Integração na criação de frangos de corte na microrregião de Viçosa – MG: viabilidade econômica e análise de risco

The chicken production in Viçosa area is done by integration agreement with Pif Paf Company and it is an important option for incre-asing the income of small farmers. The objective of this paper is to check the viability of integration agreements. A project of a plant for chicken production was drawn and observed in order to determine its profitabi-lity and risks, with the purpose of helping the decision making. The Net Present Value, Internal Rate of Return, Cost/Benefit Ratio, Risk Sensitivity and Risk Analysis were calculated. The results show that the project is fea-sible and the profitability is more sensitive to changes in production price than changes in production costs. This study also points out that the in-tegration agreement does not eliminate the risk of the production, in other words, the company transfers part of the price risk to the producers.


Subject(s):
Issue Date:
Dec 30 2006
Publication Type:
Journal Article
PURL Identifier:
http://purl.umn.edu/160691
Published in:
Brazilian Journal of Rural Economy and Sociology (Revista de Economia e Sociologia Rural-RESR), Volume 44, Number 4
Page range:
713-730
Total Pages:
18
JEL Codes:
O22; L22.

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