricultural 
processing could become a key sector for developing economies, especially. According to the 
World Bank, thanks to the combined effects of demographic and urban expansion and growth in 
incomes, agri-food already represents a substantial market that should top the US$ 1,000 billion 
mark by 2030. 
The need for development of agribusiness could be substantiated by two factors, direct and 
indirect. First, as more and more value-added activities moved off the farm, the size of food 
processing and agricultural input sectors increased. In addition, the emergence of biotechnology and 
precision farming created expanded research possibilities in the field [9]. Therefore authority of 
Uzbekistan paying a special role in development of agriculture, increasing added values in the 
sectors by development of manufacturing. For instance 30
th
goal of Strategy of development for 
new Uzbekistan for 2022 – 2026 dedicated to increase the income of peasant farms and farmers by 
at least 2 times through the intensive development of agriculture on a scientific basis, bring the 
annual growth of agriculture to at least 5 percent [1].
In this, researches estimated effect of development of agribusiness in Uzbekistan to in added 
value in agriculture sector. For analysis we used data for the period 2013-2022. Added value of 
agriculture, forestry and fishing converted into real values by taking 2013 year as a base year. 
Initially, conducted correlation analysis to choose main factors those affecting to the added value of 
agriculture, forestry and fishing (table 1).