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Extra resources for Agricultural Policies in Emerging Economies 2009: Monitoring and Evaluation
It OVERVIEW e io s O of Brazil, the reduction in the value of support to producers was driven by a fall in market u le price support (MPS) – the value of transfers arising from policy measures that create a gap d EC between domestic market and border prices such as tariffs, minimum guarantee prices se ea and export subsidies. g. transfers arising from preferential credit) to producers. Brazil was also the only economy to have a decline in budgetary and other transfers: in e other economies the increase in budgetary and other transfers came predominately An through an increase in transfers based on input use.
Brazil: PSE level and composition over time 19 Support to producers (%PSE) averaged 6% in 2005-07, up from –5% in 1995-97, but well below the OECD average of 26%. 19 ● u le O Market price support is provided through a number of programmes based on regionally announced minimum guarantee prices. These prices remained the same over 2005/06 and 2006/07 for the major crops but were increased significantly in 2008/09 to encourage production in response to food price increases. New commodity programmes were introduced to support “family” farmers and commercial producers, with extensive support provided to soybeans.
AGRICULTURAL POLICIES IN EMERGING ECONOMIES 2009: MONITORING AND EVALUATION – ISBN 978-92-64-05927-6 – © OECD 2009 45 w _it E d it e io s n D Br o 2. 1. 5% over 1998-2006). 5%, primarily due to a reduction in soybean plantings because of low prices in 2006, favourable weather conditions resulted in an increase in cereal production. 4 million hectares. Further, while farmers have generally benefited from higher output prices, particularly producers of beans, coffee, maize, milk, soybean and wheat, they have incurred higher costs, particularly for chemical fertilisers and labour.
Agricultural Policies in Emerging Economies 2009: Monitoring and Evaluation by OECD Organisation for Economic Co-operation and Development