Mercantilization of the family farming: an analysis of the effects of variables selected for bean and rice crops

Abstract

The family farming comprises non-homogeneous rural farmers, as established in the 11.326/2006 law. This differentiation was analyzed here by using the mercantilization index (MI) given by the ratio between the sold quantity and the produced quantity. This index is different between family farmers which yield rice and those which yield bean. The purpose of this study was to investigate the influence of some factors, such as mean area, mean price, and credit volume, in the MI for bean and rice crops, by means of simple linear regression model, and by considering data aggregated at the municipality level for the year of 2006. The regressions pattern showed that these three parameters have different effects on the MI in Brazil and in the five Brazilian regions, which strengthens the vision of that there are different groups within the family farming. This inference leads to the need of assessing the importance of the policy focused on this segment.