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Estrutura de mercado da indústria de refino de açúcar na região Centro-Sul do Brasil

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  • Rodrigues, Laura Poggi
  • Moraes, Márcia Azanha Ferraz Dias de

Abstract

The aim of the present work was to evaluate the refined sugar industry in Brazil and to identify its market behavior in the central region in Southern Brazil. Accordingly, this study analyzed the influence of dis-tinct levels of competition concerning price and entrance barriers on the market structure, described by Sutton (1991). Some exogenous factors, such as public regulation, sectorial organization, and strategies to set up costs, were also verified to determine the market sector’s concentration. Results of the present study were compared to those reported by Sutton (1991). The result evidences the high index of set up costs and existence of barriers of entrance. The industry of refining sugar in Brazil was ini-tiated with small and average commercial groups, with a regionally-con-centrated sector. During the regulated period the industry was highly con-centrated (by the 1980s the CR4 was about 80%). In the 1990s, there was a great entrance of new brands and consequently a decline in the leader brand (União). One of the reasons that such industry is highly concen-trated is the huge sunk cost. Like the refined sugar industry analyzed in other countries, the Brazilian refined sugar industry presented, in 2003, high exogenous sunk cost in relation to the size market.

Suggested Citation

  • Rodrigues, Laura Poggi & Moraes, Márcia Azanha Ferraz Dias de, 2007. "Estrutura de mercado da indústria de refino de açúcar na região Centro-Sul do Brasil," Brazilian Journal of Rural Economy and Sociology (Revista de Economia e Sociologia Rural-RESR), Sociedade Brasileira de Economia e Sociologia Rural, vol. 45(1), pages 1-26, March.
    • Handle: RePEc:ags:rdecag:161362
    DOI: 10.22004/ag.econ.161362
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    Keywords

    Agribusiness;

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