DIRECTIONS FOR IMPROVING THE ORGANIZATIONAL AND ECONOMIC MECHANISM OF MEDICINAL PLANT PROCESSING
DOI:
https://doi.org/10.5281/zenodo.17448881Keywords:
medicinal plants, processing industry, organizational and economic mechanism,digital technologies, sustainability,supply chainAbstract
Medicinal plant processing represents a strategically important sector that contributes to healthcare, economicgrowth, and rural development through the production of pharmaceuticals, nutraceuticals, cosmetics, and functional
foods. The analysis of the current state of the industry shows that, despite its high potential, it faces serious organizational,
technological, and institutional challenges. Among the main problems are outdated processing technologies, insufcient
investment in modernization, fragmented supply chains, weak quality control mechanisms, and limited access to
fnancing, especially for smallholder farmers and local enterprises. These barriers reduce efciency, limit competitiveness
in international markets, and prevent the sector from realizing its full economic potential.The study emphasizes that
improving the organizational and economic mechanism of medicinal plant processing requires an integrated approach,
including institutional reforms, technological modernization, fnancial inclusion, and sustainable resource management.
The introduction of digital tools—such as blockchain for traceability, IoT systems for cultivation monitoring, and big
data analytics for market forecasting—can ensure transparency, efciency, and competitiveness. At the same time,
strengthening cooperation between farmers, processors,and research institutions, along with the development of human
capital, plays a decisive role in accelerating innovation and improving performance. Furthermore, embedding sustainability
principles, such as eco-certifcation and responsible farming practices, is essential for preserving biodiversity and meeting
global demand for environmentally friendly products.Overall, the results of the research confrm that the modernization
of organizational and economic mechanisms in medicinal plant processing is a key condition for achieving higher
efciency,global competitiveness, and long-term socio-economic benefts.
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