Economic Mechanisms of State Support in Agriculture

So that it is essential to have an effective state support mechanisms for the development of the sector, since agriculture occupies a very important place in the structure of food security, and is the basis. of employment and economic stability. Although Uzbekistan has gone through comprehensive reforms in its policy landscape, evaluating economic support instruments with a systematic approach highlighting their efficiency and practical implications is still in need. To fill this gap, we analyze some major economic instruments of state support to agriculture — subsidies, preferential loans, taxation incentives, and insurance systems. The research applies both qualitative and quantitative methodology, analysing legal content of presidential decrees and national legislation, descending data from the Ministry of Agriculture, agronomical professions and many relevant academic literature. The research examines how effective these mechanisms are in fostering financial stability, innovation and production efficiency. Results show that the subsidies decreases production cost and facilitate adoption of water-conservation technologies, while concessional loans (which lower capital costs) improve capital access and entrepreneurship for small entrepreneurs. Financial sustainability is supported through taxation breaks, promoting investments, especially for agro-clusters, and insurance mechanisms reduce risks from climate and market uncertainties. Together, these instruments boost productivity and help achieve a shift in the agricultural sector to be more innovative and export-oriented. The findings reveal that the mechanisms of state support are the basis for sustainable development of agriculture. But that a lot relies on funding, improved regulation, and it should be applied in regions that need it. The research emphasises the urgent need for further refinement of policy settings for strengthening innovation, diversifying support programs, and sustaining long-term food security and economic resilience.