Agricultural Policies.

Since 2003 the government has promoted an ample revision of its marketing and income guarantee agricultural policy instruments. The objective is to increase public resources efficiency and expand the direct participation of private initiative in the process of stabilizing producers’ income. Therefore, the government has promoted the improvement of cooperation and coordination among members of the productive chains in order to overcome budgetary restrictions in executing the programmes of price and income guarantee. Law No. 11.076 of 31 December 2004, authorized the Federal Government to offer economic subsidies for contracts of agricultural product sale option, when issued by the private sector on behalf of rural producers and cooperatives. In this partnership the private companies take the place of the government with respect to the price guarantee.