Integração na criação de frangos de corte na microrregião de Viçosa – MG: viabilidade econômica e análise de risco

Adelson Martins Figueiredo, Pedro Antônio dos Santos, Roberto Santolin and Brício dos Santos Reis

Brazilian Journal of Rural Economy and Sociology (Revista de Economia e Sociologia Rural-RESR), 2006, vol. 44, issue 4, 18

Abstract: The chicken production in Viçosa area is done by integration agreement with Pif Paf Company and it is an important option for incre-asing the income of small farmers. The objective of this paper is to check the viability of integration agreements. A project of a plant for chicken production was drawn and observed in order to determine its profitabi-lity and risks, with the purpose of helping the decision making. The Net Present Value, Internal Rate of Return, Cost/Benefit Ratio, Risk Sensitivity and Risk Analysis were calculated. The results show that the project is fea-sible and the profitability is more sensitive to changes in production price than changes in production costs. This study also points out that the in-tegration agreement does not eliminate the risk of the production, in other words, the company transfers part of the price risk to the producers.

Keywords: Agribusiness (search for similar items in EconPapers)
Date: 2006
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Persistent link: https://EconPapers.repec.org/RePEc:ags:rdecag:160691

DOI: 10.22004/ag.econ.160691

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