This book is a contribution of the authors to the food - fuel debate. During 2007 and 2008 several factors led to the food inflation problem: growing population, income distribution, urbanization, biofuel, social programs, production scarcity etc.. Biofuel got most of the blame for food inflation but its responsibility was only limited. There are several possibilities of solving the food inflation problem that are discussed this book. It explores the example of Brazil’s agricultural sector, where a quiet revolution occurred in the last 15 years. This development is leading to Brazil becoming one of the largest food exporters globally. This position will strengthen as an additional 100 million hectares becomes available for crop development. The second part of the book explores the basics of the sugar cane chain. Sugar cane occupies less than 2% of Brazilian arable land and supplies 50% of Brazilian car fuel. In 2010 Brazil produced 53% of the world’s sugar. Sugar cane produces sugar, ethanol (used as car fuel), biogases that are used to co-generate electricity and other by-products. Biofuel is a booming industry. New technologies allow production of diesel and other fuels from cane. Sugar cane ethanol is the only renewable fuel that can currently compete with gasoline. Coca Cola just launched the plastic bottle with sugar cane plastic. This book helps us to understand Brazilian agribusiness and sugar cane economics from various perspectives e.g. international investments, sustainability, future trends and the strategic plan for the Brazilian industry.
This book is a contribution of the authors to the food - fuel debate. During 2007 and 2008 several factors led to the food inflation problem: growing population, income distribution, urbanization, biofuel, social programs, production scarcity etc.. Biofuel got most of the blame for food inflation but its responsibility was only limited. There are several possibilities of solving the food inflation problem that are discussed this book. It explores the example of Brazil’s agricultural sector, where a quiet revolution occurred in the last 15 years. This development is leading to Brazil becoming one of the largest food exporters globally. This position will strengthen as an additional 100 million hectares becomes available for crop development. The second part of the book explores the basics of the sugar cane chain. Sugar cane occupies less than 2% of Brazilian arable land and supplies 50% of Brazilian car fuel. In 2010 Brazil produced 53% of the world’s sugar. Sugar cane produces sugar, ethanol (used as car fuel), biogases that are used to co-generate electricity and other by-products. Biofuel is a booming industry. New technologies allow production of diesel and other fuels from cane. Sugar cane ethanol is the only renewable fuel that can currently compete with gasoline. Coca Cola just launched the plastic bottle with sugar cane plastic. This book helps us to understand Brazilian agribusiness and sugar cane economics from various perspectives e.g. international investments, sustainability, future trends and the strategic plan for the Brazilian industry.
The orange juice chain is unique, probably a sui generis commodity. Although several countries produce oranges and juices, two regions in the world are the responsible for around 80% of the production. These are the states of Sao Paulo in Brazil and Florida in the USA. Although the emerging countries are growing in production, the juice consumer is also concentrated in the USA and Europe where more than 90% of consumption takes place. The characteristics of this chain are so unique, that it makes a nice laboratory for academics and business people to exercise strategies, since risk is spread. Orange is a very sensitive plant, and fluctuations in production are notorious. The logistics of this chain are fascinating. The product travels great distances to reach the consumer in a generally safe and efficient way. The industry assets such as vessels and tanks are specific. By reading this book, business people, academics and chain practitioners have an opportunity to understand this chain. and can analyse all of its numbers and economics and exercise strategy building. This is needed since the orange juice market is a stable market in the world, growing only 1% per year, and the production costs of this chain are rising fast, due to structural changes faced by world food and agribusiness companies i.e. labour costs, energy costs, land costs, environmental costs and others. The book will be of interest to all those concerned with agri food chains.
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