Sugar-energy production at Ituiutaba region, Minas Gerais (Brazil)

expression of expansion and the sector instability in beginning 21st century

Abstract

In the region of Ituiutaba, west of Minas Gerais state (Brazil), the planting and industrial processing of sugarcane strengthened at the turn of the 21st century, but already in the second decade, production was also marked by significant changes, revealed in the constant exchanges of the agents that control the sugar-energy sector. Thus, the objective of this work is to evaluate the implications of the expansion of the sugar-energy sector in the Geographical Microregion (MRG) of Ituiutaba, the expressions indicative of its instability, as well as the strategies of its agents. We carried out secondary data collection and field research, with the aim of gathering information about sugar-energetic groups, as well as evaluating the territorial implications of the activity. The study area currently has three sugar-energy plants in operation, responsible for processing almost all the sugarcane planted in the region. The recent dynamics of the investigated groups reveals that the current instability of the sector obliges them to make the activity more profitable, which apparently is carried out from the control of production by groups with greater management expertise, more competitive and capitalized, which resulted in the attraction of publicly traded agents.