Open AccessThe opportunity for smallholder agricultural production growth: empirical evidence from Brazil
Author(s) -
Gabriel Paes Herrera,
Benjamin Miranda Tabak,
Rildo Vieira de Araújo,
Reginaldo Brito da Costa,
Michel Constantino
Publication year - 2021
Publication title -
nature and conservation
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.642
H-Index - 18
ISSN - 2318-2881
DOI - 10.6008/cbpc2318-2881.2021.003.0009
Subject(s) - agriculture , frontier , production (economics) , natural resource economics , business , empirical evidence , agricultural productivity , empowerment , stochastic frontier analysis , geography , economic growth , agricultural economics , economics , philosophy , archaeology , epistemology , macroeconomics
Smallholder farming is currently the most common farming structure worldwide, and it is essential for social, environmental, and economic development, especially in developing nations. This research sheds light on millions of family farmers in Brazil and provides an in-depth perspective on their technical efficiency. We employ the Stochastic Frontier Analysis (SFA), a parametric model that accounts for random shocks, to a unique and nationwide database. Such broad analysis has never been done before. As a main result, we found that smallholder production in Brazil can improve substantially without the need to expand agricultural land. Despite the contrasts of climate and infrastructure between the country regions, nearly all states have highly efficient smallholders, which highlights the potential for all farmers. This opportunity for sustainable production intensification is extremely important for a country that is a major agricultural exporter and still remains with a large part of the territory covered by forests, as well as to support millions of people who depend on this activity for survival. Based on the empirical results, increasing membership to cooperatives and the empowerment of female smallholders are the two main points that can benefit family farmers in Brazil and, therefore, should be the main targets of public policies.