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Abstract

The Brazilian production of poultry meat in 2010 reached 12.230 million tons, a growth of 11.38%, driven by increased consumption and increased exports. Mato Grosso is the 7th. Major national producer in terms of slaughter and production numbers are growing every year, considering the production of soybeans and corn and the possibility of planting new areas, making poultry the star of this new scenario. This article aims to examine contracts of broiler farms in Mato Grosso from the perspective of New Institutional Economics. The theoretical reference provides the concepts of transaction costs and governance structures. The data were derived from contracts related to the integration of poultry production in the period of 2008 and 2009, from the point of view of three companies located in the State of Mato Grosso, Central-West region of Brazil. The results show that the integration contracts have been an important tool for both the integrated companies, which rely on constant production and pre-specified standards to meet the domestic and foreign markets, and to farmers who have in the poultry industry, an activity which gives them guaranteed sales and receipt by the industry. The integration contracts can be considered medium asset specificity, transaction-frequent and reduced uncertainty.

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