This article identifies the achievements made in agriculture and the existing problems related to the rapid transition of accounting to international standards, as well as provides a developed definition of biological assets. The essence and main provisions of IFRS (IAS) 41 “Agriculture” are presented. The article outlines the procedures for the recognition of biological assets, their initial and fair (equitable) value measurement, and the determination of profit arising  from the increase in the value of biological assets and agricultural products.