RUSSIA’S GREAT FOOD AND FARMING REVOLUTION
The law of unintended consequences saw the West’s sanctions post the annexation of Crimea propel Russia into the world’s most dominant agricultural producers.
Following the principles of the Economist’s ‘Big Mac Index’ that moonlights the world. McDonald’s famous ‘Golden Arches’ also serve as a great initial barometer in viewing Russia’s food and farming revolution since the Soviet years.
between capitalism and communism began. The Soviet Union at the time was slowly dissolving its grip and the transformation into a democratic and independent series of nations was evolving in front of the Soviet leader Gorbachev’s eyes. The newly independent Russian state soon economies by removing price caps and state intervention as he merrily opted for what was termed ‘shock therapy’ for economic transformation. farming and industry abandoned and economic output tumbled resulting
McDonalds’s Canadian executive Cohon, undeterred by the recent Cold War history and changing political environment worked tirelessly to overcome lone existence and complete lack of a supply chain. Initially which has been a lasting legacy even up to today, in sourcing the right potatoes to produce its famous fries. McDonalds had to invest in its own buns, pies, pickles and burgers and set about contacting individual small producers and farmers to provide ingredients. As a result it took McDonalds three years to open up another restaurant and even then they
red meat. The company has also set about ambitious plans to support and farm its own potatoes, bringing in western varieties and investing in a
Russia’s previously undercapitalised supply chain owes a lot to its rich history and political past. Historically known for its ‘Dacha houses’ or small sustenance and survival gardening where over half of the population are said produce over half of the total food production in home Dacha style house whereby residents would traditionally grow root vegetables during the short summer months. In rural areas food production is even more localised with families growing their own produce on small plots of village land amongst rearing a few cattle, pigs, sheep, chickens and rabbits. Russians have traditionally been a hardened population that have learnt to make do and provide for themselves. It is this resourcefulness that has widely been credited for the survival of its population during the most recent economic collapse and deep was exasperated as state assets and collectivised industries were essentially liberalised with the previous ruling elite looting for themselves and retaining control.
Times have changed somewhat and it its todays millennial generation that are driving much of that transition. Much like the patterns seen across the Far East, rural populations are declining with the young and ambitious moving to urban areas to work in professions and industry. The old Dacha styles houses are slowly being transitioned to weekend retreats from survival gardens with Russia’s cities demanding more variety and choice that was previously only available to the oligarchs of this world.
Agricultural sector has succeeded as one of the fasted growing segments of the economy in recent years, dominated the world’s wheat export market shipping own domestic markets, seeing growth across certain and transformed from the modest levels of production in
20 | ADMISI - The Ghost In The Machine | July/August 2018 V
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